Today A MESSAGE FROM THE INSTITUTE OF INTERNAL AUDITORS
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News from The IIA and the Internal Audit Profession 13 For 13: 13 Has Never Been So Lucky 3 Lines: Position Paper Endorses “Three Lines” Risk Approach International Conference Excellence: A Moving Target
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OUR PRINCIPAL PARTNERS MAKE A DIFFERENCE The IIA acknowledges the ongoing support from our Principal Partners, who help enhance the internal audit profession by sharing their resources and knowledge with our most valuable asset – our members. These partners actively serve as members and volunteers within The IIA, participate in the introduction of new guidance, develop world-class training, and show their commitment in many other ways in an effort to advance the internal audit profession.
The IIA encourages you to tap into the expertise of our Principal Partners in 2013!
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Welcome message Dear IIA Member,
Today PUBLICATION DIRECTOR
Carrie Summerlin EDITOR
Paula Michaels STAFF EDITORS
Lisa Krist Maggie Dunn Sandra Johnson Shelli Browning CONTRIBUTING EDITOR
Christina Brune ART DIRECTOR
As chief officer of The IIA’s North American operations, I’m pleased to tell you about the many ways that The IIA is working diligently to deliver increased value to you — our No. 1 priority. At IIA headquarters, our aim is to become an indispensible resource to help you throughout your career in internal auditing. We do this by delivering high-quality guidance, training, networking opportunities, and services to help you now and throughout your professional journey. From the award-winning Internal Auditor magazine, to monthly Members-only Webinars, to indispensible Practice Guides and numerous training and certification offerings, your IIA membership provides you with an array of resources to help support your success. Read more about these and other benefits in this issue’s feature story, “13 Has Never Been So Lucky,” on page 8.
Jon Peters Graphic Designers
Brandie Tate Cathy Watanabe PRODUCTION MANAGER
Lori Shewack IIA PRESIDENT AND CEO
Richard F. Chambers, CIA, CCSA, CGAP, CRMA IIA CHAIRMAN OF THE BOARD
Philip D. Tarling, CIA, CRMA, CMIIA
IIA Today is a bimonthly publication produced exclusively for members of The IIA. To learn more about this publication, please visit www.theiia.org/IIAToday . We welcome all comments, questions, and feedback. Please send your message to IIAToday@theiia.org and include your name and contact information.
As part of our commitment to improving your professional experience, The IIA continually strives to enhance the image of internal auditing. We’ve embraced our role as the profession’s leader and global voice, and we’re working diligently on your behalf to ensure that regulators and legislators recognize the value that a quality internal audit function brings to organizations. Further demonstrating our commitment to your professional growth and to the advancement of the internal audit profession across all industries, The IIA has begun developing an American Center for Government Auditing, a way to provide more relevant information and cater to the specific needs of our members who work in government. Look for more information on this initiative in the coming months. Finally, I wish to commend you for the part you play in elevating the internal audit profession. In 2012, The IIA saw record conference attendance, certification applications, e-learning participation, and membership retention rates — all indicators that today’s practitioners are serious about demonstrating professionalism and taking the internal audit profession to new heights. We thank you and look forward to serving you and offering additional exciting membership benefits in the years to come. Sincerely,
The Institute of Internal Auditors
247 Maitland Ave. Altamonte Springs, FL 32701-4201 USA +1-407-937-1100 www.theiia.org
Kevin Mayeux Senior Vice President & Chief Officer, North American Operations The Institute of Internal Auditors Inc., Global Headquarters
All contents copyright © The Institute of Internal Auditors (IIA) 2013.
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Global Pulse of the Profession — A Phenomenal Response More than 1,700 internal audit leaders across the world participated in the Audit Executive Center’s Global Pulse of the Profession Survey, a semi-annual survey that identifies emerging trends for the internal audit profession. The spring survey included probing questions on ethics and independence.
2013: SEIZE O T E TIM U T R NITY THE OPPO
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The North American results were released at the 2013 General Audit Management Conference and a complimentary report is available at www.theiia.org/cae/news-releases. Global results will be released in April.
