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Internal Auditing Best Practices
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15–19 CREATE AN AUDITOR SKILLS MATRIX
Not all auditors are created equal. Some have a considerable degree of training in
specific types of computer systems, others have great operational experience,
while still others come from the more classical “school” of external audit firms;
furthermore, some have garnered experience with particular types of business units
or processes over the years. Unfortunately, these differing skill bases are some-
times ignored when assigning auditors to specific audits, resulting in mismatches
of skills and required work. This in turn can result in incomplete audits or ones
whose results are not sufficiently specific, detailed, or helpful to the recipient.
This problem can be eliminated through the creation of an auditor skills
matrix. In its simplest form, this is just a collection of auditor resumes that is reg-
ularly updated after each audit. However, such a collection is not easily searched
for specific skill types, and so is only useful when there are very few internal
auditors on staff. A much better approach is itemize these skills in a database that
is easily searched based on key words. This allows an audit manager to punch the
key requirements of an upcoming audit into the database and instantly receive
back a list of those auditors most qualified to complete the work. The key issue
with a skills database is that it requires constant updating, since auditor skills are
constantly improving through training and new audits. Consequently, someone
must be assigned the task of updating skills information on a regular basis,
preferably after the completion of each audit and after auditors have completed
scheduled tasks. If this updating chore is assigned to the auditors themselves,
then their annual reviews should include a discussion of the updates they have
loaded into the database, thereby highlighting the importance of this task.
Cost: Installation time:

TOTAL IMPACT OF BEST PRACTICES ON THE
INTERNAL AUDITING FUNCTION

Many of the best practices discussed in this chapter are noted in Exhibit 15.2,
where best practices are clustered into those occurring prior to the commence-
ment of an audit and those occurring during or after it. Best practices related to
staffing, workflow management, or audit staffing are not included.
In the exhibit, it is evident that a considerable amount of work can be com-
pleted in advance, to determine the need for control assessments, as well as to
provide audit teams with as much information as possible about their prospective
audits. A great many changes are advocated during the audit, such as giving con-
trols and self-audit training to the staff and managers of business units, and issu-
ing process improvement recommendations to unit managers. Subsequent to the
audit, the tracking of audit survey results can be used to revise the planning and
staffing for future audits.