1. Colorado Department of Revenue:
A Review of the Audit Assignment Process
Bishop Bhandari, Brandon Dyer, Daniel Deshe, Torrence White

2. How do we make the audit assignment process more efficient without compromising auditor motivation?
Change in audit assignment may reduce motivation of senior agents
Change in audit assignment may encounter a resistance
Agents may not always be assigned to audits they are best suited for
Our Goal: Increase the overall efficiency of the CDOR by standardizing the audit assignment process.

3. CDOR Other States The Current Situation Assignments based on seniority
Most agents choose audits based on location
CDOR
Audits are assigned to agents by a manager
Agents have no choice in audits they are assigned
Other States

4. Closer Look Status quo situation of audit assignment will:
Reduce the effectiveness of audits
Prevent the CDOR from developing agent skills
Maintain the low motivation of junior agents

5. What Are Other States Doing?
Managers assigns audits based on the experience level of the agents
Texas
Audits are put into a pool that agents can choose from
Experts would have first choice
South Dakota
Assigned by managers based on experience
Agents can request specific industry not taxpayer
Washington
Agents have no say
Out-of-state audits based on experience and capability to complete
In-state-audits are assigned based on the resident area of an agent
West Virginia
What Are Other States Doing?

6. Current vs. New Maintain current process Implement new process
Current agents are satisfied with process
Agents’ skill sets not matched with complexity of audits
Location still basis for audit assignment
Standardized system in place
Reduce cost and budgeted time for audits
Cost neutral to implement and maintain

7. A New Process
Assign agents to audits base on their expertise and qualifications
Motivate agents through intrinsic motivational techniques
Projected Benefits:
More audits would be completed with same number of agents
More revenue would be generated for CDOR
Agents would be more motivated to go above and beyond their responsibilities
More experienced agents will be receiving the audits that they are most suited for

8. Questions?
Thank You