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What information can external auditors share with internal auditors which may be beneficial to the client?
Dear Kylie,
Thank you for contacting me.
External auditors interact with internal auditors in different a manner depending on the organization and the qualifications of the internal auditor.
The main benefit for a client when its internal auditor helps with the annual audit is cost-reduction. It is achieved by the internal auditor preparing many of the schedules required in an audit, which reduces the numbers of hours an external auditor would spend doing the same. The external auditor role is to review the information provided by the internal auditor and ensure that it is reliable and relevant.
The external auditors usually have a broader experience with respect to internal auditors which benefits the organization in the sense that internal auditors can learn techniques that can be applied in their organization enhancing its internal controls and preventing fraud.
When external auditors make recommendations to internal auditors it helps in the professional development of the internal audit dept members.
Again, the main benefit for a client when internal and external auditors work together in an engagement is cost reduction. The byproduct is training of the internal auditor.
You can find additional information on this topic at the IIA, The Internal Auditors Association at www.theiia.org
I wish you continued success.
Sincerely,
Consuelo Herrera, CAMS, CFE
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Consuelo Herrera, International Accountant and Fraud Examiner
Expertise
I can answer questions concerning internal and operational auditing, fraud prevention procedures, internal control, the Sarbanes-Oxley Act, COSO control concepts, and management oriented auditing. I would love to provide business-owners with suggestions on how to prevent and detect fraud so that they are proactive in protecting their wealth since the very beginning of their entrepreneurial affairs. I can answer questions to both English and Spanish population. I am very committed to keep my standards up today so I know many resources where I can direct those seeking advice.
Experience
I have rendered services for private companies, profit and non for profit, in two countries. As independent consultant I have provided advice to managers in implementing procedures that streamline their operations and enhance their activities. As a staff accountant in a US CPA firm, I performed regular auditing procedures for different engagements.
Organizations
AICPA (American Association of Certified Public Accountants), ACFE (Association of Certified Fraud Examiners), ACFEI (American College of Forensic Examiners.
Education/Credentials
Bachelors of Sciences in Business Administration – Accounting
University of South Florida USF – Tampa Florida
Catholic University – Colombia
Title earned: Specialist in Tax and Customs
Central Foundation University – Colombia
Title earned: Certified Public Accountant.
On August, 2006 I passed all four sections of the Certified Fraud Exam which tests for proficiency in the following areas: Criminology and Ethics, Financial Transactions, Legal Elements of Fraud, and Fraud Investigation.
Awards and Honors
As employee of Forensic Technology Inc. a Canadian company with locations and sites worldwide, I was the winner of the 2005 President's award in the category of Cost Savings through Efficiency or Innovation granted in January 2006 in Montreal, Canada.
Past/Present Clients
I have provided advice to all kind of companies: manufacturing, service, consulting, non for profit organizations, etc.
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