If you intend to establish an office to provide internal audit services, what services that can be provided and who are the clients?

The possible clientage of the internal audit company/firm may include from SMEs to mega projects including multinationals.

An internal audit firm/company may provide all or any of these services to its clients:

a.  Risk Assessment at all levels say overall.

b. Review of the general internal control enviroment

c. Review of the Specific financial and operational procedures

d. Review of the Physical and logical security and audits thereof.

e. Advice on the design and implementation of policies and procedures.

f. Investigation if some frauds have been made.

g. Advice for the prevention of frauds.

h. Review of the internal audit department of the client companies.

i. Provide outsource services to the client companies (to act as internal auditor).

The roles of the internal auditors have been evolving over the years from the assurance role that the system and process are working well to the consultative role of how to improve the system and process. 

Internal audit activity can evaluates risk exposures relating to the organization's governance, operations and information systems, in relation to:

Safeguarding of assets;

Reliability and integrity of financial and operational information;

Compliance with laws, regulations, and contracts;

Effectiveness and efficiency of operations.

 Risk based approach to internal audit entails the following steps:

Research – Gathering board range of Information about the entity’s business;

Planning – Analysis of the information to determine the priority and objective of the review with management;

Providing assurance – Inform management how well the system is working based on the audit;

Consultation and Action – Management accept the risk of what they do or agree to implement improvements on those areas where opportunities or deficiencies are identified;

Follow up – Routine review of the implemented improvements.

Internal audit professionals also can assess other aspects such as ethics and values within the organization, performance management, communication of risk and control information within the organization in order to facilitate a good governance process.Internal audit team can provides a full range of services including assisting to design a strategic plan for internal audit, re-engineering existing departments, providing specialized resources or completely outsourcing the entire internal audit function.

I have been running my Internal Audit & Risk Management firm ( Bibi Consulting - www.bibiconsulting.com ) since1999. Services provided include :

- Outsourced / co-sourced internal audit service

- Establishment of Internal Audit Departments from scratch

- Re-engineering of existing internal audit departments

- Fraud

- External Assessment of internal audit departments

- Consultation on specific IA subjects

- Risk management

The competition is very severe at all levels from Big4 firms to smaller consultancy firms . Ingredients for sucess : contacts, superb service and affordable fees

itternal audit is performed by a organization or department on itself, which provides guidelines for verifying the existence and implementation of elements of quality system and for verifying the system's ability to  achieve defined quality objects.

1- تدريب المراجعين الداخليين

2 -عمل تفتيش داخلي للشركات لإظهار النقاط الحرجة وكل السلبيات لعلاجها من أجل الحصول على أعلى درجة في التفتيش الخارجي

3- التفتيش الخارجي لشركات ليس لديها مفتشين خارجيين عل الشركات الأخرى

. And plays financial intermediaries and brokers of information an important role to achieve this purpose. At the time , who cares about the financial intermediaries such as banks, investment companies , investment funds , insurance companies collect savings of individuals and the search for investment opportunities suitable for the purposes of investment decisions are different , the brokers of information , such as auditors , accountants , legal and financial analysts , and journalists of economic care to provide information to investors, and financial intermediaries who represent them , the quality of the various investment opportunities . It is noted that all of the financial intermediaries and brokers of information adds value with the help of investors in the distinction between opportunities Alastosmariadjidh and poor investment opportunities .Financial reporting and play a key role in the establishment of financial intermediaries and brokers of information turn to the development of investments and moving the national economy . It adds real value information intermediaries , either by giving more confidence in the financial statements (such as external auditors ), or analyze the information contained in those lists (such as chartered accountants who provide various advisory services , and financial analysts ). On the other hand , depends financial intermediaries and investors on the information provided by financial statements and reports and other information in their analysis of investment opportunities to choose from .And users must be aware of the information provided by financial statements that these lists are affected by the activities of the facility and its accounting system . Therefore, it must be when analyzing the financial statements for evaluation purposes to understand the impact of accounting information users accounting system on the quality of the information used in the analysis. This underscores the importance of the role played by accountants in the legal analysis and evaluation facilities. It is available for an accountant all the elements of legal knowledge and experience , which was able to provide useful information for the purposes of making good investment decisions . It follows chartered accountant usually a scientific approach and uses a number of tools that enables it to serve investors and financial intermediaries to provide the necessary information for the purposes of investment decisions in existing companies , or the creation of new projects , or for the purposes of the merger, and acquisitions , and also for the purposes of granting credit. The show follows the approach used by the accountant usually when legal analysis and assessment of the businesses , and the main tools used to achieve this purpose.Accountant's approach in the analysis of legal and business valuation :Known to be responsible for the preparation of financial statements rests with the management of the enterprise . In this sense, management can add value to the information contained in those lists , and at the same time may be an essential source of distortion that may occur in the accounting information which could lead to the lack of expression of the real economic situation of the facility. And finds users of financial statements is usually difficult to distinguish between genuine information and that information is true , which drives them to hire accountants and other legal information brokers to improve their ability to understand the entity 's financial performance and its expected performance in the future.Because of Chartered Accountants just like other intermediaries in the money market do not have complete information about the property and what goes where , they use usually their knowledge of the industry in which it operates the facility, and strategies for competitiveness , along with their expertise in matters of accounting , for the Interpretation of Financial Statements . And be the starting point in the approach used by the accountant is a legal financial statements. And features a chartered accountant from other information intermediaries his great knowledge and professional experience , which enables it to read and understand financial statements in a proper manner . The read and understand financial statements is a prerequisite for any analysis or evaluation of sound businesses.The curriculum , which includes usually followed by a chartered accountant four key steps :1 - Analysis of business strategy.2 - Analysis Accounting3 - Financial Analysis4 - Analysis Almstqublyaltakiamy the valuation of the property.And the Chartered Accountant these four steps , whether the purpose is the analysis and evaluation for the purpose of purchase of investments in equity , or for the purpose of merger or acquisition , or for the purposes of privatization and determine the value of the stock of the new company , or for the purposes of granting credit . We address the followings are all of these steps to objective statement , and its importance, and how the legal accountant .

كيف تفتح مكتب للمراجعة الداخلية اكيد تقصد مهام المراجعة الخارجية بمعنى انة تتعاقد مع الشركات لممارسة اعمال المراجعة على هذة الشركة واعداد ميزانيتها ؟ هذا يسمى مراجعة خارجية وليست داخلية

The Office of Internal Audit provides financial and performance audit services to the School Board and the Superintendent. Internal auditing is an independent, objective assurance and consulting activity designed to add value and improve operations. It provides a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes.

The Internal Audit office provide the following :

• Reviewing and appraising the soundness, adequacy, and application of accounting for financial and other operating controls;
• Promoting an effective system of internal controls at a reasonable cost;
• Determining that assets are accounted for and controls are in place to minimize losses;
• Ascertaining the reliability of financial data;
• Recommending operating improvements;
• Determining whether a department or program is achieving its mission, goals, and objectives in an effective manner;
• Assessing compliance with internal policies and procedures as well as local, state, and federal laws.

تتعاقد مع مراجعين من شركات اخرى - الخدمات التى تقدمها - المراجعه , توجيد الاداء , ضبط العمل , ضمان الجودة - العملاء هم موظفي الشركة

Internal Audit is a Management Information System.So Internal Audit supports and reports to the Management in this regard.Management in turn reports to the Shareholders.So Internal Audit,as a specialist in this area  can do all the relevant MIS services comprehensively upto the expectation of the Management so that Management can do their basic duties effectively and efficiently with value addition for the benefit of the company and the constuting shareholders.