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High Impact Performance Auditing: Advocacy, Mapping, Objectives, Methodology and Evidence

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Date(s): May 15, 2018 - May 16, 2018
Time: 8:30AM - 5:00PM
Registration Fee: $299.00
Cancellation Date: May 08, 2018
Location: JOHN M. KEEL LEARNING CENTER
City: Austin

Course Description

From a performance auditing advocacy perspective, this course instructs participants on how to move through the planning and field work phases of a performance audit to accomplish high impact outcomes.  Accordingly, this course will help enable participants to understand the program being audited, correctly identify significant audit issues, develop high impact audit objectives, understand options for selecting methodologies, and assure sufficient and appropriate evidence in compliance with Yellow Book Standards.


Potential CPE Credits: 16.0
Govt Hours: This class meets 16.0 hours of the 24-hour requirement for governmental CPE under Government Auditing Standards (yellow book), in most cases.
Technical Hours: This class meets 16.0 CPE credits of technical training in compliance with Texas Admin. Code Rule 523.102.

Instruction Type: Classroom
Experience Level: ALL
Category: Auditing

Course Objectives

Upon completion of this course, participants will be able to:

  • Understand an overview of the performance auditing process from an advocacy perspective.
  • Conduct program mapping, identify performance expectations as the basis for developing audit issues, and develop significant audit issues.
  • Develop audit objectives and sub-objectives; understand the need to support the objectives and sub-objectives with selected methodologies and types of evidence; and anticipate the impact on potential audit recommendations.
  • Understand and apply approaches for assuring sufficient and appropriate audit evidence.

Course Outline

 

Module One:  Advocating the Concept and Impact of Performance Audits

 

A. Purposes and outcomes of  performance audits

 

B. Distinction between performance and financial audits

 

C. Phases of performance audits

 

Planning—including audit selection, survey, and detailed planning

Fieldwork—including development of evidence, findings, and conclusions

Reporting—including interim and final report

Follow Up—including management and auditor responsibilities

 

D. Implications/requirements for conducting performance audits

 

·          Communication with stakeholders necessary throughout the process

·          Consideration of risk encompasses more than financial loss, sampling error, or reporting unreliability

·          Variety of disciplinary expertise needed; increased flexibility required of auditors with respect to learning and working with others

·          Conceptualization and critical thinking skills are essential

 

 

Module Two:  Mapping Government Programs and Identifying High Impact Audit Issues        

 

A.    Map each program being audited by describing inputs, processes, outputs, and outcomes

 

B.    Use a performance expectations model to formally develop at least criteria and preliminary conditions during planning to leave more room in fieldwork for root causes and high impact effects

 

C.    Use risk and vulnerability assessment to prioritize audit issues.

 

Module Three:  Developing High Impact Performance Audit Objectives

 

A.    Select significant audits based on annual or multiyear planning process

 

B.    Develop preliminary audit objectives based on initial audit planning

a.    Understand where audit objectives come from (mandate, request,  and auditor judgment)

b.    Understand the needs of potential report users

c.    Understand the nature of the program or subject being audited, including management’s performance management and measurement system

d.    Identify potential preliminary audit objectives (sources of audit objectives)

 

C.    Refine/Develop audit objectives and sub-objectives

a.     Understand audit standards pertaining to audit objectives

b.     Review characteristics of well-developed audit objectives

c.     Understand the potential subjects which could be selected for    audit (entire program or a subsets such as systems, processes, and specific services or activities)

 

D.   Implement decision process to select and prioritize audit subjects and performance aspects (audit objectives)

 

E.    Based on selected audit subjects and performance aspects, formulate/finalize audit objectives

 

F.    Develop scope and methodology for each objective

a.    Understand the menu of methodologies available for performance audits

b.    Understand the approach for selecting the most effective methodologies

 

Module Four:  Assuring Sufficiency and Appropriateness of Audit Evidence

 

A.         Audit evidence definitions, concepts, and standards

a.       What are the types of audit evidence and the strengths and weaknesses?

b.      Where does audit evidence come from?

c.       What makes audit evidence appropriate and sufficient?

d.      How does audit evidence derive from the audit objectives and approach selected?

 

B.          Strengths and weaknesses of evidence from the perspective of gathering and assuring evidence

a.       Gathering appropriate, sufficient evidence through methodologies

b.      Assuring evidence using critical thinking, professional judgment, and selected methodologies

c.       Developing triangulated evidence to answer the audit objectives

d.      Documenting audit evidence

 


Prerequisites

No prerequisites required.

Instructors

Steve Morgan

Stephen L. Morgan, CIA, CGAP, CGFM, CFE, is currently the President of Excellence in Government Accountability and Performance Practices, a company that specializes in training government auditors and managers.  Mr. Morgan is the former city auditor of Austin, Texas, who directed a full scope audit office that conducts performance audits, fraud investigations, and consulting engagements.  Mr. Morgan played a key leadership role in helping the City of Austin evolve its performance measurement and management system into a model for other government organizations.  Before joining the City Auditor's Office, Mr. Morgan was an evaluator in the U.S. Government Accountability Office's National Productivity Group.  His Institute of Internal Auditors' offices have included president and governor, Austin Chapter, chair of the International Government Relations Committee, North American Director on the Global Board, chair of the North American Board, and chair of the 2009 North American Nominating Committee.  In January 2001 Mr. Morgan was appointed (reappointed in 2005) by the Comptroller General of the United States to the Advisory Council on Government Auditing Standards.  He co-authored three textbooks: Performance Auditing: A Measurement Approach (first and second editions) and Auditor Roles in Government Performance Measurement:  A Guide to Exemplary Practices at the Local, State, and Provincial Levels. 

In May 2009, Mr. Morgan received the Victor Z. Brink Memorial Award, IIA's highest award for leadership and service to the global internal auditing profession.  In May 2007, Mr. Morgan accepted the National Intergovernmental Audit Forum's Excellence in Government Performance and Accountability Award from the Comptroller General of the United States.  Also, in March 2002, Mr. Morgan became the fourth annual recipient of the Harry Hatry Distinguished Performance Measurement Practice Award from the American Society of Public Administration honoring his lifetime of contributions to public service. Mr. Morgan holds a Bachelor of Arts degree in government (with honors) from the University of Texas at Austin; he was elected to Phi Beta Kappa. He also holds an MPA from the Lyndon B. Johnson School of Public Affairs of the University of Texas.


Additional Information

TAC Rule 523.142(g) requires the CPE Sponsor to monitor individual attendance and assign the correct number of CPE credits. Participants will be asked to document their time of arrival and departure in compliance with this Rule. Additionally, attendance will be monitored throughout the day and CPE certificates will reflect actual attendance of each participant.

If you are making travel plans to come to Austin, we recommend making "refundable" air and hotel reservations or waiting until 14 days before the class to actually book your reservations. Courses are occasionally canceled or rescheduled due to low enrollment. We determine whether a course has enough participants 16 days prior to the course date. If we cancel or reschedule, we will email the participant and his or her billing contact no later than 14 days before the original class date.

The course coordinator will contact you with parking information. Handicapped parking is free at the meters around the downtown area.

Vending machines with Coca-Cola products and various snack items are available. There is also a refrigerator and microwave in our coffee bar area. Feel free to bring in your own drinks and food if you prefer.

You might want to bring a light sweater or jacket, as room temperatures vary.

To see answers to our Frequently Asked Questions, visit http://www.sao.texas.gov/training/faq.html.


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