Task Force on Audits Quality
Control for SAIs
Aisha AL-Kandari
Task Team on Audits Quality Control
Membership
Tanzania Peru Hungary
Turkey Iraq Austria Kuwait
2017
2018
2019
Project Plan
Questionnaire
Analysis of the Responses
Questionnaire structure
1) Quality control / assurance systems in
place
2) Scope of quality control / assurance
systems
3) Quality regulatory framework
4) Organizational structure /
responsibilities for quality
5) ISSAIs 40 & 1220 implementation
6) Development of standards, policies
and/or procedures to ensure
7) Mechanisms to deal with risks
8) System to achieve quality objectives /
priorities
9) Quality in jurisdictional frameworks
10 ) Code of Ethics
11) policies and procedures of possesses the
knowledge, skills and experience
12) Training centers
13) Quality certification of
processes
14) IT Quality Management System
15) Quality monitoring16) Applicability of
policies / procedures17) Reporting 18) Quality indicators
19) Quality results20) Quality control external auditing
The responses to the
questionnaire were received
from 49 SAIs
Afghanistan
Australia
Azerbaijan
Bahrain
Belgium
Belize
Bhutan
Botswana
Bulgaria
Chile
Colombia
Costa Rica
Croatia
Cyprus
Czech Republic
Denmark
Dom Rep
ECA
Egypt
Estonia
Fiji
Georgia
Greece
Guatemala
Honduras
Hungry
Italy
Jordan
Kazakhstan
Kuwait
Latvia
Lithuania
Netherlands
New Zealand
Palestine
Papua New Guinea
Peru
Philippines
Poland
Qatar
Seychelles
South Africa
South Sudan
Switzerland
Tajikistan
Tanzania
Turkey
United Kingdom
USA
1- Does your SAI have:a. quality control system in
place:
98% …
2% No
1- Does your SAI have:b. quality assurance system
in place:
74% …
26% …
ISSAIs, CODE OF
CONDUCT. SAI-
PMF, manuals
2. What is the scope of your SAI’s
quality control and quality
assurance systems?
31%Reflected in all stages of the audit
60%Reflected in all stages of the audit processes and institutional processes
8%new law to establish intrnal control for quality control
3. What is the regulatory
framework (law, guideline,
procedure, standardized forms,
ISSAI) that regulates the
quality control system in your
SAI?
65%Establishment law and standards issued by professional bodies(as well as policies and manuals)
29%
4%new law to establish intrnal control for quality control. Or work is in progress to establish quality control policies and manual.
2%Has not any sub-legal act refer to the regulation the quality control system.
4. In terms of organizational structure and level of
responsibilities related to the quality control system:a. What is the organizational structure of the unit(s) devoted
to such system within your SAI?
13%Designated unit but it is not directly reporting to the highest level of authority.
27%Directly reporting to the highest level of authority.
13%New eatablishment
30%No designated unit but it is controlled through work processes
27%Not Directly reporting to the highest level of authority.
4- In terms of organizational structure and level of responsibilities
related to the quality control system:b. What procedures has your SAI used to implement a clear assignment
of authority and responsibilities level (hierarchical scheme) to its
personnel?
2%Responsibility is delegated to senior officers with relevant audit experience
7%New eatablishment
2%Auditors General are appointed by the President.
89%Resposibility is defined among different levels in SAI (from general auditor to audit team) by rules, manuals, job discription
5. To which extent could your SAI
implement “ISSAI 40 – Quality
Control for SAIs” and “ISSAI 1220
– Quality Control for an Audit of
Financial Statements” considering
its mandate, structure, risks and
the kind of work that it does? If it
is not possible, what quality
control measures has your SAI
implemented?
52%Both Implmented
23%Only ISSAI 40
2%Only ISSAI 1220
16%In Process
2%Not Implemented
5%Applying consistent quality standards.
98% Yes
2% No 6- Has your SAI developed any standards, policies
and/or procedures to ensure:a) That all the audit work carried out is subject to
review –including review of the audit plan, working
papers and the work of the team, and regular
monitoring of the progress of the audit by relevant
levels of management or an external opinion
6- Has your SAI developed any standards,
policies and/or procedures to ensure:b) That when difficult or contentious
issues arise, the SAI will resort to
technical experts to help solving such
issues, as appropriate
[Through external advisory support].
87% Yes
13% No
6- Has your SAI developed any standards, policies
and/or procedures to ensure:c) That any difference of opinion within the SAI is
clearly documented and resolved before a report is
issued.
[Through the Audit Board and Audit Methodology
Committee].
80% Yes
20% NO
6- Has your SAI developed any standards,
policies and/or procedures to ensure:d) That your SAI acknowledges the
importance of quality control reviews of
its audits and that the issues brought
forth are resolved in a satisfactory
manner before issuing a report.
