The Audit Connection Collaborating for Enterprise Excellence
Fall, 2014 Issue No. 9
Inside this issue: MEMO TO MANAGERS 1 You’ve received an allegation of misconduct — Now what? Protect your cash!
2
Team-building in the workplace
3
Career Week: Internal Audit Rocks!
5
Kudos Korner!
6
International Fraud Awareness Week
7
Internal Audit Staff Clay Sprouse…………………..CAO Kathleen Boyd ..... Assoc. Director Crystal Corey ......... Audit Manager Vernon Walters…...Senior Auditor Will Barnes ............. Senior Auditor Sheryl Brown ...............I.T. Auditor Rufus Copeland…………...Auditor Lisa Kedigh………Admin. Asst. III Andrea Camey……………....Intern
The Office of Internal Audit's purpose is to support the mission and vision of the Georgia Regents Enterprise by: providing independent and objective management evaluations; identifying actual and potential problems; providing corrective guidance; developing management recommendations; and providing consultative services in accordance with professional internal auditing standards and compliance review guidelines.
We are here to help you! 706-721-2661 gru.edu/audits
MEMO TO MANAGERS You’ve received an allegation of misconduct — Now what? Clay Sprouse, Chief Audit Officer Most executives in management positions are problem solvers. Generally, this is a good thing! But when it comes to handling allegations of workplace misconduct, the urge to proactively “problem solve” can have extremely negative consequences. When a manager acts independently to investigate alleged misconduct — that is, without first coordinating with audit, legal, compliance and/or human resource departments — they may inadvertently be violating a variety of laws. Even if their informal investigation does not violate any laws, they could be undermining the success of any subsequent “official” investigation. As a manager, you don’t need to know the details of case law or the names of the underlying statutes that protect employees. But you do need to know what to do — and not do — when you become aware of an allegation. Below are guidelines to follow when you receive an allegation:
Don’t:
Don’t promise complete confidentiality to an employee who reports a concern to you. There may well be a need — either under the law or your organization’s policies and procedures — to alert others within the organization to the concern. Many times, this is not only to protect the employee raising the concern but also to protect others in the workplace. Failure to tell audit, legal, or compliance teams about it might result in further harm to the reporter and/or to others. At most, tell the reporting employee that you will keep the matter as private as possible but may need to alert others in the organization.
Don’t start your own investigation, including interviewing witnesses, checking email, or searching the workplace. Interviews and electronic or physical searches may well violate an employee’s right to privacy. The laws relating to privacy are complicated and sometimes counterintuitive. Never conduct a workplace search without prior approval from your legal team.
Don’t assume you know what’s really going on. It’s all too easy for managers to assume, based on prior experience, that they know whether or not an allegation is true. Sometimes we think we’ve “seen it all before” or we view a person as a “complainer” who is simply seeking attention. Assumptions like these are big mistakes. Treat every allegation impartially and with an open mind.
Ask the Auditor! We invite you to send your questions to internal_audit@gru.edu, and we may feature them in future issues. 1120 15th Street, Augusta, GA 30912 | Phone: 706-721-2661 | Fax: 706-721-9094
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The Audit Connection
MEMO TO MANAGERS 1 You’ve received an allegation of misconduct — Now what?
Don’t share the details of an allegation with anyone unless they have a legitimate need to know. This can be difficult — it can be hard not to share “juicy” information. But don’t do it.
Do: Protect your cash!
2
Team-building in the workplace
3
Career Week: Internal Audit Rocks!
5
Kudos Korner!
6
International Fraud Awareness Week
7
Do secure evidence that might be destroyed before an investigator intervenes. While it may not be appropriate to review documents or images stored on an employee’s work laptop, you generally will be able to retrieve the laptop and give it to your legal or security team.
Do check with your audit, compliance, HR, or legal teams if you have any doubts about what you should or should not do. Let them make the hard decisions. You can then help follow through as needed.
Giving your employees confidence that workplace investigations will be handled well — and doing your best to follow the law, as well as your organization’s guidelines for investigations — is a critical part of helping your organization strengthen its culture of ethics and respect. Protect Your Cash — Part 2 Will Barnes, Senior Auditor Note: The source for tips listed below is FBI.gov. How many times have you opened an email from someone you didn’t know or a company with which you’ve never done business telling you about a great offer that you must act on now if you want to save money? As the old saying goes, if it sounds too good to be true, it probably is! Even in this day and time there are email schemes and scams to which even the most astute individuals can fall victim. The bad guys continue to look for ways to con good folks out of their money. With the holiday shopping season soon to be upon us, take care to ensure you protect your cash when shopping via the Internet. The FBI offers tips that can help you avoid becoming a victim of cyber fraud, including:
Do not respond to unsolicited email. Do not click on links contained within an unsolicited email. Be cautious of emails claiming to contain pictures in attached files; the files may contain viruses. Only open attachments from known senders. Scan the attachments for viruses if possible. Avoid filling out forms contained in email messages that ask for personal information. Always compare the link in the email to the link you are actually directed to and determine if they match and will lead you to a legitimate site.
