Why Case Studies?

The internal audit has poorly performed as far as communications of findings are concerned. It is not just about creating a fancy presentation or writing executive summaries with punch lines to the reporting authorities. The innovative communication should change the image of internal auditor and internal audit should be looked as an objective consulting group instead of an independent assurance group.

Ponder hard at currently used methods of presenting audit findings and determine whether or not the process unnecessarily focuses on higher management instead of issues at the auditee level. Although one should never minimize findings or neglect ones obligation to report accurately, too many audit shops needlessly drive a wedge between themselves and auditees by presenting findings in a way that belittles the auditee instead of emphasizing the identification of problems, treatment of findings, analysis and presentation as an opportunity to facilitate improvement. In essence, the action plan should anticipate management's response to findings and help turn findings presentation into a constructive process rather than a barrage of criticism.

Internal Auditor should focus on two words: NO SURPRISES. This reduces pressure on the internal audit team. There should be some kind of interim presentation to the auditees about the factual findings to trigger discussions and understanding various options for correction or improvement. It is important to keep auditees informed of the progress of internal audit findings and work along the way. Letting auditee know what we are finding allows them to take action and fix problems while the audit is still in progress.

By resisting the temptation to hoard audit findings until big end-of-audit presentation, the internal audit can make auditees more enthusiastic about the results and the job becomes easier. Innovative communication reduces monitoring and internal audit cost to a great extent.

Case Studies is an effective and innovative way to communicate to the top management and audit committees about the results of internal audit or consulting project in place of executive summary. Consequently, it is recommended that a few issues or risk management projects be developed in a case study format. A typical case study describes the situation, provides appropriate background information including events that led to the intervention, presents the technique and strategies used to develop the study, and highlights the key issues in the intervention. Case Studies tell an interesting story of how the evaluation or test was developed and the problems and concerns identified along the way.

Case studies can be used in group discussions, where interested individuals can react to the material, offer different perspective, draw conclusions about the approaches and techniques. Also, it can serve as self teaching guides for individual who are trying to understand how risk evaluations were developed and utilise in the organization. Finally, case studies provide appropriate recognition to those involved in the actual cases. More importantly, they recognize the participants who achieved the results as well as managers who allowed the participants to be involved in the project. The case study format is one the most effective tool for learning about the internal controls and risk management.

Selective case studies may then be printed as success stories in the broachers or newsletters of the organization to spread and share the knowledge.