Types of Engagement
Internal Audits An independent appraisal activity for the review of financial and operational activities, and related systems, as a service to management. Internal audits are scheduled based on risk assessment and are designed to be comprehensive in scope. The scope includes an evaluation of internal controls, an assessment of compliance with applicable laws, regulations, etc., a determination of the effective utilization of resources, and the evaluation of integrity of financial and operational information and systems. The following are characteristics of scheduled audits:
- Planned engagement via risk assessment.
- Defined scope and audit objectives.
- Process improvement focused.
- Formal report issued.
Follow-ups A quarterly process to validate that audit recommendations were accomplished or that University management assumed the risks associated with the decision to decline implementation of corrective action. The following aspects apply to follow-ups:
- On-going until all issues are resolved.
- Results communicated via internal memorandum.
- Project status reported to Board of Regents.
- Scope limited to issues addressed in the original report.
- Follow-up is performed on all scheduled internal audits.
Advisory Services a process to perform custom designed reviews, offer considerations to improve the efficiency and effectiveness of operating areas, and assist management with special requests. Advisory service reviews reflect the following attributes:
- Ad hoc management requested reviews.
- Limited scope; short in duration.
- Reporting via memorandum restricted to internal recipients.
- Consultative in nature.