1. 1 Pertemuan 24 Managing The Effectiveness of The Audit Department Matakuliah:A0274/Pengelolaan Fungsi Audit Sistem Informasi Tahun: 2005 Versi: 1/1

2. 2 Learning Outcomes Pada akhir pertemuan ini, diharapkan mahasiswa akan mampu : Mahasiswa dapat menunjukkan hubungan antara quality assurance, continuous improvement system for internal auditor dan marketing fungsi audit dalam mengatur efektivitas dalam department audit.

3. 3 Outline Materi Quality Assurance –Objective –Responsibility –Method Summarized Review of All Assignments by Unassigned Auditors Detailed Review of Selected Assignments Annual Self-Assessment of Department-Wide Standards, Policies and Procedures Tri-Annual External Review

4. 4 –Reports Annual Report to The Audit Committee of The Board of Directors Annual Report to The Director of Auditing Selected Assignments Review –Summary of Review –Quality Assurance Checklist

5. 5 Quality Assurance Quality assurance provides a similar service to internal audit that internal audit provides to management. It is an independent review of the quality of its service, much like a review of quality of earnings, operations, and so on, that internal audit provides.

6. 6 Objective The objective of the quality control program is to ensure that all assignments are completed in accordance with the department, IIA and Information Systems Audit and Control Association (ISACA) standards where applicable.

7. 7 Responsibility It is the responsibility of the Director of Auditing to have quality audits completed on all assignments and to maintain a quality control program to evaluate the operations of the department. The Director of Auditing will appoint a Quality Assurance Coordinator, who will be responsible for the quality control program and for keeping the Director of Auditing informed of all results.

8. 8 Method The program is in four parts: –Summarized review of all assignments by unassigned auditors –Detailed review of selected assignments –Annual self-assessment of department-wide standards, policies and procedures –Tri-annual external review

9. 9 Summarized Review of All Assignments by Unassigned Auditors Objective. Responsibility. Method.

10. 10 The Quality Assurance Coordinator will review all deficiencies noted with the senior and the manager of the assignment. The manager is responsible to see that the deficiencies are corrected.

11. 11 Detailed Review of Selected Assignments Objective. Responsibility. Method.

12. 12 The Quality Assurance Coordinator will summarize all items noted in these reviews and prepare the selected assignments review memo to the Director of Auditing.

13. 13 Annual Self-Assessment of Department-Wide Standards, Policies and Procedures Objective. Responsibility. Method.

14. 14 Tri-Annual External Review Objective. Responsibility. Method.

15. 15 Reports There are several key reports.

16. 16 They include: –Annual Report to the Audit Committee of the Board of Directors –Annual report to the Director of Auditing –Selected Assignments Review

17. 17 Annual Report to The Audit Committee of The Board Directors This report is a summarized one, prepared by the director of Auditing, sent to the Audit Committee, reporting on the quality control program and the results of the annual self-assessment.

18. 18 Annual Report to The Director of Auditing This report is a summarized one of the quality control program for the year that includes results of the annual self- assessment, summary of deficiencies noted and suggestions for improvement.

19. 19 Selected Assignments Review This report is a summary memorandum and detailed checklist, enumerating the deficiencies and findings from the detailed review of selected audits, prepared for each assignment selected in the annual review process. This memo is first reviewed with the assignment manager and in-charge accountant before being given to the Quality Assurance Coordinator.

20. 20 Summary of Review The Quality Assurance Coordinator prepares a summary of the detailed deficiencies noted in the ongoing review of all workpapers. This memorandum is sent to the Director of Auditing and is discussed with the entire staff during an annual meeting.

21. 21 Quality Assurance Checklist Prepared by unassigned auditors, the checklist will be completed on all assignments after they have been approved for filing by the manager and the report has been issued.

22. 22 The End