PSCINTOSAI Professional Standards Committee

Raising awareness of the ISSAIs and INTOSAI GOVs

Presentation by (name and title)(venue and date)

1

The Professional Standards Committee (PSC) structure and tasks

PSCINTOSAI Professional Standards Committee

Content

2

1

2

4

3

INTOSAI INTOSAI INTOSAI INTOSAI

ISSAI framework

Implementation

PSCINTOSAI Professional Standards Committee

3

PSCINTOSAI Professional Standards Committee

INTOSAI - -Regional Working Groups

OLACEFS Organization of Latin American and Caribbean Supreme Audit Institutions (1965) AFROSAI African Organization of Supreme Audit Institutions (1976) ARABOSAI Arab Organization of Supreme Audit Institutions (1976) ASOSAI Asian Organization of Supreme Audit Institutions (1978) PASAI Pacific Association of Supreme Audit Institutions (1987) CAROSAI Caribbean Organization of Supreme Audit Institutions (1988) EUROSAI European Organization of Supreme Audit Institutions (1990)

4

PSCINTOSAI Professional Standards Committee

INTOSAI Strategic Plan

2005-2010 • The establishment of the ISSAI framework and the adoption

of International Standards of Supreme Audit Institutions (ISSAI) and INTOSAI Guidance for Good Governance (INTOSAI GOV)

2011-2016 • The implementation of the ISSAI framework is a demanding

task that will require attention on global, regional and country level.

5

PSCINTOSAI Professional Standards Committee

The South Africa DeclarationXX INCOSAI resolves to call upon its members and other interested parties to: • Use the ISSAI framework as a common frame of reference for public

sector auditing;• Measure their own performance and auditing guidance against the ISSAIs;• Implement the ISSAIs in accordance with their mandate and national

legislation and regulations;• Raise the awareness of the ISSAIs and INTOSAI GOVs globally, regionally

and at the national level; • Share experience, good practice and challenges in implementing the

ISSAIs and INTOSAI GOVs with those responsible for developing and revising the ISSAIs and INTOSAI GOVs.

6

The Professional Standards Committee (PSC) structure and tasks

PSCINTOSAI Professional Standards Committee

Content

7

1

2

4

3

INTOSAI INTOSAI INTOSAI INTOSAI

ISSAI framework

Implementation

PSCINTOSAI Professional Standards Committee

Professional Standards Committee (PSC)

8

ObjectivesPromote strong, independent and multi-disciplinary SAIs by:

• encouraging SAIs to lead by excample

• contributing to the development and adoption of appropriate and effective professional standards

PartnersThe PSC is working together with other international, recognized standard-setting bodies:

• The International Federation of Accountants (IFAC)• The Institute of Internal Auditors (IIA)

PSCINTOSAI Professional Standards Committee

Professional Standards Committee (PSC) organisation

9

Project on Transparency and

AccountabilityChair: France

Financial Audit

SubcommitteeChair: Sweden

Performance Audit

SubcommitteeChair: Brazil

Compliance Audit

SubcommitteeChair: Norway

Internal Control Standards

SubcommitteeChair: Poland

Accounting and Reporting

SubcommitteeChair: Canada

PSCChair: Denmark

PSC SecretariatChair: Denmark

Harmonisation Project

Awareness-Raising

Task Force

Project on Audit Quality

ControlChair: New Zealand

PSCINTOSAI Professional Standards Committee

Content

10

1

2

4

3

INTOSAI INTOSAI INTOSAI INTOSAI

ISSAI framework

Implementation

The Professional Standards Committee (PSC) structure and tasks

PSCINTOSAI Professional Standards Committee

What is the objective of the ISSAI framework?