89% yes
11% No
6- Has your SAI developed any standards,
policies and/or procedures to ensure:e) The corresponding approval to issue a
report.96% yes
4% No
6- Has your SAI developed any
standards, policies and/or
procedures to ensure:
f) An internal culture that acknowledges that quality is essential in all jobs and at the stages of the audit
process.
91% yes
9% No
7- What standards, policies and procedures
has your SAI established and implemented
to identify, analyze and mitigate the risks
(i.e. internal, external, inherent and/or
control risks):
a. To ethic That can affect quality in the
execution of the SAI’s work conduct within
the institution, and/or
b. That can affect quality in the execution of the
SAI’s work?
Answers:
• Code of Ethics
• self-declarations
• rotation of auditors
• ANAO policy on Professional and Ethical Requirements, and
the Australian Public Service Code of Conduct
• HR Policy.
• Performance Management Procedures.
• The NAO professional code of conduct is in-progress as part
of NAO Strategy (2016-2019)
• staff regulations
• Independence Forms and Oath of Secrecy
• Public Service Regulations (PSR)
• Disciplinary control procedures
• Disciplinary control procedures 4) manual Anti-corruption
plan and citizen service plan
• Policies for the prevention of conflict of interest.
• Laws
• quality control manual
• Adoption of ISSAI 30 on Code of Ethics
8- Does your SAI have a system
in place to ensure that all the
objectives/priorities within
the SAI conform to quality? If
so, how does it work? 86% Yes
9% No
5% In Process
9- In case your SAI has jurisdictional
activities, describe the specific
quality control system put in place
to ensure the highest quality level
of investigations and judgments.
16% Yes
84% No
10- How does your SAI elaborate, disseminate, implement
and update its Code of Ethics? In case that your SAI does
not have one, please explain why and when it will be
elaborated?
Answers:
• shared with all staff and every audit staff needs to sign and submit a self-declaration
• implement and disseminate the code of ethics through various ANAO policies
• Code of Ethics disseminated through our website, intranet
• Code of Ethics reviewed annually with staff
• All the new recruits have to undergo minimum of two-week induction program
• Code of Ethics distribution through brochures and online courses
• The code of ethics is disseminated through activities planned annually through talks,
campaigns in the media, public ethics courses and the figure of an official in each unit that
acts as an ethical leader, called PILE.
• code of ethics was made and updated according to the requirements of the ISSAIs
• The code of ethics for auditors are written, implemented and updated by the Court
11-What policies and procedures has your SAI
established and applied so that an audit
team, as a whole, possesses the knowledge,
skills and experience necessary to carry out
successfully the audit work?a. Specialties by audit sectors, training, job description, outsourcing, competency
matrix
b. Taken into consideration when creating the audit team
c. Audit guidelines, procedures, manuals, audit plan
d. Guidelines + training
e. Capacity need assessments
f. Only in financial audit, yet to be implemented in performance and compliance
auditing
g. Audit manuals and guidelines, Competency matrix, training
h. In development process
i. To the extent quality system is implemented
2%
21%
12%
47%
2%
2%
2%
9%
2%
12- Does your SAI have a training
center? If your answer is
affirmative:
21% Yes
79% No
12- Does your SAI have a training center? If your answer is affirmative: a. What role does this training center play in the implementation process of the SAI’s
Quality Management System?
a. Training
b. in house training
c. Identifies Needs
d. Specialized training
e. Organized by Afrosai E
f. Conducts Seminars and case studies
g. On Job Training
h. In Process
7%
15%
59%
3%
4%
4%4%
4%
96% Yes
4% NO
12- Does your SAI have a training
center? If your answer is
affirmative: b. Has your SAI established any procedures for
selecting staff to participate in trainings
(internal or external) and obtain professional
qualifications or continue to keep them up to
date and relevant?
13- Are your SAI's organization
and processes certified by
any international quality
standard (such as ISO 9001)?
If so, which parts or
processes and since when?
11% In process
73% No
1% Yes
14% Other
14- Is there any specific software (technical
resources) that your SAI uses for its Quality
Management System with the aim of securing
quality control and quality assurance?
28%Audit Management Software is used
9%Audit Software is used
12%The Software (TeamMate) is used
24%The Software (TeamMate) is used
28%There isnt a spesific software system
15- Does your SAI have and apply any
monitoring process to assure that policies
and procedures related to its quality
control system are relevant, adequate and
operating effectively?