(continued on page 3)
Ask the Auditor! We invite you to send your questions to internal_audit@gru.edu, and we may feature them in future issues. 1120 15th Street, Augusta, GA 30912 | Phone: 706-721-2661 | Fax: 706-721-9094
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The Audit Connection
Inside this issue:
Log on directly to the official website for the business identified in the
MEMO TO MANAGERS 1 You’ve received an allegation of misconduct — Now what? Protect your cash!
2
Team-building in the workplace
3
Career Week: Internal Audit Rocks!
5
Kudos Korner!
6
International Fraud Awareness Week
7
email instead of “linking” to it from an unsolicited email. If the email appears to be from your bank, credit card issuer, or other company you deal with frequently, your statements or official correspondence from the business will provide the proper contact information. Contact the actual business that supposedly sent the email to verify that the email is genuine. If you are requested to act quickly or there is an emergency that requires your attention, it may be a scam. Fraudsters create a sense of urgency to get you to act quickly. If you have information about a fraud, report it to state, local, or federal law enforcement agencies. To report potential e-scams, you can go to the Internet Crime Complaint Center and file a report. If you receive unsolicited email offers or spam, you can forward the messages to the Federal Trade Commission at spam@uce.gov. For additional information, tips, and warnings, visit the FBI website at fbi.gov/scams-safety. Remember, buyer beware, the money you save could be your own. Team-building in the Workplace Rufus Copeland, Auditor "Coming together is a beginning. Keeping together is progress. Working together is success." ~ Henry Ford The technique of team-building has been around for a long time and is a method used by many organizations to inspire groups of workers to communicate and work together through a series of planned events that are both fun and meaningful. Experts have found that such exercises can help teams break down political and personal barriers by enhancing trust and cooperation amongst fellow members, which in return, improves team performance and motivation. It also provides an opportunity for individuals to get to know other team members and strengthen working relationships. TEAM-BUILDING WITH A PURPOSE The success of most organizations depends on the ability of individuals to build effective teams. It is important that when planning team-building activities that the responsible entity identify the specific strengths and weaknesses of the team and then develop a model with clear objectives, building upon the strengths while addressing the weaknesses. Without having this knowledge, the team-building leader runs the risk of using a process that will be irrelevant or useless. Likewise, organizational values should be strategically incorporated into activities and reinforced throughout the process. (continued on page 4)
Ask the Auditor! We invite you to send your questions to internal_audit@gru.edu, and we may feature them in future issues. 1120 15th Street, Augusta, GA 30912 | Phone: 706-721-2661 | Fax: 706-721-9094
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The Audit Connection
Inside this issue: MEMO TO MANAGERS 1 You’ve received an allegation of misconduct — Now what? Protect your cash!
2
Team-building in the workplace
3
Career Week: Internal Audit Rocks!
5
Kudos Korner!
6
International Fraud Awareness Week
7
Research shows that long — term team-building has a stronger impact than a short — term strategy. Some experts suggest planning for a full year to prevent brief motivational surges that quickly fade. Another component of a good team-building program is regular evaluations. Leaders should routinely measure the impact of team performance to monitor whether objectives are being met. BENEFITS Engaging in effective team-building allows groups to unlock hidden potential by boosting creativity and leadership skills among members. These exercises are important not just for the immediate experience, but also for the group skills, communication, and bonding that result from the process. Below are additional reasons why team-building is a great tool that is important in the workplace:
Promotes cohesiveness and unity Boosts trust and accountability Encourages individual development Improves morale and reduces stress Improves the ability of the team to resolve conflict Promotes higher efficiency of team
Overall, team-building in the workplace provides an opportunity for groups to share laughter and smiles while developing efficiency and effectiveness in achieving a common goal. It also builds trust, accountability, and stronger relationships that ultimately increase productivity. EXAMPLES Here are a few simple ways to engage in team-building:
Icebreaker before meetings Potluck or team lunch for celebrations (i.e., birthdays, team & individual accomplishments, etc.) Participate in group volunteer opportunities Work book club
There are numerous cost-effective ideas for groups to consider when deciding which exercise or activity fits them. Just remember to be strategic and creative. TRAINING OPPORTUNITIES The GRU Workforce Development section within Human Resources has several valuable courses intended to facilitate individuals and groups in improving performance and achieving success. Check them out at gru.edu/hr/training/training -tracks.php.
Ask the Auditor! We invite you to send your questions to internal_audit@gru.edu, and we may feature them in future issues. 1120 15th Street, Augusta, GA 30912 | Phone: 706-721-2661 | Fax: 706-721-9094
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The Audit Connection
Inside this issue:
Career Week: Internal Audit Rocks!
