What is in the internal audit charter?
Internal Audit Charter(Charter Revised September 2020) Show
Policy StatementIt is the policy of the University of California (UC) to maintain an independent and objective internal audit function to provide the Regents, President, campus Chancellors and Laboratory Director with information and assurance on the governance, risk management and internal control processes of the University. Further, it is the policy of the University to provide the resources necessary to enable Internal Audit (IA) to achieve its mission and discharge its responsibilities under its charter. Internal Audit is established by the Regents, and its responsibilities are defined by the Regents' Committee on Compliance and Audit as part of their oversight function. Back to top UC Internal Audit will be a universally recognized knowledgeable, collaborative and trusted resource on governance, risk management and control. Back to top MissionThe mission of UC IA is to provide the Regents, President, campus Chancellors and Laboratory Director with independent and objective assurance and consulting services designed to add value and improve operations. We do this through communication, monitoring and collaboration with management to assist the campus community in the discharge of their oversight, management, and operating responsibilities. IA brings a systematic, risk-based and disciplined approach to evaluating and improving the effectiveness of risk management, control and governance processes. Back to top AuthorityIA functions under the policies established by the Regents of the University of California and by University management under delegated authority. Back to top Independence and Reporting StructureTo permit the rendering of impartial and unbiased judgment essential to the proper conduct of audits, internal auditors will be independent of the activities they audit. This independence is based primarily upon organizational status and objectivity and is required by external industry standards. The CCAO has a direct, independent reporting relationship to the Regents, communicating
directly with the Board of Regents and the Regents Committee on Compliance and Audit regarding all elements of meaningful compliance and audit programs, including providing annual reports on compliance with applicable laws, regulations, and University policies. The CCAO shall also consult with and advise the President and the Chair and Vice Chair of the Regents’ Committee on Compliance and Audit on compliance and audit activities. The CCAO has established an active channel of communication with
the Chair of the Regents' Committee on Compliance and Audit, as well as with campus executive managements, on audit matters. The CCAO has direct access to the President and the Regents’ Committee on Compliance and Audit. In addition, the CCAO serves as a participating member on all campus compliance oversight/audit committees. Back to top Scope of WorkThe scope of IA work is to determine whether UC’s network of risk management, control, and governance processes, as designed and represented by management at all levels, is adequate and functioning in a manner to ensure:
Back to top Nature of Assurance and Consulting ServicesIA performs three types of projects:
Back to top Mandatory GuidanceIA serves the University in a manner that is consistent with the standards established by the CCAO and acts in accordance with University policies and the UC Standards for Ethical Conduct. At a minimum, it complies with relevant professional standards such as the Institute of Internal Auditors’ mandatory guidance, including the Definition of Internal Auditing, the Code of Ethics and the International Standards for the Professional Practice of Internal Auditing. This mandatory guidance constitutes principles of the fundamental requirements for the professional practice of internal auditing and for evaluating the effectiveness of the internal audit activity’s performance. Back to top Certain Personnel MattersAction to appoint, demote or dismiss the CCAO requires the approval of the Regents. Action to appoint an IAD requires the concurrence of the CCAO. Action to demote or dismiss an IAD requires the concurrence of the President and the Chair of the Compliance and Audit Committee, upon the recommendation of the CCAO. Back to top What is the IA charter?An internal audit charter is a formal document that defines internal audit's purpose, authority, responsibility and position within an organisation. It may also be known as terms of reference.
What are the important of internal audit charter?Having a charter establishes the internal audit activity's position within the organisation, including the head of internal audit's reporting lines, access to records, people and property, and the scope of its activities.
Which one of the following must be included in the internal audit charter?Which one of the following must be included in the internal audit charter? Internal audit responsibility.
What is an audit charter and list 5 major components of an audit charter?What are the Components of an Audit Charter?. Mission and Purpose. ... . Adherence to International Standard for Internal Audting's Professional Practice. ... . Authority. ... . Independence and Objectivity. ... . Scope of Internal Audit Activities. ... . Responsibility. ... . Quality Assurance and Improvement Program.. |