Risk assessment in strategic and annual planning of internal audit Lvov 2012 REPUBLIC OF ARMENIA MINISTRY OF FINANCE.

Slides:

Advertisements

Similar presentations

Progress on Risk Assessment......continued Ms. Albana Gjinopulli, MPA Mr. Stanislav Buchkov.

Advertisements

Radmila Trkulja, Head of the CHU of Republika Srpska.

SYSTEM OF EVALUATION AND MANAGEMENT CONTROL RESULTS-BASED BUDGETING THE CHILEAN EXPERIENCE Heidi Berner H Head of Management Control Division Budget Office,

1 REPUBLIC OF MOZAMBIQUE Mozambique. 2 Republic of Mozambique Population - 19 milion Civil Servants – 160 Thousand Public Internal Auditors

1 ESTIMATING COSTS OF THE RESOLUTIONS Department of Planning and Evaluation Secretary of Administration and Finance.

ROLE OF SUPREME AUDIT INSTITUTIONS IN DEVELOPING PUBLIC FINANCIAL MANAGEMENT (PFM) Assoc. Prof. Dr. Recai AKYEL President of the Turkish Court of Accounts.

Single Audit Strategy LATVIA. Audit System The Audit Authority functions are carried out by the Internal Audit Department of the Ministry of.

PUBLIC SECTOR INTERNAL AUDIT IN THE REPUBLIC OF LITHUANIA Mr. Jonas Vaitkevičius Head of Internal Audit and Financial Control Methodology and Monitoring.

September 2010, Bucharest The 4 th European CAF Users’ Event Progressing Towards Excellence - The Challenge for European Public Administrations.

Internal Audit reporting to CHU Evelin Pungas Head of Internal Control Coordination Unit Financial Control Department

Project Risk Management EECS811: IT Project Management Presenter: Gavaskar Ramanathan.

1 1 OLACEFS Santiago, Chili 9 – 12 December 2013.

Establishment and Development of the Internal Audit System for the Public Sector in Kyrgyz Republic INTERNAL AUDIT COMMUNITY OF PRACTICE ISTANBUL

Audit of Public Procurement

Performance Budgeting and its Impact on Audit of State Annual Accounts Neringa Cikanavičiūtė Principal Auditor National Audit Office of Lithuania 3-5 September.

1 PUBLIC EXPENDITURE AND AUDIT COMMITTEE Jānis Reirs Member of Public Expenditure and Audit Committee Public Expenditure and Audit Committee.

Eshboev B.A. Head of the Department for Monitoring of implementation of national development programmes of the Ministry of Economic Development and Trade.

0 Kestutis Rekerta Strategic Planning Division, Government Office of Lithuania World Bank Workshop, Bratislava, September 6, 2006 STRATEGIC PLANNING IN.

Results of Pre-event survey on Risk Assessment Ms. Edit Németh – RA WG – Budva, Montenegro.

M. Reimeris, The Ministry of Finance of Lithuania (Managing Authority)

INTERNAL AUDIT SHARED SERVICE (IASS) AUDIT PLANNING The Annual Planning Process.

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU Σ SIGMA risk assessment José Viegas Ribeiro IGF, Portugal.

1 RISK ASSESSMENT _____________________________________________________ Fort Bend Independent School District.

The Audit Process PRESENTED BY:.

DEPARTMENT OF MANAGEMENT SERVICES OFFICE OF INSPECTOR GENERAL.

© OECD A joint initiative of the OECD and the European Union, principally financed by the EU. Quality Assurance José Viegas Ribeiro IGF, Portugal SIGMA.

1 INTERNAL AUDIT MANUAL Doroteya Manolova Head of CHUIA Ministry of Finance Republic of Bulgaria PEM-PAL IA COP IA Manual Working Session June,

Supreme Audit Office of the Slovak Republic, Chair of the CBC Sub-Committee Promote Peer Reviews.

The Role of Parliament in the budget process. Overview Actors in the budget process Stages in the budget process Budgeting for the medium term.

The 4 th Meeting of the INTOSAI Working Group on Key National Indicators,, Helsinki, 13 April Wojciech Misiąg, Ph. D. Supreme Audit Office (NIK)

Risk Assessment in Estonia

AUDIT QUALITY ASSESSMENT AND EVALUATION OF INTERNAL AUDITORS’ KNOWLEDGE, CONTINUOUS DEVELOPMENT Lvov 2012 REPUBLIC OF ARMENIA MINISTRY OF FINANCE.

RAWG.  Risk assessment guideline for strategic and annual planning ◦ Identifying auditing universe ◦ Identification of risks ◦ Categorization of possible.

Integrated strategy of territoral development 2012 Jela Tvrdoňová.

CZECH STATISTICAL OFFICE Na padesátém 81, CZ Praha 10, Czech Republic System of methodological audits in CZSO (Final (Final review,

© 2011 Delmar, Cengage Learning Part IV Control Processes in Police Management Chapter 12 Control and Productivity in the Police Setting.

 Definition of a quality Audit  Types of audit  Qualifications of quality auditors  The audit process.

Fiscal Institutions Austrian Court of Audit and the Federal Financial Statements MMag. Günter Bauer, MBA.

July 2007 National Quality Assurance and Accreditation Committee & Quality Assurance and Accreditation Project Role of Action Planning in The Developmental.

