9/28/2016

1

TALLAHASSEE CHAPTER

Audit Staffing and Supervision, Project Management, and Leading the Audit

Assignment

Internal Audit Leadership Training

October 3-4, 2016

Marie Walker

Director of Auditing Florida Department of Revenue

TALLAHASSEE CHAPTER

Agenda

• Plan, Direct, and Organize the Audit Process

• Time Management

• Audit Staffing and Supervision

• Team Work

• Dealing with Conflict

• Active Listening

TALLAHASSEE CHAPTER

Learn from the mistakes of

others. You can’t live long

enough to make them all

yourself. Eleanor Roosevelt

9/28/2016

2

TALLAHASSEE CHAPTER

Red Book requires: 2000—Managing the Internal Audit Activity

The chief audit executive must effectively manage the internal audit activity to

ensure it adds value to the organization.

• Achieve the purpose and responsibility included in the charter.

• Conform with the Definition of Internal Auditing, the Standards, and the Code

of Ethics.

• Develop a risk-based plan.

• Communicate with senior management.

• Ensure resources are appropriate, sufficient, and effectively deployed.

• Establish policies and procedures.

• Develop and maintain a system to monitor the disposition of results

communicated to management.

Plan, Direct, and Organize the Audit

Process

TALLAHASSEE CHAPTER

Red Book requires:

2050—Coordination

The chief audit executive should share information and coordinate activities with

other internal and external providers of assurance and consulting services to

ensure proper coverage and minimize duplication of efforts.

2340—Engagement Supervision

Engagements must be properly supervised to ensure objectives are achieved,

quality is assured, and staff is developed.

Plan, Direct, and Organize the Audit

Process

TALLAHASSEE CHAPTER

Time Management

"Life and death are of supreme

importance. Time swiftly passes by and

opportunity is lost. Each of us should

strive to awaken. Awaken. Take heed, do

not squander your life." Dogen Zenji (1200-1253)

9/28/2016

3

TALLAHASSEE CHAPTER

7 Effective Time Management Strategies You

Cannot Afford to Ignore by Tony Khoun (agilelifestyle.net)

1. Thinking About Death—focus on the important

2. Recalibrating When You Work—your peak times

3. Maximizing Moments of Awe—happier and less stress

4. Seeking Flow—state of deep enjoyment/total involvement

5. Working on Side Projects—multiple projects

6. Relying on the Crowd—delegate, automate, teamwork, etc.

7. Practicing Mindfulness—pay attention to own consciousness

Time Management—The Big Picture

TALLAHASSEE CHAPTER

• Create lists.

• Complete the most important tasks first.

• Learn to say “no.”

• Get enough sleep.

• Break huge projects into manageable tasks.

• Do less.

• Create organizing systems.

• Eliminate the non-essential.

• Batch related tasks together.

• Be aware of TV/Internet/gaming time.

• Set deadlines for completing a task. http://www.timemanagementhelp.com/strategies.htm

http://www.creativitypost.com/create/work_smarter_not_harder_21_time_management_tips_to_hack_p

roductivity

Time Management-Practical Tips

TALLAHASSEE CHAPTER

Two focus areas:

• People

• Projects

Audit Staffing and Supervision

9/28/2016

4

TALLAHASSEE CHAPTER

The People

• Evaluate their skills, experience, and

institutional knowledge.

• Assign people with the right skill sets to the

engagements.

• Ensure they have appropriate training.

• Ensure they have adequate guidance through

policies and procedures.

• Recognize their achievements!

Audit Staffing and Supervision

TALLAHASSEE CHAPTER

The Project

• Budget realistic hours in plan for engagements

based on historical information and staffing.

• Help auditors set objectives so they are

achievable in hours budgeted.

• Set schedules and monitor progress.

• Meet regularly with auditors.

• Review work papers as you go.

• Use tools that work for you.

Audit Staffing and Supervision

TALLAHASSEE CHAPTER

Project Scheduling Example

9/28/2016

5

TALLAHASSEE CHAPTER

Setting Deadlines Example

TALLAHASSEE CHAPTER

Monitoring: Weekly Status Report Example

TALLAHASSEE CHAPTER

Monitoring Tool Example

9/28/2016

6

TALLAHASSEE CHAPTER

Forming

• Team: Beginning the transition from individual to team member.

• Leader: Establish ground rules and demonstrate concern.

Storming

• Team: The most difficult stage—after the honeymoon. Interpersonal differences emerge and conflict becomes more frequent.

• Leader: Critical that the leader not violate the trust of the team. Leader must anticipate difficulties and prepare to handle inevitable conflicts.

Stages of Team Growth

TALLAHASSEE CHAPTER

Stages of Team Growth

Norming

• Team: Competitive relationships become more cooperative. More team decision-making.

• Leader: Leader must lead by example and avoid arbitrary decision-making.

Performing

• Team: Consistent performance by a cohesive group

• Leader: Leader steps back and allows self-direction. Should avoid over-management.

The Team Handbook, 3rd Edition.

http://www.firerescue1.com/fire-products/education/tips/317973-Leadership-and-the-stages-of-team-development/

TALLAHASSEE CHAPTER

FORMING

• Help members get to know each other.

• Provide

• Clear direction and goals

• Purpose

• Expectations

• Structure/mechanism for communication

• Clarification of roles

• Limitations, such as budget and deadlines

The Team Handbook, 3rd Edition.

Stages of Team Growth--Leader’s Role

9/28/2016

7

TALLAHASSEE CHAPTER

STORMING

• Resolve issues of power and authority.

• Develop agreements about how decisions are made.

• Encourage members to take on more responsibility.

