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Internal Auditor Job Description

Sujata Iyer
The job description of an internal auditor involves a lot of little things in order to have an impressive and accurate final result. In this story, we'll highlight the major duties and responsibilities expected of him.
Every organization is audited by an external auditor appointed by the government to determine whether they are following the laws laid down by the government. In addition to that, they also verify that the organization's financial statements are in order and that there are no possibilities of fraud.
However, apart from external auditors many organizations also employ internal auditors to ensure that the daily proceedings of the organization are in order and that there are no financial misdemeanors within the organization. This story will deal with what the job entails.

Supervision of Accounts

The main job of an internal auditor is to intricately go through all the financial statements, and statements of accounts from each and every department within the organization.
He is required to check, recheck and supervise every piece of financial documentation that is published within the company, and match these with all the bills and receipts that have been maintained by the respective departments.
Once he gets all the documentation, it is his responsibility to identify and question any discrepancies, no matter how tiny they may be. All the money within the organization should be accounted for, and it is his job to make sure that it is.

Monitoring of Systems

After that primary responsibility, the next duty that he must fulfill is that of a gatekeeper, a monitor of sorts, to ensure that the company's financial system works smoothly and that there are no hiccups in its functioning.
He must have a sound knowledge of all the laws, rules, regulations, and norms that have been laid down for the organization, within and by the government. Further, he must verify that the organization is indeed adhering to these regulations that have been laid down. If not, he must investigate and find the reason.
Another duty is to monitor the performance of the organization's financial system in terms of productivity. He observes and assesses the system and makes amendments to the system if required. By doing this, he protects the company's assets and also helps in risk management.

Review for Fraud or Mismanagement

An internal auditor is employed within the organization. However, he still has exceptional independence when it comes to executing his duties. He needs to be vigilant and alert during the examination of the finances of the organization.
He has to keep an eye out for missing amounts of money, unrecorded finances, missing bills and receipts, double entries, and the like, to be able to identify the signs of financial fraud or financial mismanagement at any level within the organization.

Form and Communicate the Audit Report

Once the internal auditor performs the above mentioned and his other duties according to the job profile that he is employed for, he gets set to prepare the internal audit report. Using all the evidence, the documentation, their copies, and his observing skills, he files an extensive and detailed report. This report is called the internal audit report.
It contains the details of his audit, which departments function according to the regulations set down, which departments defaulted in following certain rules, and such things. This report is either submitted to his immediate superiors, the management, or directly to the board of directors, or as is the standard procedure in the organization.
As you can see, the job of an internal auditor may seem like a very glamorous and inspiring one, but it also involves a lot of legwork, a lot of patience, a sense of self-confidence, immense integrity, a keen eye for details and of course, the necessary educational qualifications as well.
So, if you think you have it in you to do all of this, in a totally unbiased manner, then maybe an internal auditor is what you should become. Good luck!