Auditing is all about the inspection of processes and the investigation of matters where the results derived through a specific process are found below the expected levels. This allows the organization to identify where things have gone wrong and how those can be fixed to avoid future errors. Here, the job responsibilities of an internal auditor come into picture; his/her basic job is to define and control a specific process of the organization and audit the practices in order to identify the loopholes and provide corrective measures for the same.
As an internal auditor, a person is assigned with the responsibility of auditing a process and all the activities that are related with the process in order to analyze how the process is functioning and how it can be improved. Through these improvements, the structure and the flow of work is systematized to reduce costs and achieve efficiency while maintaining consistency in the quality of outputs achieved.
The basic aim behind hiring an internal auditor is to ensure that the legal and operational compliances are met. Here, the person appointed for this position has to report to the audit committee regarding the various steps taken to streamline the processes and how it has improved the productivity of the people and resources. This is an ongoing process, wherein the person in-charge is expected to involve in the continuous research and development to identify and introduce new steps to bring efficiency and transparency in the process.
Putting some more light on the various job roles of an auditor administering the internal operations/processes, we have defined this profession under different categories below:
Process Analysis
In the beginning stage, an internal auditor has to analyze the process and identify what are the loopholes or barriers that are hindering the normal functions within the process. These factors are noted and are researched upon to find ways to eliminate the same.
Devising and Implementing Policies
Upon detailed analysis of the process, the auditor has to devise and implement controls that will allow to achieve the desired results and overcome any difficulties faced in the operations.
Risk Analysis and Management
It is the responsibility of the internal auditor to assess the various risk factors that can cause financial losses to the organization and accordingly specify measures to avoid such incidents or minimize their impact on the organization's financial condition.
Evaluation of Assets
Another important responsibility of the auditor is to evaluate the assets and appreciate/depreciate those according to the norms followed for the same.
To perform well in this profession, you need to:
Apart from a bachelor or master's degree in a course with accounts/finance as core study modules, you need to be certified as a certified public accountant or as a certified internal auditor and possess valid license in order to apply for this job. Previous experience of working as a full time employee or as an intern is mandatory.
A job in this profession will help you to earn around $72,000 annually. Several other allowances and benefits are extended, including, but not limited to 401k insurance, paid time off, performance incentives, travel allowance, bonus, etc.
The internal auditor responsibilities you have read above give an elaborate explanation of what an individual is required to do when appointed for this profession. We wish for your bright future and a promising career.
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