• Use ground rules to guide team behavior.

• Ensure equal opportunity to participate.

The Team Handbook, 3rd Edition.

Stages of Team Growth--Leader’s Role

TALLAHASSEE CHAPTER

NORMING

• Utilize team members’ skills, knowledge, and

experience.

• Encourage and acknowledge members’ respect

for each other.

• Encourage members to work collaboratively.

• Modify ground rules for group behavior, as

needed.

• Help the team build confidence.

The Team Handbook, 3rd Edition.

Stages of Team Growth--Leader’s Role

TALLAHASSEE CHAPTER

PERFORMING

• Update the team’s methods and procedures to

support cooperation.

• Help the team understand how to manage change.

• Advocate for the team with other groups and

individuals.

• Monitor work progress and celebrate

achievements.

The Team Handbook, 3rd Edition.

Stages of Team Growth--Leader’s Role

9/28/2016

8

TALLAHASSEE CHAPTER

Conflict

• Can be beneficial.

• Helps the group avoid “groupthink.”

TALLAHASSEE CHAPTER

Five Conflict-handling Methods from Thomas-Kilman Conflict Mode Instrument

• Competing

An individual pursues his/her own concerns at the other person’s expense.

• Collaborating

An individual attempts to work with the other person to find a solution that fully

satisfies the concerns of both.

• Compromising

The individuals find a mutually acceptable solution that partially satisfies both

parties.

• Avoiding

An individual does not pursue his/her own concerns or those of the other

person.

• Accommodating

An individual neglects his/her own concerns to satisfy the concerns of the other

person.

TALLAHASSEE CHAPTER

“Conflict Intervention”

• Select neutral territory.

• Make sure the setting is informal.

• Set an agenda and ground rules; stick to them.

• Manage the time.

• Use active listening and constructive feedback skills.

• Limit the participants to short, equal exchanges.

• Try to uncover the core issue and move the

participants to resolution.

The Team Handbook, 3rd Edition.

9/28/2016

9

TALLAHASSEE CHAPTER

Other Conflict Resolution

Strategies

• Understand the issue—investigate both

sides

• Acknowledge the frustration and

concerns

• Don’t make snap decisions; but, if

required, act decisively

• Focus on the issue—not the individual

TALLAHASSEE CHAPTER

Active Listening

Five key techniques

1. Pay attention to the speaker

• Look at the speaker directly.

• Put aside distracting thoughts.

• Don't mentally prepare a rebuttal!

• Avoid being distracted by environmental

factors, such as side conversations.

• "Listen" to the speaker's body language.

TALLAHASSEE CHAPTER

Active Listening

2. Show that You are Listening

• Nod occasionally.

• Smile and use other facial expressions.

• Note your posture and make sure it is open and

inviting.

• Encourage the speaker to continue with small

verbal comments like “yes” and “uh huh.”

9/28/2016

10

TALLAHASSEE CHAPTER

Active Listening

3. Provide Feedback

• Reflect what has been said by paraphrasing.

"What I'm hearing is," and "Sounds like you are

saying," are great ways to reflect back.

• Ask questions to clarify certain points. "What do

you mean when you say." "Is this what you

mean?"

• Summarize the speaker's comments periodically.

TALLAHASSEE CHAPTER

Active Listening

4. Defer Judgment • Allow the speaker to finish each point before asking

questions.

• Don't interrupt with counter arguments.

TALLAHASSEE CHAPTER

Active Listening

5. Respond Appropriately • Be candid, open, and honest in your response.

• Assert your opinions respectfully.

• Treat the other person in a way that you think he or she

would want to be treated.

from “Active Listening” tips at www.mindtools.com

9/28/2016

11

TALLAHASSEE CHAPTER

Effective Listening

The first step to Emotional Intelligence

starts with effective listening. 1. Don’t interrupt.

2. Focus. If you are distracted, ask to reschedule

the meeting. Put away the phone.

3. Don’t agree just to make them feel better.

4. Ask good questions.

5. Resist the urge to provide a solution.

http://www.inc.com/justin-bariso/this-is-the-key-to-building-emotional-intelligence.html?cid=em01011week45day02a

TALLAHASSEE CHAPTER

“Leadership and the Stages of Team Development” by Linda F. Willing. http://www.firerescue1.com/fire-products/education/tips/317973-Leadership-and-the-stages-of-

team-development/

The Team Handbook, 3rd Edition by Peter R. Scholtes, Brian L. Joiner, and

Barbara J. Streibel. Oriel Incorporated, 2003.

Managing to Have Fun by Matt Weinstein. Simon & Schuster, 1996.

Sawyer’s Guide for Internal Auditors published by The Institute of Internal

Auditors Research Foundation, 2012.

“7 Effective Time Management Strategies You Cannot Afford to Ignore” by

Tony Khoun. www.agilelifestyle.net

“Time Management Strategies” from http://www.timemanagementhelp.com/strategies.htm

“Work Smarter, Not Harder” by Jordan Bates.

http://www.creativitypost.com/create/work_smarter_not_harder_21_time_management_tips_to_hack_productivity

“Active Listening” tips at www.mindtools.com

Resources

TALLAHASSEE CHAPTER

Resources

• Govloop at www.govloop.com

• The Kevin Eikenberry Group at

www.kevineikenberry.com

• “Inc.Wire” from Inc. at www.inc.com

• Business Advisor at www.business.com

• “This is the Key to Building Emotional

Intelligence” by Justin Bariso at

www.inc.com

9/28/2016

12

TALLAHASSEE CHAPTER

Thank you!

Marie Walker Office: (850) 717-7598 Email: walkem@dor.state.fl.us