Download your copy at www.theiia.org/cae/news-releases 3/11/13
2013 Pulse
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IIA and ISACA Partner for GRC Conference This year’s Governance, Risk, and Control (GRC) Conference is a collaborative effort between The IIA and ISACA. The two organizations are uniting for the first time to assist both membership bases of internal audit and information systems professionals, as they look for solutions to today’s toughest challenges in the governance, risk, and control arenas. This year’s conference will be held August 19–21, 2013 in Phoenix, Ariz.
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News
Three-part CIA Exam Coming Soon
Joint White Paper Describes Attributes of Effective Internal Auditors As the evolution of the internal audit function accelerates, the portfolio of skills and attributes that determine professional success transform. In this forwardthinking and timely white paper, IIA President and CEO Richard Chambers and Robert Half International Senior Executive Director Paul McDonald outline the seven attributes of a highly effective internal auditor in today’s evolving business environment. Visit the “Latest News” section on The IIA’s homepage, www.theiia.org, to download 7 Attributes of Highly Effective Internal Auditors.
Registration for the English three-part Certified Internal Auditor (CIA) exam opens in May, and the first exam will be offered in July. If you’re currently in the process of earning your CIA, explore your options for completing the certification by using the Transition Planning Tool, available at www.theiia.org/goto/CIA2013.”
What’s New on AuditChannel.tv? ■■ “Making Bold Career Choices.” Carolyn Saint, vice president of
Internal Audit at 7-Eleven Inc., discusses how to make the right career choices and encourages auditors to not be risk averse. ■■ “Rethink Your Approach to Technology” Norman Marks, a technology evangelist, encourages internal auditors to refresh and rethink their approach to using technology to do their work. ■■ “5 Tips for Auditing the Marketing Function.” Peter Scott, coauthor of The Marketing Strategy, published by The IIA Research Foundation, provides five tips for performing an audit of the marketing function. To read more on this subject, see Scott’s article, “On Unfamiliar Ground,” in the February 2013 issue of Internal Auditor (Ia) magazine.
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CRMA on the Map More than 8,000 individuals worldwide have been granted the Certification in Risk Management Assurance (CRMA) through the Professional Experience Recognition (PER) process, and it is estimated that the number of certified individuals will exceed more than 10,000 by March 31, when the global PER period ends. Registration for the English exam begins in May, and the first exam will be offered in July.
Show Off Your Certifications
New Guidance Soon to Be Released: Practice Guides and Advisories
The IIA has launched a new Certifications eStore, featuring high-quality merchandise branded with the flagship Certified Internal Auditor (CIA) logo, available exclusively to certified members. The store carries several items, such as travel tumblers, flash drives, and leather accessories, with the CIA and CRMA logos that can ship to any location worldwide. More items will be added in the coming months, and the selection will be extended in 2013 to include The IIA’s specialty certifications. Visit the Certification section of www.theiia.org and click “Certifications eStore” to see what’s new.
The IIA’s Professional Issues and Public Sector committees have been busy creating useful guidance documents for members who work in private- and public-sector organizations. Among those to be released under the International Professional Practices Framework (IPPF) strongly recommended guidance are Practice Advisory; Audit Sampling, Practice Advisory; Continuous Assurance, and Practice Guide; Auditing Antibribery and Anti-corruption Programs. Though not part of the IPPF, a new Leading Practice document entitled Transparency of the Internal Audit Report in the Public Sector describes how public sector leaders have an opportunity to position themselves for potential changes to transparency arrangements within their own jurisdiction. Learn more and download at www.theiia.org/guidance.
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IIA Outreach to Enhance the Profession In early 2013, IIA President and CEO Richard Chambers met with key legislators and regulators in Washington, D.C., as well as with stakeholder organizations in New York City in a continued effort to build awareness and enhance the global profile of, and demand for, the internal audit profession. Outreach to these critical stakeholder organizations is aimed at building the credibility of The IIA as a global standard-setting body and seeking recognition of the critical role of
internal auditing to good governance, risk management, and control. In the months ahead, The IIA will work with the CPA Caucus to provide a training session for congressional staff members to help them better understand the internal audit profession, and Chambers will meet with the members of the CPA Caucus in a briefing session on the profession.
IIA President and CEO Richard Chambers at the New York Stock Exchange with Adam Stummer, NYSE Vice President of Compliance – Testing and Monitoring.
