The internal auditor is an expert who reviews a business’s financial records, internal controls, and processes to make sure everything is honest, efficient, and compliant with legal requirements. Consider them a “business health checker” who offers suggestions for process improvement, risk mitigation, and cost savings besides searching for errors or fraud.
An internal auditor is essential to maintaining transparency, compliance, and efficiency for firms in Pakistan, particularly those that must deal with complex rules from the FBR, SECP, or international standards. Their efforts increase the company’s long-term value by nurturing confidence with consumers, regulators, and investors.
Nonetheless, selecting the best internal audit partner in Pakistan is a calculated move that can improve the governance and controls of your company.
“An independent, objective assurance and consulting activity designed to add value and improve an organization’s operations” is the definition of internal audit.
The right internal audit partner should assist you in accomplishing goals related to risk management, compliance, and strategy in Pakistan’s ever-changing regulatory landscape. The proper partner fits your company culture and has extensive knowledge of local tax, finance, and industry norms, regardless of your size.
Internal audit: 5 Ways the Right Auditor Can Strengthen Your Business Performance
The Audit and Assurance team at Vault Consulting offers customized internal audit services in Pakistan by fusing multidisciplinary knowledge (tax, corporate advice, IT, HR, etc.) with experience in industries such as healthcare, technology, finance, and the public sector.
Here are 5 Things Pakistani Businesses must evaluate in an Audit Firm;
1. Local knowledge and industry expertise
Selecting an Internal audit report partner with experience in the sector is essential. Your auditor needs to be familiar with the particulars of your industry and have experience working with businesses comparable to yours. For instance, banks must adhere to State Bank of Pakistan requirements, healthcare, and education clients must adhere to strict data and clinical regulations, tech companies may need cyber-risk audits, and non-governmental organizations frequently require donor-compliance evaluations.
According to cbh.com, “If they do not provide three or four relevant references, they may not be the right choice for you.”
You should ask clients in your field for recommendations. Local knowledge is also crucial; the company should be familiar with both international and Pakistani legislation, including tax laws and SECP/PMO rules.
With a history in manufacturing, healthcare, non-governmental organizations, and more (see our clients, including PIMS and Watim Dental), Vault Consulting’s teams are able to offer worldwide best practices and useful insights into Pakistani governance frameworks.
2. Comprehensive Service and Advisory Capabilities
A solid internal audit partner offers a comprehensive advising portfolio that complements your company’s operations, going beyond simply reviewing books. Seek proficiency in allied fields such as Tax Services, Accounting Compliance, Corporate Advisory, IT systems, and Business Strategy in addition to basic audit and assurance.
Select a company that can assist in addressing them holistically, as an audit may reveal problems ranging from payroll (HR), tax exposure (Tax Services), or IT vulnerabilities (System & IT Solutions). Furthermore, multidisciplinary experts are used by industry leaders to provide value. Top internal audit teams, for instance, comprise subject matter experts in tax, cybersecurity, IT, and other fields, according to KPMG.
The experts at Vault Consulting have certifications (such as ACCA, CIA, etc.) and combine audit expertise with tax, legal, and strategic advice abilities to make sure you receive recommendations on risk, technology, finance, and even human resources best practices in addition to your audit.
Because of this comprehensive approach, our internal audit services are able to do more than disclose issues; they can also point out areas where accounting procedures may be made more efficient or HR rules can be made more compliant.
3. Technology and Data-Driven Internal Audit report
To increase productivity and insight, modern auditors make use of sophisticated tools and data analytics. To provide greater risk coverage and quicker outcomes, top internal audit operations are “data and technology-focused,” utilizing automation and analytics.
Digital audit tools, for example, may accelerate reporting, identify abnormalities in real-time, and evaluate entire data populations, not just samples. When choosing a partner, find out if they employ data mining, computer-assisted auditing techniques (CAATs), or dashboards for continuous monitoring. Are they familiar with your financial or ERP systems?
To deploy IT controls and analytics solutions, the System & IT Solutions practice at Vault Consulting collaborates closely with auditors. Our audits can cover more land with more accuracy by utilizing such technologies, which is a benefit that many stakeholders anticipate.
According to studies, executives now anticipate that internal audit would work as a proactive advisor rather than merely a compliance check, and analytics-enabled audits produce more business-centric outcomes and audit reports while using fewer resources.
4. Quality Assurance and Compliance Standards
Strict criteria and controls must be adhered to by your audit partner. They must follow established frameworks (ISO, IIA Global Standards, etc.) and keep a quality control (QC) procedure that is documented.
To guarantee accuracy, a top-notch internal auditing company will regularly perform quality control audits over its work.
Moreover, inquire about their peer reviews, QC reviews, and error rates. Additionally, verify credentials: the firm should be in good standing with institutions, and team members should possess professional certificates (such as CIA or chartered accountant). Trusted companies don’t have to re-learn the fundamentals every year because they keep your internal procedures and compliance guidelines.
They must stay well-informed of any regulation modifications (such as SBP or SECP upgrades) and notify you of any consequences. To put it briefly, your internal audit partner needs to exhibit self-reliance and moral integrity.
Vault Consulting employs experienced auditors who follow strict ethics and maintain high professional standards; many of them have Big Four histories and worldwide affiliations. This reassures you that their conclusions are objective and that their suggestions satisfy national and international compliance standards.
5. Cost, Culture, and Communication Consideration
To sum up, evaluate cultural fit and communication. Mutual trust and open communication are essential for successful audits. Make sure the firm is willing to work directly with you, listens to your needs, and communicates findings in straightforward language.
Effective and frequent communication is crucial to success. Examine their proposal carefully because an audit firm may have difficulties in the future if it is unable to adequately explain its strategy or deliverables. Inquire about their team integration as well; the finest partners will adjust to your culture and, if necessary, assist in training your internal employees.
Nevertheless, cost is a significant factor, but it shouldn’t be the only one. To compare services and costs, it’s a good idea to request at least three proposals. With an emphasis on value and transparent costs, Vault Consulting provides flexible engagement options (co-sourcing or outsourcing, one-year or multi-year contracts). Because we value establishing lasting partnerships, we will customize our audit reports and scope to the size and industry of your company, making sure you only pay for what you require.
Nonetheless, technology and experience should all be considered when choosing an internal audit partner. You may identify a partner who not only conducts efficient audits but also contributes to company enhancements by taking into account factors like communication, quality controls, modern tools, industry understanding, and service scope.
The Audit & Assurance specialists at Vault Consulting are prepared to be that partner by fusing a consultative approach with in-depth domain knowledge in areas including strategy, IT, tax, and accounting.
Get in touch with Vault Consulting to learn how our customized internal audit services can benefit your company and strengthen your internal controls and compliance framework.
To find out more about Vault Consulting’s Audit and Assurance offerings and how we can help with your internal audit requirements, get in touch with us right now.