4%The Institution applies, institutional self-evaluation
4%Monitoring done by the internal Audit department
7%There is a (division / team) for quality assesment
4%Quality assesment done in cooperation between departments
56%There is a (division / team) for quality assesment
2%There is no specific quality assessment team
22%There is no specific quality assessment team, but there are some monitoring procedures that are being conducted
16- Does your SAI have policies and procedures designed and
in place to carry out its audits and other work in
accordance with relevant standards and applicable legal
and regulatory requirements that include:
a. Matters relevant to promote consistency in the
quality of the work performed.
Answers:
Through:• Audit Board and Methodology
Committee
• software with mandatory procedures
and templates for completion
• Audit procedures manual, HR policy
and periodic performance
management review
• Supervisor of Audits
• Quality Control and assurance system
• Audit Regulation
• audit planning document that has
been subject to review
• Central Departments and Audit
Accounts Control Departments
• Policies in ISSAI 40
• TeamMate Auditing Software
89% Yes
11% No
16. Does your SAI have policies and procedures
designed and in place to carry out its audits
and other work in accordance with relevant
standards and applicable legal and regulatory
requirements that include:
b. Supervision responsibilities
13%SAI PMF Review
14%external Review
32%Internal Review
31%Peer Review
10% No
98% Yes
2% No
What kind of internal andexternal review (SAI PMF, ISO9001, peer review, etc.) it hasundergone lately?
16. Does your SAI have policies andprocedures designed and in placeto carry out its audits and otherwork in accordance with relevantstandards and applicable legal andregulatory requirements thatinclude:
c) Review (self or external assessment) responsibilities (including the SAI’s quality control and quality assurance systems to verify the extent to which goals are accomplished).
91% Yes
9% No
74% Yes
26% No
Corresponding reports are available to the public?
d) List any relevant policies and procedures, including a brief description of them, established to carry out its audits (corresponding documentation might be requested afterwards)
Answers:
o The Audit Manual
o policies and guidance
o Finance and Audit Reform
o Periodic publications and books
and decisions of the President.
o SAI regulations.
17. Does your SAI draft
progress reports
concerning its quality
control work, including
deficiencies and
recommendations for
remedy?
41% Don’t progress reports concerning its quality control work
2% Follow up by Management
57% Progress reports concerning its quality control work
18. Does your SAI have indicators to measure
quality management? If so, which ones are
they and how frequently they are applied
and reviewed?
18%No indicators to measure quality management
16% Procedures have been established for determining indicators to measure quality
67%The quality indicators are applied
19- What results has your SAI
obtained with the implementation
of quality management, in terms
of the SAI’s contribution towards:
a. Strengthening accountability,
transparency and integrity?
Answers:
• Ensuring accountability and transparency in audit work
• contribution to national strategy to combat corruption
• Clear reporting and recommendations
• website published various accountability documents of
high importance for citizens
• Reports are usually regarded as reliable instruments for
decision makers
• an amendment is done on the law of the SAI to have
independency
• Examination of SAI audit reports by Finance and Public
Accounts Committee
• including oral evidence of the Executive
• including oral evidence of the Executive
19- What results has your SAI obtained with the implementation of quality
management, in terms of the SAI’s contribution towards:
b. Demonstrating its continued relevance (importance) and the value and
benefits to society through high quality outputs?
Answers:
• Contributed to improved public sector accountability and transparency
• Helped improve public sector administration
• informing Parliament on a wide range of matters relating to the performance of the public sector
• Selection of audits that are of public interest
• Through issuing fairness, clarity and objectivity reports on audit work
• implications for the report recommendations on the efficiency and effectiveness of the public sector work.
• Raising the quality of services provided to citizens,
• Preserving the citizens' funds which are managed by public sector departments.
• increased the quantity of revealed violations and deficiencies which are the benefits to society
• Higher reputation and relevance of work performed
• ensure the quality of engagements that resulted in substantial financial and non-financial benefits
19- What results has your SAI obtained with the
implementation of quality management, in terms of the
SAI’s contribution towards:
c. Being a model organization from your key
stakeholders’ perspective? Answers:
• ensure independence and accountability across
all levels of the organization
• better image and institutional reputation
• Set ethical structure and accomplished ethical
values
• Credibility and Confidence
• Reliable instruments for decision makers
• Acting as benchmark for others to follow
• unbiased analyses
• credible recommendations on how to improve
government performance
• Accurate information
20. Has your SAI ever contracted external auditors –
either external auditors contracted to audit public
institutions on behalf of the SAI or to audit the SAI
itself–? If so, does it have a quality control system
that ensures the quality of their audit work?
9%External auditors may be used to audit public institutions or to audit SAI itself
43%External auditors may be used to audit public institutions
17% External auditors may be used to audit SAI itself
30% No
12th WGVBS meeting
analysis of the responses
drafting of the guidance material
“The Implementation of Quality Control in the Audit Process”.
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