Hot Blogs on IaOnline Check out these recent popular blog posts on IaOnline: • “Five Things Internal Auditing Has Taught Me About Human Nature,” by Richard Chambers, Chambers on the Profession. • “How Social Media Intelligence Can Guide and Improve Performance,” by Norman Marks, Marks on Governance. • “…Seems We Just Get Started and Before You Know It…,” by Mike Jacka, From the Mind of Jacka
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Feature story
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13 key membership benefits for success in 2013. Throughout history, the number 13 has been given a bad rap. Depending on how superstitious you are, you may go to great lengths to avoid the notoriously unlucky number. But The IIA has set out to change all that. In fact, this year we’ve ramped up our commitment to supporting your professional success with 13 new and enhanced membership benefits designed to help you advance your career and ensure a favorable outlook.
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NEW — Report CPE for free. Beginning this year, IIA members will enjoy free continuing professional education (CPE) reporting — an annual savings of US $100 for Certified Internal Auditors, plus US $25 for each specialty certification held.
Earn CPE without leaving your desk. IIA members can earn free CPE credits at home, in the office, or in the field by attending live Membersonly Webinars and Guidance Briefings. It’s a convenient way to stay current on recent guidance releases and timely topics affecting the practice of internal auditing. Register for a complimentary upcoming webinar on emerging fraud risks, enterprise risk management, governance audits, ethics, internal audit and mobile security, or career development, to name a few.
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Take advantage of the Audit Career Center. With more than 10,000 unique visitors and 250 job postings per month, The IIA’s online job board is the perfect resource for planning your next career move. Whether you are seeking a rewarding new position or looking to hire qualified talent, the Audit Career Center is the premier source for internal audit job opportunities. Not only can IIA members post their resumes for free, but the site features advice and resources on topics such as handling salary negotiations, writing effective resumes, and recruiting and retaining top talent.
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Feature story
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Build Your Leadership Skills With Volunteer Opportunities. The IIA offers an array of local, regional, and global volunteer opportunities to enrich your career and help develop your leadership skills. Serve on one of The IIA’s 19 committees or as a leader in your local chapter; become an IIA seminar instructor; serve as a quality assessment team member; share your knowledge as a guest speaker at IIA functions; volunteer to plan activities for International Internal Audit Awareness Month (May); or guide the next generation of internal auditors through a mentoring program with your local chapter. Not only will volunteering give you valuable leadership experience, but you’ll also play a key role in helping to shape the future of the internal audit profession.
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Enjoy Multimedia Internal Auditor Content. Join the more than 16,000 others who have downloaded Internal Auditor’s free mobile app, Ia, to access the magazine as well as online-exclusive content such as regular blogs from industry experts, a daily news feed, and articles, departments, and AuditChannel.tv videos that supplement the magazine’s content. To keep up-to-date with the latest internal audit and business news from around the world, social media-savvy members can follow Ia on Twitter @IaMag_IIA or the Facebook Fan Page, Internal Auditor Magazine.
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Connect With a Professional Global Network. With more than 180,000 members around the world, The IIA offers numerous ways for you to network and share knowledge with like-minded professionals in your region and industry. By attending chapter meetings, participating on social media (such as LinkedIn, Facebook, or Twitter), viewing or posting AuditChannel.tv videos, or attending The IIA’s many impressive annual conferences, you can expand your professional network and learn from thought-leaders around the world.
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Enhance Your Performance With Authoritative Guidance. As an IIA member, you have access to every piece of guidance in The IIA’s International Professional Practices Framework (IPPF), an invaluable resource for new and experienced audit professionals alike. The IPPF includes the Definition of Internal Auditing, International Standards for the Professional Practice of Internal Auditing (updated in 2013), Code of Ethics, Position Papers, Practice Advisories, and Practice Guides, which feature sample procedures, tools, and stepby-step approaches. New strongly recommended guidance scheduled for release this year addresses topics such as anti-corruption and bribery, maturity models, crisis management, continuous auditing, and management of IT audit. Coming soon in 2013, the IPPF also will include guidance specific to internal auditors operating in government and other public sector organizations.
