Internal controls (IC) are critical to the effective functioning of all processes. The importance of proper and relevant documentation can be viewed as a burden by many professionals. However, strong, relevant documentation is critical to ensure organizations can adequately monitor, manage, and adjust their processes in line with business objectives. This requirement extends far beyond internal controls over financial reporting. Management must first establish appropriate responsibilities for internal control. Personnel must have a strong understanding of the types and methods of IC and how they relate to their jobs. Controls should be well documented.
Management must first establish appropriate responsibilities for internal control processes and documentation expectations. Personnel must have a strong understanding of the types and methods of IC and how they relate to their jobs. With this understanding comes the ability to properly obtain relevant information to document controls. Documentation methods must meet organizational needs and be sufficient for personnel to understand.
This course will evaluate the responsibilities of employees, management, and auditors in understanding their role in internal control as well as evaluating documentation methods. The course is useful to all individuals within a company who have responsibility for writing policies and procedures, documenting and evaluating processes and internal controls and testing processes.
Publication Date: May 2020
Designed For
Accounting and Finance professionals, Internal auditors, Executive management, Board members and Audit Committee members, Legal and Compliance professionals, and all professionals in a corporate or private setting.
Topics Covered
- Responsibilities for internal control
- What to document
- Documentation types
- Flowcharts
- Narratives
- Policies and Procedures
- IC Questionnaires
- Risk Control Matrices
- Establishing a Defined Documentation Process
- Other Key Aspects of Documentation
- Flow Chart Symbols
- Other Documentation ” Maturity Model
- Issue Tracker
- Testing Documentation
- Other Documentation: Internal Audit Formal Reports
Learning Objectives
- Recognize and apply the responsibilities for internal control within an organization
- Identify important aspects of a process to document
- Identify and evaluate various documentation types
- Describe how to establish a defined documentation process
- Recognize steps to sufficient documentation
- Describe relevant methods of flowcharting
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Auditing (2 hours)
Program Prerequisites
None
Advance Preparation
None
Instructor
Lynn Fountain
Lynn Fountain has over 38 years of experience spanning public accounting, corporate accounting and consulting. 20 years of her experience has been working in the areas of internal and external auditing and risk management. She is a subject matter expert in multiple fields including internal audit, ethics, fraud evaluations, Sarbanes-Oxley, enterprise risk management, governance, financial management and compliance. Lynn has held two Chief Audit Executive (CAE) positions for international companies. In one of her roles as CAE, she assisted in the investigation of a multi-million-dollar fraud scheme perpetrated by a vendor that spanned 7 years and implicated 20 employees. The fraud was formally investigation by the FBI and resulted in 5 indictments estimating a $13M fraud loss.
Ms. Fountain is currently engaged in her own consulting and training practice. She is a highly sought-after trainer and international speaker. In addition, Ms. Fountain has assisted numerous companies with enterprise risk management frameworks, internal audit processes and financial accounting. She also serves as a discussion leader for the AICPA for numerous classes finance, accounting and risk management topics.
Ms. Fountain is the author of three separate technical books. Her first book released in 2015 by the Institute of Internal Auditors Foundation is entitled “Raise the Red Flag – The Internal Auditors Guide to Fraud Evaluations”. Her second book “Leading the Internal Audit Function” was released in October 2015 by Taylor & Francis Publications. This book serves as the initial launch for a series of leading practice internal audit and information technology publications. Her third book “Ethics and the Internal Auditor’s Dilemma” was released in December 2016.
Ms. Fountain obtained her BSBA from Pittsburg State University and her MBA from Washburn University in Kansas. She has her CPA, CGMA, CRMA credentials.