Internal Audit

Assurance
Internal Audit
at Thompson Rivers
University – “The 5 W’s”

October , 2014
We’re Here to Help!

TRU Internal Audit

Who?
Cathy Elliot – 0.5 FTE – Internal Audit Officer
Christina Duquette - 0.85 FTE- Internal Audit Director

We are University employees

We are CPA/CA’s with Bachelor’s Degrees in Commerce

Director is also a CFE (Certified Fraud Examiner) and CRMA (Certification

In Risk Management Assurance

We are members of The Institute of Internal Auditors (IIA)

We report to the Audit Committee to help ensure Independence

TRU Internal Audit
What is Internal Audit at TRU?
Internal Audit Charter at TRU – Purpose:
“Internal auditing is an independent, objective assurance and
consulting activity designed to add value and improve an
organization's operations. It helps an organization accomplish
its objectives by bringing a systematic, disciplined approach to
evaluate and improve the effectiveness of risk management,
control, and governance processes. ” (As per IIA’s International
Standards for the Professional Practice of Internal Auditing)
please refer to website for full charter)

TRU Internal Audit

 When?
Annual Audit Plan is approved by the Board of Directors Audit committee
in November
Audit Plan is developed using a risk assessment and with input from across the
University and considers :
• Strategic Plan
• Output from Risk Management Programs
• Audit Committee and or management specific concerns
• Other trends including: emerging risks, significant changes in TRU departments,
IT complexity, prior audit results ,legislative changes and other external factors

We audit throughout the year.

TRU Internal Audit
 Where and How

The audit plan is a listing of audit engagements for the year which is based on the
risk assessment

This includes an estimate for the hours required to complete the planning, field work ,
meetings and writing the audit report

The field work is mostly done in finance and procurement, we also plan to go to Williams
Lake

TRU Internal Audit

 Why?

We provide assurance to the Audit Committee in fulfilling

their fiduciary duties

Our role at the university is also to help faculties, schools and

divisions by ensuring processes, procedures and policies are
effective and are being followed.

TRU Internal Audit

What is the process of “being audited”?

• Initial findings are shared

• Initial contact
Fieldwork with division head in draft
report
“Engagement Letter • Auditee has responsibility
• Develop Audit program • Interviews to respond to the findings
• Sample Selection • Process mapping • Once the report has been
• Testing of Internal approved by appropriate
Controls or Policies level of management
report is issued
• Transaction testing
• Appropriate follow up on

Planning progress is scheduled

Reporting
What areas are typically tested as part of an internal audit?

The areas to be tested are dependent on the activities of the department. The most
common areas that have been tested are:

1. Cash handling
2. Time approval
3. PCard transactions
4. Grants/contracts
5. Travel expense claims
6. Disbursements (purchase orders, payment requests, IDIs)
7. Policies and procedures

TRU Internal Audit

 Common Issues we report:

• Approving your own time

• Purchasing without appropriate spending authority
• Maintaining privacy of personally identifiable information
• Reloadable beverage cards without itemizing expenditures
• Meal expenses paid by Pcards or charged to a hotel room and
also per diems claimed
• Missing receipts. A proof of payment is not a receipt.
• Lack of documentation of who is entertained or hosted
• Prohibited purchases on Pcards (E.g. gift cards, alcohol, IT goods)

• Any violation of University Policy

TRU Internal Audit

 Internal Audit is advocate for Whistle Blower Policy and Fraud Investigations

Whistleblower Policy – Refer to Board Policy 18-0 on TRU Web

Confidential reporting of “Protected Disclosure” is made to the audit committee

chair

We do preliminary investigations of fraud or other improper acts

We also received requests from campus community for these investigations, where
it is warranted we do the work

We are not certified fraud examiners – working on that…….

TRU Internal Audit

 We are here to help You

• Offer suggestions for improvement

• Advisory role

We want to know how we are doing

• Starting in January, we will be sending an after-audit-survey to all

auditees
• We want your feedback
• Were we professional, helpful, timely and did we add value?
• We will report on these feedback results on our website

TRU Internal Audit

Questions??????

TRU Internal Audit