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Receive the Benefit of Legislative Advocacy. As the profession’s recognized authority and global voice, The IIA works diligently on your behalf to broaden the business world’s understanding of the value that a professional, appropriately structured, adequately resourced internal audit function brings to an organization. During the first few weeks of 2013, IIA President and CEO Richard Chambers met with key legislators and regulators in Washington, D.C., including more than a dozen House members and their staffers. The IIA’s advocacy strategy on Capitol Hill is aimed at building recognition of The IIA as the voice of the profession among policy makers and becoming an important resource for legislators involved with developing legislation affecting organizational governance, risk, and control.
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Feature story
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Save on Business Expenses. Take advantage of The IIA’s Partner Savings Program, and enjoy exclusive savings on professional and personal services provided by IIA partners such as GEICO, Dell, Hertz, and others. Also, look out for seasonal promotions throughout the year. Enjoy Professional Development Savings. As an IIA member, you can save big on professional development with exclusive member rates, including 25 percent off all courses at exciting new locations for a limited time. Not only will you see new courses and locations in 2013, but The IIA will unveil an entirely new professional development opportunity: MOSAIC, an experience so unique it cannot be labeled as a conference, forum, seminar, symposium, or course. MOSAIC is a convergence of ideas, an industrywide discussion of solutions to the biggest internal audit and risk management challenges in six diverse industries.
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Get Select Research Publications for Free. The IIA Research Foundation (IIARF) provides leading research through white papers, reports, and books focused solely on the internal audit profession, offering insight, trends, and leading practices. Select complimentary downloads are available exclusively to members, including the upcoming report Anti-corruption Law Compliance for Middle-market Companies, scheduled for release in May 2013.
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Boost Your Earnings With an IIA Certification. According to The IIA’s 2012 Internal Audit Compensation Study, the median salary of auditors who hold their CIA designation is as much as 40 percent higher than peers without the credential. And as an IIA member, you get discounted member pricing on Certified Internal Auditor (CIA) and specialty exam registration fees — a savings of up to US $150 for the three-part CIA exam. It’s a great time to attain a certification. The IIA’s certifications team just added enhancements to improve the document submission process, in preparation for the new Certification in Risk Management Assurance exam and the three-part CIA exam, both of which will be offered in English this July (registration begins in May).
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Build Your Professional Library. The IIARF Bookstore offers special members-only rates — up to 85 percent off select books, training materials, certification preparation materials, interactive programs, and more during seasonal sales. Look for the following upcoming releases: QA Manual; Internal Auditing: Assurance & Advisory Services, 3rd Edition Textbook; and COSO Internal ControlsIntegrated Framework Update Guide. Also new in 2013, the Bookstore will begin offering major selections in a digital format.
In reality, luck has nothing to do with it. With these 13 membership benefits, you can take control of your future and advance your professionalism and career success. For more information about The IIA’s 13 in ’13 membership benefits, visit www.theiia.org or contact IIA Customer Relations at +1-407-937-1111 or CustomerRelations@theiia.org.
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TRAINING Indianapolis, IN
Philadelphia, PA
IIA Seminars Attend. Learn. Advance. Repeat. Miami, FL
SAVE 25% when you register for a course at one of our 5 EXCITING NEW LOCATIONS! Anaheim, CA
San Antonio, TX
Not only is The IIA the global leader in internal audit education, we’ve added five exciting new Seminar destinations to our existing lineup, making access to success that much easier. Stay ahead of the curve with skills all internal auditors need. Sign up and save today! Save 25% off any courses offered in sunny Miami, Fla., April 8-11, 2013 when you register by March 31, 2013 using discount code NEWMIA25! More than simple education, the benefits of continued career training through The IIA are limitless.
Top 5 Benefits of Continued Training 1. Recession proof your career—become a more valuable employee and expand your transferable career skills. 2. Professional credibility—become a leader people want to follow. 3. Network with industry peers—make valuable connections in your industry. 4. Engage with the experts—learn from the best and most respected professionals in the business. 5. Gain insight—benefit from new approaches and best practices in internal audit.
You can also Save 25% when you register by June 30, 2013, and use discount code NEWSEM25 for courses offered in the following locations: Indianapolis, IN.......... June 10–13 San Antonio, TX.....Sep. 30–Oct. 3 Anaheim, CA...............Nov. 18–21
LEARN MORE AND REGISTER AT www.theiia.org/goto/SAVE25.
