- Throw away your business plan – assume nothing on the plan is going to happen.
- Call your landlord – think of what you are going to do when you run out of money.
- Learn to sell on camera – learn how to succeed communicating virtually.
- Come up with the best case/worst case scenarios – anticipate and focus on the major risks.
- Focus on staying in business – nothing really counts if it doesn’t contribute to business success.
So, you might be thinking, what do these messages have to do with the internal audit function?
A LOT.
As an internal audit professional that trains and consults with businesses large and small all the time, I immediately thought of the meaning of the messages for OUR function.
So… thanks to Barbara, here are MY messages for internal auditors as the coronavirus is “wreaking havoc” on the businesses that they serve:
- “Throw away your business plan.” For internal auditors, this means throw away the annual audit plan. Yes, I said it. It’s time to build a new plan focusing on the business as it is today and the risks and processes that are at risk today (NOT LAST YEAR, NOT LAST MONTH, NOT YESTERDAY!!). To use an accounting term, it is time for a “zero-based” audit plan. Everything on there must be justified in order to eliminate waste and ensure time is spent on the real risks by critical business resources. (Have I mentioned you should be a “critical business resource” too? Stop thinking about yourself as a “cost” to the organization and start acting like a “benefit.”)
- “Call your landlord.” For internal auditors, this means examine your budget. The rest of the organization is taking a deep look into where they can remove unnecessary expense and you should be as well. Make sure all your expenses are justified, you are looking for new ways to perform innovative and creative remote audit work (like using a free survey tool to gather pertinent organizational data), and above all, make sure each one of your auditors and audits is contributing and adding value. And explain to your landlord – your Audit Committee – what actions you are taking.
- “Learn to sell on camera.” For internal auditors, this means “learn how to sell on camera.” Seriously. I used to ask one key interview question when looking for a new internal auditor: “How do you feel about being a salesperson.” Why? Because we are selling our ideas and recommendations to management each and every day. We need to have the ability to influence their actions and behaviors just by our communication style. So… what is yours now? It’s time to get good at virtual communications. No, I don’t just mean email. Turn your cameras on. Get to know your auditees concerns by getting to know them. Build relationships. Build rapport through transparency, vulnerability, and empathy. Oh, and reassess how you gather information and report findings to those concerned. Our old processes and techniques are not likely to work (if they ever did).
“If people like you, they’re going to want to do business with you. And if they don’t, you’re going to have an almost insurmountable obstacle to overcome.” – Barbara Corcoran
- “Come up with the best case/worst case scenarios.” For internal auditors, this means identifying the risks that count during this triple pandemic time: the economic, health, and social pandemic impacts to our organization. This means evaluating risks regarding health and welfare of employees, risks associated with remote work, technology risks involving data security and privacy, risks associated with vendors, suppliers, or other third parties, or emerging fraud risks. Assist management in assessing the risks and strategizing for future risk mitigation. “Major on today’s majors.”
- “Focus on staying in business.” For internal auditors, this means adding value. I have been asked over a hundred times how we can really add value to our organization. My response: “The best Internal Audit leaders are trying their best to work themselves out of a job.” Wait – this seems like I am going against Barbara’s great advice. Not true. If we do our darndest to do our job SO well today that we are permanently solving problems, I assure you, we will get to stay in business. We will just get to focus on the future risks to the organization… and the future viability and success of our business.
As Barbara says:
“In business, you’re the chief salesman. Create a sense of demand, rather than waiting to have demand.”
Internal Auditors… it’s time to start creating your own demand.
Need Internal Auditing or Ethics CPE? Book your next virtual training with Jo today! Email Jo@AuditConsultingEducation.com.
Amanda “Jo” Erven, CPA, CIA, CFE, is the President and Founder of Audit. Consulting. Education. LLC. After a successful career in external/internal audit and accounting, Jo is now an active Internal Audit Strategist, Management Consultant, Higher Education Professor, Author, and Trainer/Speaker, providing Continuing Professional Education (CPE) hours, live and virtually, to organizations across the globe. Jo’s motto says the most about her personal and professional outlook: “Good things come to those who wait… but don’t. You deserve better than good.” Every one of her books and presentations focuses on that proactive stance, and how we can immediately connect our actions to our values.
