Transcript Key to an Effective Red Book Shop

Key to an Effective Red
Book Shop
JUAN R PEREZ, CHIEF OF AUDITS
COUNTY OF SAN DIEGO
MARCH 9, 2016
Session Objective
 To
provide an overview of the County's
approach for implementation of best
practices to ensure effectiveness of the
internal audit function.
Environmental
Scan
•
UNDERSTAND THE INTERNATIONAL
PROFESSIONAL PRACTICES
FRAMEWORK
•
THE ROLE OF INTERNAL AUDITS IN THE
ORGANIZATION
•
ASSESS THE ORGANIZATION'S RISK
ENVIRONMENT
County of San Diego Org Chart
County of San Diego Org Structure
Auditor & Controller

Administration

Administrative Services

Information Technology Mgmt Services

Financial Accounting and reporting

Property Tax Services

Accounts Payable

Payroll

Projects, Revenue & Grants Accounting

Office of Audits & Advisory Services

Office of Revenue & Recovery
Chart of Accounts

High Org Fund Identifiers =
786

Org =
4,675
Business
Planning
•
WORK WITH AUDIT
COMMITTEE/ EXECUTIVE
MANAGEMENT/ PEERS/
STAFF TO IDENTIFY MAJOR
ISSUES
•
PREPARE A FORMAL RISK
ASSESSMENT
•
DEVELOP A SHORT-TERM
AND LONG-TERM
STRATEGIC PLAN
•
MARKET THE AUDIT
FUNCTION
•
CONDUCT CUSTOMER
SATISFACTION SURVEYS
•
DEVELOP A ROBUST AUDIT
REPORT FOLLOW-UP
PROCESS
•
EVALUATE ISSUE
RESOLUTION AND
CORRECTIVE ACTION
TAKEN BY MANAGEMENT
•
TRACK AND REPORT
RECOMMENDATION
IMPLEMENTATION RATE AS
A KEY PERFORMANCE
INDICATOR
Measure Results
Third Party and
Peer Reviews
•
USE OF THIRD PARTIES TO
CONDUCT AUDIT WORK
•
SCHEDULE EXTERNAL PEER
REVIEWS EVERY FIVE
YEARS
Balanced Audit
Activities
•
PERFORMANCE/
OPERATIONAL AUDITS
•
CONTRACT AUDITS
•
IT AUDITS
•
PERFORMANCE MEASURES
AND/OR BEST PRACTICES
•
CONTINUOUS
MONITORING
Business Process
Activities
•
FACILITATE OR
PARTICIPATE IN
ORGANIZATIONAL
INITIATIVES TO STREAMLINE
OPERATIONS
•
EDUCATE/ FACILITATE/
EQUIP DEPARTMENTS FOR
SELF-ASSESSMENT OF RISKS
LEVERAGE AUTOMATED
TOOLS FOR:
Use of
Automated
Audit Tools
•
AUDIT SAMPLING
•
WORK PAPER FORMATS
•
WORK PAPER FILE SYSTEMS
•
AUDIT TIME REPORTING
Mandated
Activities
•
DEPARTMENT HEAD
TRANSITIONS
•
MONITOR AND
COORDINATE EXTERNAL
AUDIT ACTIVITY
•
GRAND JURY AUDIT
SERVICES
•
MONITOR AUDITS OF
EXTERNAL ENTITIES
(SPECIAL DISTRICTS AND
JOINT POWERS
AUTHORITIES)
The Key to an Effective Red Book Audit Shop is....
PEOPLE