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TRAINING
SEPTEMBER 23–24, 2013 HYATT REGENCY PHILADELPHIA AT PENN’S LANDING / PHILADELPHIA, PA, USA
The IIA is pleased to offer MOSAIC: A Convergence of Ideas. New in 2013, MOSAIC will be an experience like no other. In fact, MOSAIC is so unique we cannot label it a conference, a forum, a seminar, a symposium, or a course. It is truly a MOSAIC experience. MOSAIC brings together well-respected internal audit professionals from six very different industries. Each of the industries on which MOSAIC will focus has unique regulatory, governance, and risk management challenges, which to-date are not the focal point of any general internal audit industry conference. The objective for MOSAIC will be to generate industrywide discussion and solutions to the biggest internal audit and risk management challenges in each of these select industries. ■■ Energy ■■ Financial Services (Financial Services/Banking/Real Estate) ■■ Healthcare ■■ Hospitality/Entertainment/Dining/ Food & Beverage ■■ Pharmaceutical ■■ Retail
MOSAIC will open each morning with a dynamic, stimulating general forum for all in attendance followed by industry-specific labs focused on finding solutions to the biggest internal audit challenges facing your industry. Confirmed keynote speakers include: •K evin Mayeux, CRMA, Chief Operating Officer and General Counsel, The Institute of Internal Auditors •S anjay Singh, CIA, CPA, CMA, Vice President, Internal Audit, Starbucks Coffee Company •C arolyn D. Saint, CIA, Vice President, Internal Audit, 7-Eleven Inc. Only internal audit professionals from the industries listed have been invited to MOSAIC, and participation is limited. If you’re intrigued by being a thought-leader in your industry, you won’t want to miss MOSAIC. Learn more and register at www.theiia.org/goto/mosaic.
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special feature
POSITION PAPER ENDORSES “Three lines” RISK APPROACH The IIA has issued a position paper advocating the Three Lines of Defense Model, a cohesive leading-practice approach to effective risk management that can be applied to organizations of varying size and industry. The 10-page document addresses an escalating challenge in the realm of risk management: providing a coordinated, systematic approach to risk management and control by clarifying essential roles and duties of all players involved, from the board level to operations personnel. “Boards of directors are feeling increased pressure to effectively govern the organizations they oversee, to protect stakeholder interests and preserve shareholder value,” explains IIA President and CEO Richard Chambers. “Given the complexity of the current business risk landscape, it’s imperative that directors and senior management ensure that their organizations have a comprehensive,
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effective risk management strategy in place to address key strategic, financial, and operational risks.” Without such a cohesive risk management strategy, “limited risk and control resources may not be deployed effectively and significant risks may not be identified or managed appropriately,” warns the paper.
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special feature
The Three Lines of Defense Model clearly illustrates how three groups within an organization each play a distinct role in ensuring the organization’s risks are well managed: 1. The first line of defense is operational management, which executes risk- and control-related procedures on a day-to-day basis.
explains Doug Anderson, project leader for the paper and global finance director for Dow Chemical Co. He notes that the Three Lines of Defense Model is consistent with The IIA’s previously published technical guidance on internal audit’s roles and responsibilities.
3. The third and final line of defense is internal audit, whose separation from management duties and direct functional reporting to the audit committee of the board of directors make it a valuable independent resource directors can leverage to help them carry out their oversight responsibilities.
The model’s straightforward approach to coordinating risk management duties offers organizations a way to improve efficiency and effectiveness by minimizing coverage gaps and duplication of effort. “Because risk management responsibilities increasingly are split across multiple departments and divisions, duties must be coordinated carefully to ensure that risk and control processes operate as intended,” observes Anderson. “Clear responsibilities must be defined so that various groups of risk and control professionals understand the boundaries of their responsibilities and how their positions fit into the organization’s overall risk and control structure.”
“Internal audit’s uniquely independent positioning within the organization enables it to provide objective insight and reliable assurance to senior management and the board on whether the organization’s key risks are being identified and addressed,”
The IIA’s Position Paper, The Three Lines of Defense in Effective Risk Management and Control, speaks clearly to governing bodies and senior management, which The IIA identifies as parties who may be in the best
2. The second line of defense varies from organization to organization and comprises specialty risk and compliance departments focused on areas such as security, quality, compliance, and fraud.
