Josep Piqué • Revista Auditoría Interna • 3 de octubre de 2018

Claves para entender el contexto geopolítico global

His message was focused on the constant change in the modern world and the speed at which it is taking place, affecting all parts of the economy. These disruptions are here to stay, as he said, and have become a cyclical process in organisations.

Over the last two decades there have been a number of crises that have had a really profound impact on our environment. We are trying to resolve each of these by establishing rules and regulations, which is making everything more complex, not only from the financial point of view, but also at the technical level in all the economic sectors.

How can internal audit act in this situation? By improving the performance of good governance through its professional activity. And to assume good governance the process of decision-making must be improved.

In turn, to improve this process a balance is needed between existing legislation and efficiency, thus achieving an executive management supported by what can be called an “unbreakable tripod”: Internal Audit, risk management and internal control. These three functions must work together to achieve this balance between compliance and efficiency for the company.

The internal auditors 3.0, the latest generation of super auditors, must focus on a number of issues. One of them is independence, which is essential in our profession. To achieve it we have to be brave and “politically” incorrect, not only with respect to accounting records, but in all everyday activities involving our profession.

We must also be open, and have contact with all the organisation. Internal auditors are responsible for performance that is consistent with the long-term principles of the organisation. Internal auditors must also have discipline, and be capable of facilitating the debates and handling antagonism well. They have the capacity to carry out an in-depth analysis and be relevant, but may also provide a holistic approach as internal auditors.

With independence we can achieve what Farid Aractingi defines as the “pragmatic value”; in other words, “making others listen so that we are really able to contribute the possibility of progress for the organisation. We must speak the truth with neither arrogance nor complacency, and be guardians of this temple.”

Farid Aractingi said that “with the use of powers of attorney and improvements in the profession, internal auditors can take their place at the decision-making table, which is essential for helping the organisation to make real progress. That is what we are here for, to improve organisations and corporate governance.”

However, in what he defined as a journey, we have to accelerate and adopt the European dimension, which is achieved by combining forces to provide a new dimension in a global world where the countries of themselves are blurred, so adopting a broader and stronger European standpoint will help improve the profession.

The president of ECIIA ended his speech by giving as an example of this European collaboration the report Risk in Focus 2019. Hot Topics for Internal Auditors, drafted by six European internal audit institutes.

  • Summary prepared by the Institute of Internal Auditors of Spain