logo-newlogo-newlogo-newlogo-new
  • Home
  • Blog
  • Audit Trail Academy
  • Advisory Services
  • Books
✕
  • Home
  • Chambers on Internal Audit
  • Uncategorized
  • New IIA Pulse Report Shines a Bright Light on the State of Internal Audit!

New IIA Pulse Report Shines a Bright Light on the State of Internal Audit!

5 Signs Your Last Internal Audit Made a Big Impact!
March 7, 2022
Internal Auditors Must Detect Changing Weather Patterns Before the Storms
March 20, 2022
March 14, 2022

For the 14th year in a row, The IIA is using its extraordinary reach to survey the internal audit profession in North America, and once again, the results shine a bright light on key trends, emerging risks and important opportunities for the profession. The 2022 North American Pulse of Internal Audit report has just been released, and it doesn’t disappoint!

This year, The IIA surveyed more than 500 senior internal audit leaders – more than 85% of whom are CAEs. Respondents were primarily from organizations headquartered in the United States (83%) and Canada (10%). As in past years, audit leaders were surveyed on key resource trends and internal audit’s plans and priorities. The report is organized around four key areas;

  • Budget and staff
  • Risk and audit plans
  • Trends for risk and audit
  • Leadership metrics

With more than a decade of data upon which to draw, the report paints a compelling picture of important trends:

  • Budgets and Staffing Levels. The report concludes that there is “continued uncertainty and cautiousness” when it comes to internal audit resources as the pandemic enters its third year. Survey data indicates that “budgets and staff levels held up year-over-year, but organizations have generally stopped short of giving internal audit more resources.” In fact, the survey disclosed the second-lowest percentage in its history of internal audit departments that experienced increased staffing. The report specifically notes that travel budgets continue to endure widespread, sustained reductions.
  • Staff Turnover. The report offers data around the Great Resignation’s impact on the profession, “with many functions reporting voluntary turnover as the reason behind staff decreases” during the past year.
  • Risk. As with other recent surveys on the profession, Pulse does not observe a significant dedication of internal audit resources to ESG coverage, but as the IIA observed, “for the first time in the survey history, sustainability and non-financial reporting risk levels edged upward, especially for publicly traded organizations.”
  • Audit Plans. While not the risk to which the highest number of internal audit resources are dedicated, the report does note that “cybersecurity is trending up on audit plans for all respondents.” Pulse again observes that internal audit departments in publicly traded companies are dedicating a significant percentage of resources to Sarbanes-Oxley coverage.

Unlike reports from previous years, in which survey statistics were accompanied by extensive analysis, this year’s Pulse report is back to the basics in many ways. It is packed with data and an impressive array of graphs and charts depicting internal audit trends, including trends by sector and industry. It’s a perfect benchmarking tool for leading internal audit teams and those that are striving to get there.

As I reviewed the report, I was struck by several choice sections that shined a light on topics not routinely included in internal audit surveys:

  • Responses on where internal audit leaders would invest additional resources if they had them.
  • Data indicating additional “hats” the CAE wears in addition to internal audit.
  • The top three concerns for leading internal audit functions.
  • How COVID impacted internal audit compared with the overall enterprise.
  • How internal audit is working remotely.
  • A fresh look at who CAEs are reporting to administratively and functionally.

This year’s Pulse is an important resource that can “keep on giving” for leaders of North American internal audit departments. For those of you in the rest of the world, I still would recommend reviewing this report for insights on how internal audit functions in some of the world’s largest companies are navigating the volatile and disruptive era we are all living through.

Share

Related posts

January 31, 2023

Recent Advice on Hiring Internal Auditor’s You Can ‘Trust’ Is Misdirected


Read more
January 24, 2023

Do Performance Bonuses Impair Internal Auditors’ Independence and Objectivity?


Read more
January 16, 2023

Are Internal Auditors to Blame When Boards Are in the Dark?


Read more

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

What’s Trending

01-31-23

Recent Advice on Hiring Internal Auditor’s You Can ‘Trust’ Is Misdirected


01-24-23

Do Performance Bonuses Impair Internal Auditors’ Independence and Objectivity?


01-16-23

Are Internal Auditors to Blame When Boards Are in the Dark?


Read More

Archive

  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • June 2018
  • May 2018
  • April 2018
  • March 2018
  • February 2018
  • January 2018
  • December 2017
  • November 2017
  • October 2017
  • September 2017
  • August 2017
  • July 2017
  • June 2017
  • May 2017
  • April 2017
  • March 2017
  • February 2017
  • January 2017
  • December 2016
  • November 2016
  • October 2016
  • September 2016
  • August 2016
  • July 2016
  • June 2016
  • May 2016
  • April 2016
  • March 2016
  • February 2016
  • January 2016
  • December 2015
  • November 2015
  • October 2015
  • September 2015
  • August 2015
  • July 2015
  • June 2015
  • May 2015
  • April 2015
  • March 2015
  • February 2015
  • January 2015
  • December 2014
  • November 2014
  • October 2014
  • September 2014
  • August 2014
  • July 2014
  • June 2014
  • May 2014
  • April 2014
  • March 2014
  • February 2014
  • January 2014
  • December 2013
  • November 2013
  • October 2013
  • September 2013
  • August 2013
  • July 2013
  • June 2013
  • May 2013
  • April 2013
  • March 2013
  • February 2013
  • January 2013
  • December 2012
  • November 2012
  • October 2012
  • September 2012
  • August 2012
  • July 2012
  • June 2012
  • May 2012
  • April 2012
  • March 2012
  • February 2012
  • January 2012
  • December 2011
  • November 2011
  • October 2011
  • September 2011
  • August 2011
  • July 2011
  • June 2011
  • May 2011
  • April 2011
  • March 2011
  • February 2011
  • January 2011
  • December 2010
  • October 2010
  • September 2010
  • August 2010
  • July 2010
  • June 2010
  • May 2010
  • April 2010
  • March 2010
  • February 2010
  • January 2010
  • December 2009
  • November 2009
  • October 2009
  • September 2009
  • August 2009
  • July 2009
  • June 2009
  • May 2009
  • April 2009
  • March 2009
  • February 2009

Contact Us

PO Box 1441
New Smyrna Beach, FL 32170

+1-407-463-9389
rchambers@richardchambers.com

About AuditBeacon.com

AuditBeacon.com is a resource center for internal auditors and risk professionals from around the world. In addition to more than 500 blogs authored by Richard Chambers, the site includes links to news and insights on internal audit and other information that illuminates the value of this important profession. AuditBeacon.com is provided as a service by Richard F. Chambers and Associates, LLC.

Copyright © 2023 Richard F. Chambers & Associates. All Rights Reserved.
  • Home
  • Blog
  • Audit Trail Academy
  • Advisory Services
  • Books