IIA Position
Governing Body / Board / Audit Committee Senior Management
Security
Management Controls
Internal Control Measures
Risk Management Quality
Internal Audit
Inspection
Regulator
3rd Line of Defense
Financial Control
External audit
2nd Line of Defense
Position papers are strongly recommended guidance under The IIA’s International Professional Practices Framework. A complimentary PDF can be downloaded from The IIA’s website, www.theiia.org/guidance.
KEY RECOMMENDED PRACTICES • Each line of defense should be supported by appropriate policies and role definitions. • There should be appropriate coordination among the separate lines of defense. • Lines of defense should not be combined or coordinated in a manner that compromises their effectiveness. • In situations where functions at different lines are combined, the governing body should be advised of the structure and its impact. • For organizations that lack an internal audit activity, management and/ or the governing body should be required to explain and disclose to their stakeholders that they have considered how adequate assurance on the effectiveness of the organization’s governance, risk management, and control structure will be obtained.
THE TH REE LIN ES IN EFFE CTIVE RIS OF DEFENS E AND CO NTROL K MANAGEME NT JANUARY 2013
The Three Lines of Defense Model
1st Line of Defense
Paper:
position to help ensure the model is well reflected in the organization’s risk management and control processes. As such, The IIA encourages members to share this paper with managers, board members, and other parties who may be interested in the approach and how it can help them achieve their risk management objectives.
Compliance
Adapted from ECIIA/FERMA Guidance on the 8th EU Company Law Directive, article 41
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LOCAL News
IIA MEMBER/STAFF NEWS
CHAPTER NEWS
IIA Global Headquarters staffer Debbie Hoffman, CIA, CISA, CRMA, CBA, died Jan. 11, at the age of 58. In her short 16 months with The IIA, Hoffman served as the staff liaison to the Global Ethics Committee and Ethics Officer at The IIA’s Global Headquarters in Altamonte Springs, Fla. “Those who were fortunate to work with Debbie as colleagues at The IIA respect her for her many talents and the way she readily shared her skills and knowledge,” said Sally Dix, vice president of Standards and Guidance for The IIA. “We will surely miss her.”
Detroit Chapter Celebrates its 70th Anniversary!
J. Michael Peppers, CIA, CRMA, CPA, FACHE, chairman of The IIA’s North American Board, was promoted to chief audit executive for The University of Texas System in Austin in November 2012. Peppers’ 25-year career began in public accounting and has included serving as chief audit executive at major healthcare and higher education institutions. He previously served on The IIA’s International Internal Audit Standards Board and has held a number of volunteer leadership positions at the regional and chapter levels. Peppers currently serves on the University of Houston’s Department of Accountancy Advisory Board. Christy Decker, CIA, CRMA, CPA, CFE, has been promoted to vice president of Internal Audit at Sharp HealthCare, where she most recently served as director and chief audit executive. Prior to joining Sharp, Decker gained corporate accounting experience with Copley Newspapers Inc., public accounting experience with KPMG, and banking experience with Wells Fargo. She currently volunteers as a regional district representative for The IIA and board member for The IIA’s San Diego Chapter.
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The Detroit Chapter marked its 70th anniversary on Jan. 27, 2013. In celebration, the February chapter meeting was a special event featuring exceptional speakers, honoring past chapter presidents, and highlighting 70 years of driving excellence in Detroit.
More than 175 members, guest and students heard from long-time member of the Detroit Chapter, Douglas J. Anderson, Vice Chairman of the IIA’s Professional Guidance Advisory Council and former chief audit executive of Dow Chemical Company, discussed how internal auditors can “earn our keep” and be considered a value-added resource to our stakeholders. J. Michael Peppers, Chairman of the North American Board of The IIA discussed the future of The IIA and initiatives to increase awareness and value of the profession. In appreciation, the Detroit Chapter made a donation to Junior Achievement in the names of both speakers to fund an IIA-Junior Achievement event to help local junior high & high school students learn the importance of personal budgets and finances.
