Not Meeting Expectations

We are currently running a survey to understand the relationship between fraud awareness training and an internal auditor’s likelihood of finding fraud. The full results and analysis will be published later this year, but I want to share one of the early findings from the results.

The survey results report a discrepancy in the expectations set by the organization and those understand by the audit department. The survey found that the majority, over 63%, of internal auditors believe their organization does expect them to look for fraud.

When asked, “Does your department assume responsibility for fraud detection”, only 31% responded that they do meet this expectation.

The quick takeaway from the early results is that not all audit departments are meeting management’s expectations related to fraud awareness and detection. We should keep this in mind as we are working through our audits. Fraud red flags should always be top of mind.