MEMO TO MANAGERS 1 You’ve received an allegation of misconduct — Now what? Protect your cash!
2
Team-building in the workplace
3
Career Week: Internal Audit Rocks!
5
Kudos Korner!
6
International Fraud Awareness Week
7
At the invitation of the Hull College of Business, Internal Audit took an active role in Career Week, in support of the outstanding accounting students on the Summerville Campus. This builds upon our ongoing collaboration with the HCOB, and the Internal Audit Internship Program. We continued to be impressed with the high caliber of students produced by HCOB faculty. These students encompass the whole package: competency, capability, maturity, and an eagerness to begin their careers. Internal Audit considers our partnership with HCOB to be an essential part of our departmental mission. Highlights follow: Visiting Professionals The Chief Audit Officer and the Associate Director of Audit both took a turn in front of the classroom, talking about career opportunities in internal audit. During Career Week, Clay Sprouse, CAO, visited Dr. Sam Park’s Accounting class, while Kathleen Boyd, AD, visited Professor Steve Loflin’s Auditing class. Accounting students are typically focused on a trajectory that leads to certification as a public accountant (CPA). We encourage them to go one step further and also obtain certification in internal audit (CIA). The CIA designation enhances the CPA credential and can broaden career options. Accounting Night Clay Sprouse and Kathleen Boyd were on hand on Accounting Night on Oct. 2, 2014, shaking hands with students who were there to meet prospective employers from throughout the CSRA. Again, we were impressed with the caliber of the students and the professional way in which they presented themselves. Career Lunch Oct. 31, 2014 On Oct. 31, HCOB students are invited to join Internal Audit staff for a Lunch and Learn. The program will present an overview of internal audit as a career choice, dispel myths about internal audit, and allow students to hear the success stories of staff auditors who work at GRU. Students will also learn more about the Internal Audit Internship Program. Space is very limited, so don’t delay if you want to participate. RSVP: Ms. Amy Routh, arouth@gru.edu.
Ask the Auditor! We invite you to send your questions to internal_audit@gru.edu, and we may feature them in future issues. 1120 15th Street, Augusta, GA 30912 | Phone: 706-721-2661 | Fax: 706-721-9094
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The Audit Connection
Inside this issue: MEMO TO MANAGERS 1 You’ve received an allegation of misconduct — Now what? Protect your cash!
2
Team-building in the workplace
3
Career Week: Internal Audit Rocks!
5
Kudos Korner!
6
International Fraud Awareness Week!
7
KUDOS KORNER!! Abram Serotta Distinguished Professional Award Kathleen Boyd was this year’s recipient of the Abram Serotta Distinguished Professional Award, selected by the Hull College of Business. The award is presented to an accounting professional who demonstrates service to students and education while serving as an advocate for the accounting profession. The award was announced at Accounting Night.
Kathy Boyd, Associate Audit Director, and Clay Sprouse, Chief Audit Officer
Congratulations Kathy!
Ask the Auditor! We invite you to send your questions to internal_audit@gru.edu, and we may feature them in future issues. 1120 15th Street, Augusta, GA 30912 | Phone: 706-721-2661 | Fax: 706-721-9094
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The Audit Connection
Inside this issue: MEMO TO MANAGERS 1 You’ve received an allegation of misconduct — Now what?
USG FRAUD AWARENESS PROGRAM
Protect your cash!
2
Team-building in the workplace
3
International Fraud Awareness Week
Career Week: Internal Audit Rocks!
5
November 16 – 22, 2014
Kudos Korner!
6
International Fraud Awareness Week!
7
The University System of Georgia (USG) is a proud participant of International Fraud Awareness Week, Nov. 16-22, 201. In support of this effort, Georgia Regents University will be hosting activities to bring awareness to fraud and further promote an ethical culture on our campus. As you know, no organization or institution is exempt from the potential for fraud and the resulting risk to institutional reputation and its employees. Activities during this week will help bring awareness to fraud prevention and will reinforce the USG’s culture of recognizing the hard work of all employees, and promoting shared values of integrity, excellence, accountability, and responsibility. Our theme for this week is “The SPIRIT of USG.” The activities planned will emphasize: Stewardship Prevention Integrity Responsibility Inspiration, and Trust This awareness program is part of a comprehensive Ethics and Compliance Program, which includes ethics training, mandatory compliance training, assurance audits, consulting engagements, and an ethics and compliance reporting hotline. More information regarding the SPIRIT of USG activities will be provided over the next several weeks.
Ask the Auditor! We invite you to send your questions to internal_audit@gru.edu, and we may feature them in future issues. 1120 15th Street, Augusta, GA 30912 | Phone: 706-721-2661 | Fax: 706-721-9094