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special feature Louisville Chapter Commemorates 65 Years
Dec. 1, 2012. The drive concluded with a free one-day seminar entitled Key Updates for the Successful Auditor.
On Dec. 11, 2012, The IIA’s Louisville [Ky.] Chapter celebrated its 65th birthday with much fanfare, reminiscing, and of course cake! During the celebration, attendees reflected on the chapter’s history and recognized the fact that Louisville was one of The IIA’s first established chapters. Special guest retired Kentucky State Auditor Crit Luallen provided an executive’s perspective on the longevity and value of the internal audit profession.
The event attracted more than 80 participants, 26 of whom were new members to The IIA. “We are very pleased with the response to our membership campaign, as we continue to uphold The IIA’s motto of ‘Progress Through Sharing’ and as we proudly celebrate our silver anniversary,” said Chapter President Roger Ramdwar. “Our free one-day seminar and membership offering are just two of the many initiatives planned for the chapter this year, as we focus our efforts on the development of the membership.”
Atlanta Chapter Awards University $50,000 “The anniversary celebration was a great opportunity to look back at how far the chapter has come, and take time to be excited about our bright future,” said eight-year member Michael Vincent, who serves as the chapter’s vice president. “It was also great to share this occasion with a highly influential political figure who shares the chapter’s passion for continuous improvement.”
Trinidad and Tobago Celebrates 25 Years This year, The IIA’s Trinidad and Tobago Chapter commemorated its 25th anniversary with a free one-day seminar, a successful membership campaign, and an engaging gala. In preparation for its anniversary year, the chapter collaborated with IIA Global at the end of last year to launch a two-month membership drive beginning
The IIA’s Atlanta Chapter has awarded US $50,000 in grant funding to Kennesaw State University’s (KSU’s) School of Accountancy. The grant represents the chapter’s continued support of the University’s Internal Auditing Education Partnership (IAEP) program with The IIA and overall activities of Kennesaw State’s Internal Audit Charter. “We are proud to continue our association with Kennesaw State as it develops programs that help students prepare for the internal audit profession,” said Chapter President John Fuchko III. “Our organization was able to do this because KSU demonstrates continued commitment to the Atlanta Chapter, the internal audit profession, and the IAEP, as evidenced by the implementation of a curriculum in its Master of Accounting program that reflects many of the elements of The IIA’s Global Model Internal Audit Curriculum.” This is the second time the Atlanta Chapter has awarded funding to Kennesaw State’s School of Accountancy. In early 2012, the chapter matched a US $50,000 grant from the Internal Auditing Academic Advancement Fund for curriculum development. w w w. t h e i i a . o r g
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Excellence: A Moving Target You don’t have to be a brain surgeon — or a computer programmer — to know that technology is changing the way the world does business. It’s accelerating communications, igniting partnerships around the globe, heightening cyber security risks, and in some cases putting people out of work. A job that once took dozens of workers months to complete now can be done almost instantly by a single employee using targeted software.
Recognizing the technology trend is easy. Doing something about it — well, that’s a different story. “We’re living in a high-speed world where organizations are challenged with the incredibly difficult — if not impossible —task of doing business 10 times Tom Peters faster and 10 times better,” says Tom Peters, business management guru and author of more than a dozen best-sellers, including the famed In Search of Excellence. “It’s an age of science fiction and wild artificial intelligence accelerating at an incredible speed.” A 35-year resident of Silicon Valley, eight-year partner at management consulting firm McKinsey & Co., and former Big 6 consultant, Peters has spent a lifetime picking apart successful organizations and trying to figure out what makes them tick. He has been described as one of the most influential business thinkers of all time and is credited with single-handedly inventing the “management guru” industry. Though he modestly stops short of claiming to possess any magical secrets to organizational success, Peters unequivo18
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cally knows the meaning of high-quality professional services and understands what many of today’s successful companies are doing right. He offers a few tips and thought-provoking observations: ■■ Get serious about hiring.