11

PSCINTOSAI Professional Standards Committee

Overview of the ISSAI framework (1)

Level 1 - Founding Principles ISSAI 1 The Lima Declaration

12

PSCINTOSAI Professional Standards Committee

Overview of the ISSAI framework (2)

Level 2 - Prerequisites for the Functioning of SAIs ISSAI 10 The Mexico Declaration on SAI IndependenceISSAI 11 Guidelines and Good Practices related to SAI Independence ISSAI 20 Principles of Transparency and AccountabilityISSAI 21 Principles of Transparency and Accountablity –

Good PracticesISSAI 30 Code of EthicsISSAI 40 Quality Control for SAIs

13

PSCINTOSAI Professional Standards Committee

Overview of the ISSAI framework (3)

Level 3 - Fundamental Auditing PrinciplesISSAI 100 Basic Principles

ISSAI 200 General Standards

ISSAI 300 Field Standards

ISSAI 400 Reporting Standards

The Harmonisation Project 2011-2013

14

PSCINTOSAI Professional Standards Committee

Overview of the ISSAI framework (4)

Level 4 - Auditing Guidelines Implementation guidelines: ISSAI 1000–2999 Financial Audit Guidelines (including guidelines based on International Standards on Auditing )

ISSAI 3000-3999 Performance Audit GuidelinesISSAI 4000-4999 Compliance Audit Guidelines

15

PSCINTOSAI Professional Standards Committee

Overview of the ISSAI framework (4)

Level 4 - Auditing Guidelines Specific guidelines: ISSAI 5000-5099 International InstitutionsISSAI 5100-5199 Environmental AuditISSAI 5200-5299 PrivatisationISSAI 5300-5399 IT-auditISSAI 5400-5499 Audit of Public Debt ISSAI 5500-5599 Audit of Disaster-related AidISSAI 5600-5699 Peer Review Guidelines

16

PSCINTOSAI Professional Standards Committee

Overview of the ISSAI framework (6)

INTOSAI GOV - Guidance for Good GovernanceINTOSAI GOV 9100-9199 Internal Control StandardsINTOSAI GOV 9200-9299 Accounting and Reporting Standards

17

PSCINTOSAI Professional Standards Committee

ISSAIs add value to the work of SAIs

Adherence to the ISSAIs

• promotes transparency in the public sector and adds Credibility to our work as auditors;

• improves the effectiveness and efficiency of the work of SAIs and provide the basis for high Quality audits;

• increases the perceived level of Professionalism of SAIs.

18

The Professional Standards Committee (PSC) structure and tasks

PSCINTOSAI Professional Standards Committee

Content

19

1

2

4

3

INTOSAI INTOSAI INTOSAI INTOSAI

ISSAI framework

Implementation

PSCINTOSAI Professional Standards Committee

Adoption and Implementation

• Responsibility of all INTOSAI members to help establish the ISSAI framework as a common frame of reference for public sector auditing

• Two important aspects to address:– adoption– implementation

20

PSCINTOSAI Professional Standards Committee

AdoptionAspects to be considered by top management:• mandate and requirements in a national context;• what implications will an implemenation have on the specific

SAI;• current audit environment;• the need for carrying out Gap Analyses and Risk Assesment;• peer review;• necessary steps before final decision on implementation;• resources needed – in-house/external.

21

PSCINTOSAI Professional Standards Committee

Implementation

Consider the SAI’s ISSAI implementation options:– as authoritative standards;– as guidance;– to support other standards;– compliance audit as part of financial audit or as stand-

alone audit.

22

PSCINTOSAI Professional Standards Committee

Implementation

Consider:• in-house implementation;• IDI/Regional implementation;• SAI-to-SAI implementation support;• use of other donors and service providers;• full package vs. gradual implementation;• work out implementation guides;• stakeholders in implementation (in-house and external);• need for specific guidelines on a lower level.

23

PSCINTOSAI Professional Standards Committee

Implementation steps

24

Awareness

Sustaining results

Applying

Learning

Priority needs

PSCINTOSAI Professional Standards Committee

Implementation

25

Long term process

Methodology

Operational

Be realistic

PSCINTOSAI Professional Standards Committee

www.issai.org

•Official website providing access to all ISSAIsand INTOSAI GOVs

•Free E-mail Update Service providing info on latest developments in the ISSAI framework

26

PSCINTOSAI Professional Standards Committee

Questions

27