A survey conducted at the recent Institute of Internal Auditors annual conference by Protiviti has revealed that ⅔ of IA professionals believe their department is under-resourced and therefore unable to adequately carry out their duties.
Protiviti’s take is that due to increased expectations of the assurance Internal Audit can provide on an ever-widening spectrum of enterprise risks, auditors feel under-resourced. Sukhdev Bal, Director of Protiviti says:
This survey is a clear indication that internal auditors themselves believe that prior to the recession, they were not fit for purpose in terms of focus, skills and capabilities. Audit committees, Internal Audit leaders and management need to work more closely and collectively to agree the role of audit, objectives, criteria for audit and the overall approach of the internal audit function required to meet current and future evolving needs. Importantly, having agreed these, they need to ensure that the function is staffed with the right skills, capabilities and experience to meet these objectives.
There is evidence that spending on governance, risk and compliance didn’t decrease in 2009 compared to 2008, so I think Protiviti is correct with its assessment. IA is being asked to expand their risk coverage beyond traditional areas of expertise. It’s only natural to feel a little overwhelmed by the expectations. The key to adapting in my opinion (and experience) will be support for training in non-traditional areas.
The survey is available on Protiviti’s website (if you give them some personal information first).