Internal auditing is the use of a systematic method to analyze business processes and ensure their financial integrity. Internal auditors work to ensure the efficacy of operations, the reliability of financial reporting, deterring and investigating fraud, ensuring the safeguard of assets, and verifying that the company is in compliance with laws and regulations.

Internal auditors play a vital role in internal control and ensure that satisfactory processes are followed to ensure that the internal processes of a company are trustworthy and reliable. Through this role, a number of recommendations to mitigate various risk factors can be made. Risk management recommendations fall under strategic, operational, financial reporting, and legal categories. Ensuring compliance with Sarbanes-Oxley regulations is also completed.

Midwest Audit is a group of certified internal auditors (CIA) and certified fraud examiners (CFE) with over 30 years of industry experience. We have worked with both small and large corporations and are well-versed with the requirements of professional auditing. We ensure the integrity of your institution by completing a six step process.

1. Establish and communicate the scope and objects of the audit to the Chief Audit Executive, Board of Directors, or other appropriate management.
2. Develop an understanding of the business area under review. This includes objectives, measurements, and key transaction types. This involves review of documents and interviews. Flowcharts and narratives may be created if necessary.
3. Identify control procedures used to ensure each key transaction type is properly controlled and monitored.
4. Develop and execute a risk-based sampling and testing approach to determine whether the most important controls are operating as intended.
5. Report problems identified and negotiate action plans with management to address the problems.
6. Follow-up on reported findings at appropriate intervals. Internal audit departments maintain a follow-up database for this purpose.

Our recommendations typically following this outline:

• Summary of key goals, risks and corresponding major audits, to illustrate alignment
• Analyses of audit effort along a variety of dimensions (e.g., by business segment, COSO objective category, IT, Sarbanes-Oxley, vs. prior year, etc.) along with commentary regarding changes
• Brief description of critical projects identified
• Projects requested but not planned for execution due to prioritization and resources
• Required co-sourcing effort, typically where outside expertise is required or during peak periods
• Appendix materials, such as planning approach, assumptions (e.g., days per auditor and staffing level) and brief descriptions of all planned audits and related prioritization.

The overall length of time to completion is variable, but most projects can be completed within 8-12 weeks.

With over 30 years of industry experience, we are your internal auditing professionals. We diligently work to ensure that your financial integrity remains secure. Count on us to get the job done professionally and correctly.

Contact us today to learn how we can make a difference!