Outsource your internal audit? Here’s why that’s a good idea!
Have you ever written a paper, essay or speech and tried to proofread it yourself?
Chances are you skimmed over the words, – knowing what they were supposed to say – but missed some typos. Why does that happen? Because your brain doesn’t register what it “knows” is already there.
It’s the same way with internal audits.
When you are too close to the source, essential items can be overlooked or missed altogether and that can be damaging to your company’s reputation and overall bottom line.
Work smarter, not harder
These days the majority of business owners decide to hire an outside expert to complete their internal audit.
Why?
Because it makes good financial sense. Yes, it can be painful to expose your company’s financial flaws, management quirks and business standards to an outside company, but in order to get key line items under control, you need an objective professional.
An internal auditor will:
- Protect the integrity of your organization. Having a fellow employee with emotional and/or monetary ties to the business’ success at best can lead to over-inflated expectations and personal conflicts. At worst, it can result in fraudulent activity that can be difficult to recover from
- Follow the letter of the law. An auditing professional is trained in all aspects of the law. There won’t be any “what if” questions or uncertainty once an expert signs off on your audit. It’s like a legal security blanket for your company
- Identify your weaknesses. Your company can’t deal with any issues unless you know about them. Don’t bury your head in the sand and hope for the best. Take charge of the business’ future, find any weak links now and deal with them. The business will be in a stronger position done the road
Why outsource?
We have one word for you: Money.
As a business owner, your first priority is bringing in a healthy income stream. By focusing on your product, sales or service (and not an internal audit), you are in a better position to make money and grow your business.
With many world economies rebounding nicely, now is a great opportunity for those who know how to leverage their resources. That’s why it makes sense for an internal auditor to do all the legwork for you.
Other benefits of an outsourcing to an internal auditing company:
- They can pinpoint costly mistakes, close the gap and advise you on how to move forward. This service alone can pay for itself over time with a stronger, tighter company more in charge of its financial destiny
- They bring a range of expertise with them. An internal auditing team will, without a doubt, focus on your financials. However, if they identify other needs, such as in the areas of human resource or information technology (IT), they can bring in experts to help you in those areas as well
- They are always there for you. Unfortunately, some business industries have a high rate of employee turnover. If you give one employee too much control over internal auditing, they take that knowledge and expertise with them when they leave your company. By outsourcing this area to a professional company, there is always someone familiar with your situation that you can count on for results
- They maintain a high level of confidentiality. As part of your agreement, you can have a professional auditing firm sign confidentiality clauses and service contracts that protect your business. An employee handling your audit from inside the organization may not be so respectful to your request for confidentiality
If you’ve never considered outsourcing your internal audit function, contact us today for a free consultation to see if this is a good idea for YOUR organization!