INTERNAL AUDITORS

The audit process is a professionally conducted activity that relies on open communication between University Departments and the auditor for its success.

For our internal audits (non system-wide), we must perform a preliminary investigation, develop the scope and objectives, prepare the audit program, and develop the budget.

Once the auditor has been assigned a University unit to audit, he/she must formulate a plan for the audit. However, the auditor must first gain an understanding of the unit's operations and control environment. This understanding is obtained by performing a Preliminary Investigation. Once the Preliminary Investigation has been completed, the auditor will have completed the audit program, the time budget, the Planning/Preliminary Investigation section of the audit program, and the Internal Control section of the audit program. Below are the steps in performing the preliminary investigation:

• Have initial briefing with the Associate Vice President for Internal Auditing and Management Consulting (IAMC) and determine the preliminary scope and objective.
• Obtain/review any applicable information on the unit to be audited:
  • Review the permanent file.
  • Review applicable prior audit reports and work papers, and note any audit findings.
  • Review applicable laws, rules and regulations.
  • Review organization charts and employee job descriptions.
  • Review the organization's policies and procedures.
• Identify organizational objectives, and the risk associated with those organizational objectives.
• Interview personnel and prepare narratives and/or flowcharts to document operating procedures and internal accounting controls noted. Be sure to confer with organizational personnel.
• Identify and evaluate key internal accounting controls which are designed to provide assurance that organizational objectives within the scope are achieved.
• Develop the scope and objectives, based on this evaluation.
• Submit the scope and objectives to the Associate Vice President for IAMC for approval. Revise as necessary, and obtain final approval for the scope and objectives.
• Develop the audit program based on the audit objectives identified in the scope and objectives and the organization's key internal controls. Note that each test should be designed to determine whether the organizational objectives are being met.
• Develop the audit time budget. This budget should be an estimate of the audit hours necessary to complete the audit.
• Submit the audit program and time budget to the Associate Vice President for IAMC for approval. Revise as necessary.

EXTERNAL AUDITORS

It will be the responsibility of the UWF IAMC Department to coordinate the needs of any external auditors. The Associate Vice President or Coordinator will assist in setting entrance/exit conference meetings with management. Additionally, the UWF IAMC Department will act as liaison in securing the management representation letters, attorney letters, auditee responses, and any other correspondence for any external audit reports. These documents will be typed by IAMC personnel and distributed appropriately for signature and then submission to the external auditors. Examples of external auditors are: Auditor General (state auditors) for the financial, compliance, federal financial assistance, and QAR audits; and private CPA firms for the audits of the radio station, foundation, and athletic financial statements.