A SWOT ANALYSIS OF DIRECTORATE OF INTERNAL AUDIT AND RECOMMENDATION FOR PROPELLING WEALTH CREATION FOR THE UNIVERSITY
PREFACEBefore starting any planning or analysis process there is need to have a clear and smart goal or objective. What is it that you need to achieve or solve? Ensure that all key stakeholders (relevant to the issue being explored) buy into this objective or goal.Also, when conducting an Internal Audit, you may find part of your organisation is not performing up to the expectations. One of the tools that can help fixing the situation is a SWOT analysis. This breaks the problem down into specific strengths, Weaknesses, Opportunities and Threats and can isolate ways to inform strategic planning to rectify the poor Audit results.
INTERNAL AUDIT DEFINITIONInternal Auditing is defined as an independent appraisal activity within the organisation for the review of operations as a service to management. It is a management control that functions by measuring and evaluating the effectiveness of other controls.Whereas Internal Control is designed as the whole system of controls, financial and otherwise, established by the management of an organisation in order to carry out the business of the enterprise in an orderly and efficient manner, to ensure adherence to managerial policies and directives, to safeguard the assets and secure, as far as possible the accuracy and completeness of records, the prevention and detection of errors and fraud and the timely preparation of financial information.
SWOT ANALYSIS FRAMEWORKEnvironmental ScanInternal Analysis External Analysis-Strengths -Opportunities-Weaknesses -Threats
SWOT definitionsStrengths: These are internal factors that are likely to have a positive effect on (or be an enabler to) achieving the institution’s objectivesWeaknesses:Internal factors that are likely to have a negative effect on (or be a barrier to) achieving the objectivesOpportunities:External Factors that are likely to have apositive effect on achieving or exceeding the institution’s objectives, or goals not previously consideredThreats:External Factors and conditions that are likely to have a negative effect on achieving the objectives, or making the objective redundant or un-achievable.
INTERNAL AUDIT SWOT ANALYSISStrengths of Internal Audit are:-Qualified and recognised membersof professional bodies of ICAN and ANAN.- Decentralization of the office work for effectives and timelines.- Support from the Chief Executive or Management.- Staff adaptable to change; positive attitude.
Weaknesses of Internal Audit are:- Staff attitude to work.- No good computer system to work with.- Lack of training to improve staff skills, knowledge and capabilities.- Ordering of goods not needed.Opportunities of Internal Audit are:- Establishment of procurement directorate.- Educate stakeholders on internal audit’s role and capabilities.- Training of staff.- Greater involvement in University’s strategic decisions
The Threats are:- Improper description of materials or items to be vetted.- Wrong perception of audit work.- Non adherence to policies initiatives e.g. Budget and other control.- Refusal to take audit advice e.g. on consumables.-Strikeaction.- Lateness in retiring cash advances.
HOW TO CREATE WEALTH- Reasonable cutting of cost and expense without attaching an emotion.- Fee Drive to include Audit Directorate.- Reduction of unnecessary overhead cost.- Making use of data/bundles provided by the ICT unit and compelling all staffs to be ICT compliant in other to use e- mail for sending memos to reduce cost in support of management in going paperless.- Stable academic calendar.- Centralisation of project binding for final year student.- Collaboration with ENACTUS student to commercialised their products.- Empowerment of skill acquisition programme to train outsider at low cost.- Planting of Tick and other economic value trees because of the aesthetic value, wind breaker, prevention of erosion as well as income generation.
CONCLUSIONIn conclusion, Directorate of Internal Audit is available to every member of the University.We are commissioned to do our duties in fairness and in align with University policies, principles and precepts.Internal Auditors are your friends, be friendly with them to move the University forward.