“Most organizations are mediocre at hiring,” says Peters. “Hiring is as hard as learning to play the cello, and not many people take it quite that seriously.” He recommends diversity — and not the typical gender- and race-based diversity. Seek employees with incredibly different points of view, he says, and recruit young talent. “If you have an 11-person internal audit department, four people must be under the age of 30,” he asserts, adding that today’s kindergarteners have the technological know-how that their 35-year-old parents lack. “New times call for new types of talent, and curious young people must be at the front edge of the technology transformation.” ■■ Take care of your employees.
Once you’ve assembled a dream team of talent, you’ve got to keep them happy, because your organization is only as good as its talent. “If you want to serve your
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customers incredibly well, first you must serve your employees well,” says Peters, who likens grooming an organization’s employees to investing in the personal growth of a professional football player for the sake of the team. ■■ Be helpful.
It seems simple enough, but Peters observes that internal audit has a reputation for being the “gotcha gang,” finding errors and reporting them. “Every internal audit department has an equally important role to be helpful to its internal clients,” he argues. “Be a business partner and consultant.” ■■ Make ethics a priority.
Of course it’s easy to say when you’re speaking theoretically, but do you really have the courage to stay true to your morals if it means losing your job or not being able to work in the industry again? “Integrity comes first,” says Peters, adding that he’s well aware of the consequences of whistle-blowing, “way before holding onto your job, even if you have three kids that you’re trying to put through college.” Peters will share additional pearls of wisdom in his upcoming general session presentation at The IIA’s International Conference July 14-17 in Orlando, Fla. His provocative and engaging presentation, Re-imagine: Business Excellence in a Disruptive Age, is sure to challenge the status quo and infuse you with a fresh perspective on what it takes to achieve excellence in today’s high-speed business world. Visit www.iia2013ic.org to learn more about the conference program and to register.
Top Reasons to Attend the 2013 International Conference Here’s why more than 3,000 delegates from over 100 countries will be convening in Orlando. 1. G et social with our impressive roster of keynote speakers and then hear them in person, including: • Co-author of In Search of Excellence: Lessons From America’s Best-Run Companies, Tom Peters (@tom_peters). • Award-winning author of The Wizard of Lies: Bernie Madoff and the Death of Trust, Diana Henriques (@dianabhenriques). • Technology futurist, author, and consultant Scott Klososky (@sklososky). 2. Don’t miss the chance of a lifetime to meet former U.S. Secretary of State Madeleine K. Albright during a book signing following her keynote session, “In Conversation with Madeleine Albright.” 3. Get connected during networking events and the Conference App. 4. A vast selection of 77 concurrent sessions in 11 tracks and complimentary pre-conference workshops on today’s most relevant topics – with an opportunity to earn 18+ CPE. 5. A Spanish-language track throughout the conference. 6. W ellness options including stretch, massage, and screening stations; food and beverage choices; a “step by step” challenge that will culminate in a $10,000 donation to Susan G. Komen For the Cure; and a “clean and green” partnership with Clean the World. 7. An affordable room rate of $169 at the largest Marriott in the world and the official conference hotel, the Orlando World Center Marriott Resort and Conference Center. 8. A hands-on exhibit hall featuring a record-number of products and service providers, positioned to help you succeed. 9. An unforgettable, fun-filled, Florida-themed welcome reception and gala event. 10. Early registration pricing through April 30 saving IIA members up to $400 – with group discounts available. Early registration rates expire April 30. Learn more and register at www.iia2013ic.org and follow @IIAIC. w w w. t h e i i a . o r g
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IIA Conference Schedule
IIA Members: Register early for IIA Conferences and save! Call +1-407-937-1111 to ask about group discounts. www.theiia.org/Conferences 247 Maitland Avenue Altamonte Springs, FL 32701-4201 USA
July 14–17, 2013
2013 International Conference
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Orlando, FL, USA
August 19–21, 2013
2013 Governance, Risk, and Control Conference (IIA/ISACA) Phoenix, AZ, USA
September 23–24, 2013
MOSAIC: A Convergence of Ideas Philadelphia, PA, USA
September 29–October 2, 2013
2013 Canadian National Conference Winnipeg, MB, Canada
September 29–October 2, 2013
2013 Central Regional Conference Columbus, OH, USA
2013 All Star Conference New Orleans, LA, USA
November 3–6, 2013
2013 Midwestern Regional Conference
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October 14–16, 2013
Minneapolis, MN, USA
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