S3: Understanding the Business. Session objective To explain why understanding of the business of the entity is important for the auditor To explain why.

29 March 2011 Audit Authority Audit Department Ministry of Finance 1.

Session 1.31 RISK BASED AUDITING AN OVERVIEW BY R T I JAIPUR.

General Secretariat Organization of American States Development and Implementation of a Planning, Control and Evaluation System DPCE presentation to the.

Strategic plan of the Internal Audit Department Livia Jandîc, Budva, Montenegro, March 3-5, 2014 The Ministry of Finance of the Republic of Moldova.

6/6/ SOFTWARE LIFE CYCLE OVERVIEW Professor Ron Kenett Tel Aviv University School of Engineering.

Information by the Managing Authority on evaluations of EU funds in 2009 Monitoring Committee meeting 25 March 2009.

Quality assessment of internal audit activities performed on a periodical basis Nikolina Bibić, Ministry of Finance, Central Harmonization Unit Republic.

Internal Audit manual dr. Ágnes Gerencsér Ministry of Finance Central Harmonistaion Unit.

Auditing a project or using audits to improve project performance? The development of the Performance Assessment Tool (PAT) for the South West Road Project,

Internal Audit Reports Follow-Up Yerevan Report on Audit Engagement Accurate Impartial Clear Concise Constructive Integral Timely.

INTERNAL AUDIT SERVICE of the REPUBLIC OF CYPRUS

Michael Romeu-Lugo MBA, CISA March 27, 2017

Internal Audit’s report

Experiences of Audits of the European Commission in the Region of Saxony-Anhalt Mechthild v. Maydell Head of the Audit Authority for the Region of Saxony-Anhalt.

M. Reimeris, The Ministry of Finance of Lithuania (Managing Authority)

Auditing & Investigations I

INTERNAL AUDIT IN ARMENIA

Risk management Chapter 7 Copyright ©2016 Pearson Education, Inc.

Developments And Achievements In Implementing Public Internal Financial Control (PIFC) Reform In Armenia EDGAR MKRTCHYAN, PhD Chairman of Executive Committee.

Probable Impact on Corporation Probability of Occurrence

PEMPAL Internal Control Working Group– 45th IACOP Meeting

Planning for IT Audit Session 4.

USE OF PEMPAL KNOWLEDGE PRODUCTS

Audit Engagement Planning in Armenia

Policy on the Internal Audit Council

Good practices for risk assessment and control activities

Internal Audit in the Public Sector in North Macedonia - First steps, achivments and further chellenges - Mite Mitevski, Head of Central Harmonization.

Identification and management of fiscal risks in Latvia

Strategic development goals and priorities of the Republic of Tajikistan . National monitoring and evaluation system for their achievements. Eshboev.

Presentation transcript:

Risk assessment in strategic and annual planning of internal audit Lvov 2012 REPUBLIC OF ARMENIA MINISTRY OF FINANCE

Audit space Internal audit covers all public institutions : Armenia President’s cabinet, Secretariat of People’s Assembly, Secretariat of Government, Ministries and departments.

Object of audit Object of audit in Armenia are such business-processes in an organization that are carried out in order to accomplish its goals.

Models used in risk assessment A number of models are used in risk assessment in Armenia: Model based on risk indicators, Model based on criteria applicable to groups of organizations.

Model underlying the IA manual in Armenia Risk assessment is based on self- evaluation of auditees.

Identification of risks Along with the risk assessment, the audit unit also receives information on the nature of the risk Assessment is scored from 1 to 4 NBrief overview of process Risk descriptionProbability of risk Evaluation of impact 1 2

What auditors do when adjusting risk indicators The audit unit, having received information on risk evaluation from auditees, shall apply some adjustment ratios. Adjustment ratios are selected within the range from 0.5 to 1.5.

Adjustment ratios Share of financing Complaints, if any Incentives Any structural or other changes Etc.

Risk assessment Probability of risk Impact

Risk groupField High risk5 Significant risk4 Medium risk3 Low risk1 and 2 10 Risk groups

Risk groupSampling percentage High risk100% Significant risk33% Medium risk17% Low risk5%5% 11 Sampling percentages by risk groups

Identifying priorities in sampling While sampling for significant, medium and low risk groups, it is necessary to assess priorities, i.e. those processes that must be sampled for strategic and annual planning.

Priority assessment The assessment is made based on the risk value in the previous 3 years. In order to assess the priority ratio, it is necessary to compare the risk value obtained by the auditors with values for each of the previous years. Depending on how this risk value has changed, they will identify the first ratio

Matrix for design ratio (K)

Impact by years Previous 3 rd yearPrevious 2 nd yearPrevious year Anticipation ratio ( КУ ) 123

Formula for priority ratio ( КП ) КП = ( К 1)x( КУ 1) + ( К 2)x( КУ 2) + ( К 3)x( КУ 3)

Strategic planning and estimate of resources After all the necessary calculations have been made, all selected processes must be included in strategic plan Assessment of resources is necessary in order to identify the requirements for execution of audit tasks. If the required resources are not sufficient for execution of the annual plan, the audit unit shall involve additional resources, including experts.

Thank you for attention! Grigor Aramyan Head of Intenral Audit Methodology Department, Ministry of Finance, Republic of Armenia Tel.: