The Institute of Internal Auditors Springfield Chapter · IIA Springfield - Sapphire Chapter March...
Transcript of The Institute of Internal Auditors Springfield Chapter · IIA Springfield - Sapphire Chapter March...
Springfield Audit TrailsIIA Springfield - Sapphire Chapter March 2019
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Inside ThisMonth’s
Newsletter...
March Training Page 2
Job Openings Page 2
Errors in inmate releases triggers internal audit Page 3
Chapter Officer nominations Page 4
Barriers to Internal Audit & Risk Management Page 5
The powerful and (maybe) growing hot thing in IT is block chain. Blockchain has the potential to change the way we do business, not only can blockchain be used for cryptocurrency but any information that organizations wish to keep protected though distributed ledger. For example, healthcare information, digital IDs, digital voting, copyright protection, and real estate transactions are just some of the areas that could utilize blockchain. However, blockchain also brings risks that need to be evaluated by corporate boards and government entities as they consider using blockchain to protect data. IIA’s Tone at the Top February issue discusses what corporate boards and man-agers need to consider when evaluation risks brought on by blockchain. (IIA members can download the article by following the link https://na.theiia.org/news/Pages/New-Tone-at-the-Top-Discusses-Blockchain-Technology-and-its-Enor-mous-Potential-to-Transform-How-Businesses-Operate.aspx.) MIT Technology Re-view’s article Once hailed as unhackable, blockchains are now getting hacked (https://www.technologyreview.com/s/612974/once-hailed-as-unhackable-block-chains-are-now-getting-hacked/) explains some the weaknesses plaguing block-chain. According to the article “In total, hackers have stolen nearly $2 billion worth of cryptocurrency since the beginning of 2017, mostly from exchanges, and that’s just what has been revealed publicly.” Also, Forbes’ article by Enrique Dans Blockchain: Back To The Drawing Board? (https://www.forbes.com/sites/enriquedans/2019/02/22/blockchain-back-to-the-drawing-board)goes on further, and basically questions whether or not blockchain can stand the test of time. The article quotes Bruce Schneier, “The idea of trust in a blockchain was not as crystal clear as some argued, while the consensus algorithm was definitely the most ex-pensive and inefficient ever seen.” I am not quite sure I am ready to trust my personal information to blockchain quite yet. Developments in blockchain are something I will be observing from a distance for a while until some better assurances can be found for data protection using blockchain. Spring is just around the corner! I hope to see you all at the training sessions the Chapter has this spring.
from the
PRESIDENTSatu Allen, MS, CISA
The Institute ofInternal AuditorsSpringfield Chapter
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March Training Nikki Lanier, CPA Chapter Members - We are excited to announce the next topic for training: Audit 2020: Rethinking the Internal Au-dit Process/Cycle. One of our favorite presenters, Danny Goldberg, will conduct this full day training with 7 CPE hours awarded. The internal audit profes-sion is very similar to other professions; very resistant to change. When one of our profession’s main goals is to promote efficiency and effectiveness, we have to be more adept at adjusting and being open-minded to change.
Audit2020 is a day-long course that takes an in-depth look at the accepted practices inherent in internal audit and
critically analyzes each piece, identify-ing ways to enhance the current view and process of internal auditing. The topics will include: annual risk
assessment, foundational pieces of suc-cessful internal audit shops, and man-aging the audit cycle.
Danny M. Goldberg is a well-known speaker on inter-nal auditing and People-Cen-tric Skills with over 20 years of professional experience, including five years leading/building internal audit func-tions. Danny was named as one of the Fort Worth Business Press 40 Under 40 for 2014.
We hope to see you there! Register for the training at https://www.eisev-erywhere.com/ereg/index.php?even-tid=408467&.
Horace Mann is currently seeking a Senior IT Auditor I.
For more information, please visit https://recruiting.adp.com/srccar/public/rti.home?d=exter-
nalcareersite&c=1138841#/.
Crowe, LLP is currently seeking a Government Risk
Senior Accountant. For more information, please visit https://jobs.crowe.com/
ShowJob/Id/1958029/Govern-ment-Risk-Senior-Accountant/.
Crowe, LLP is currently seeking a Government Risk Accountant.
For more information, please visit https://jobs.crowe.com/
ShowJob/Id/1790620/Govern-ment-Risk-Accountant/.
INTERNAL AUDITOR
what MY COLLEAGUES FROM OTHER DEPARTMENTS think I do
what I think I do
what I really do
what MY MOM thinks I do
what MY FRIENDS think I do
what MY BOSSthinks I do
“People who appear to be resisting change may simply be the victim of bad habits.
Habit, like gravity, never takes a day off.”
- Paul Gibbons
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Internal audit spurs changes at Bexar County Jail after mistakes releasing, transferring inmatesThis article was originally printed in the San Antonio Express-News on February 18, 2019. It has been reprinted with per-mission. See the original story at https://www.expressnews.com/news/local/arti-cle/Internal-audit-spurs-changes-at-Bexar-County-Jail-13625845.php.
By Fares Ssabawi
An internal audit of operations at the Bexar County Jail’s Justice Intake and Assessment Annex and Transport Hub re-vealed 18 areas requiring improvement in the wake of four botched inmate releases and transfers in January. The audit has led to significant changes in how jail releases are handled, Sheriff Javier Salazar said Monday. Among the key improvements is a new requirement that inmate release docu-ments must be reviewed by two supervi-sory staff members and limiting inmates to exiting through one door, rather than two, Salazar said. Chief of Staff James Serato requested the report after jailers made at least four mistakes in January, including erroneous-ly releasing inmates and sending a drug offender to prison although he was or-dered to go to rehab. The department’s Internal Audit Unit submitted its findings on Feb. 11 and the report was released to the media on Monday. While some areas for improvement will require new policies in other cases audit investigators found that existing policies simply needed to be better enforced. For example, jailers would allow inmates to be released in large groups, though the jail manual states that a maximum of five inmates should be escorted at once. The audit also revealed the need for more training. Some employees don’t have the certification required for book-ing and releasing responsibilities, leading to inefficiencies when it comes to taking fingerprints and looking up inmates. To remedy this, Salazar wants to ramp up training and make sure all personnel
have certifications from the Texas Crime Information Center and the National Crime Information Center. “We’re looking at ways to increase training to where everyone knows how to do every job,” Salazar said. The jail’s staffing model is outdated, the audit found, and the office is in the process of reviewing it. While staffing lev-els are always a concern, Salazar said it’s important that the right people are doing those jobs. “When it comes to booking or classifi-cation, those are highly technical,” Sala-zar said. “You can’t just take a new depu-ty out the academy. They have to have a talent for that sort of thing and they have to be specially trained.” The audit notes many of the issues cited are in the process of being corrected and gave a timeline of less than 30 days or 30-60 days for most. Some problems have already been corrected, the audit says. The jail’s issues were exposed in Janu-ary, after numerous mistakes occurred. On Jan. 3, jail officials mistakenly re-leased Andrew Taylor Ford, who was in custody on suspicion of failure to stop and give information. The charge was dismissed, but jailers overlooked an or-der to keep Ford in jail on an unrelated charge out of San Patricio County. On Jan. 15, jail officials let Ricardo Mu-jica, who was convicted of a domestic violence charge, go free despite an immi-
gration detainer. Because his state charge had already been handled, the sheriff’s office said deputies had no authority to bring him back into custody. On Jan. 17, jailers were supposed to send Johnny Villalobos to a rehabilita-tion facility for a drug offense, but they instead sent him to prison where he was placed in general population. It took three weeks for the sheriff’s office to sub-mit the proper paperwork to transfer Vil-lalobos to rehab. On Jan. 26, jail officials released Terr-ik McCoy, who had been arrested on a charge of evading arrest, without an elec-tronic monitor, which was a condition of his release. Salazar personally tracked Mc-Coy down and brought him into custody the next day. After the blunders, Salazar suspend-ed Deputy Chief Ruben Vela, who had been in charge of the jail, and ordered the internal audit. He tapped Capt. Avery Walker to run the jail. With the audit complete, Salazar said Vela is welcome to come back as a dep-uty chief after he heals from an off-du-ty injury, but that Walker will continue overseeing the jail. “Quite frankly I’m really satisfied with (Walker),” Salazar said. “He’s really im-pressed me to no end.” Salazar said jail op-erations will continue to improve after the audit and he plans to keep follow through on the changes that need to be made.
Nearly 20 areas of requiring improvements were noted during a recent internal au-dit of operations of Bexar County Jail in San Antonio, following four mistaken in-mate releases and transfers.
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Springfield Chapter of the Institute of Internal Auditors2018-2019 Program Schedule
You May Pay With a Credit Card
Date
March 28, 2019
April 30, 2019May 23, 2019
Speaker
DannyGoldbergCeciliana
PhilBertram
Program
Audit 2020: Rethinking the Internal Audit ProcessAgile Auditing or TBDOperational Auditing
Hours
8:30 - 4:15
8:30 - 4:1512:30 - 4:15
CPE
7
74
Members
$105
$105$70
Non-Members
$130
$130$85
Cancellations should be made at least 24 hours before the meeting to avoid a charge.Meetings will be held at the Northfield Center on Thursdays unless noted differently.
Audit Trails now has its own e-mail address! For any newsletter suggestions, job postings, or other items of
interest, please use [email protected].
Chapter Mailing addressSpringfield Chapter
Institute of Internal Auditors
P.O. Box 205
Springfield, IL62705-0205
CHAPTER NOMINATION DEADLINE NEARSThere is still time to nominate yourself or someone else to be involved with the Springfield IIA Chapter for the up-coming year. If you are interested yourself in becoming a Chapter Official or Board Member or want to nominate someone else, the process will be open until March 8, 2019. Visit https://chapters.theiia.org/springfield/Pages/Spring-field-IIA-Nominations.aspx to find Nomination Forms for either yourself or someone else. This year’s officers, pic-tured above, from left, are Second Vice President Alex Deal, President Satu Allen, First Vice President Nikki Lanier, Secretary Sally Burton, and Treasurers Tad Huskey and Amy DeWeese.
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Chapter Officials • 2018-2019OFFICERS
PRESIDENT
AdministrationAudit
Nominating
FIRST VICEPRESIDENTPrograms & SeminarsSeminar RegistrationSECOND VICE PRESIDENTAcademic RelationsMembershipCertifications Program
SECRETARY
Directory, Distribution, & PRNewsletterPhotographerWebmaster
TREASURERS
HistorianGOVERNORS201920192019202020202020202120212021
PAST PRESIDENTS
The Board of Governors consists of all Officers, Governors, and the Past President.
Vacant
2017-20182016-2017
Satu Allen, MS, CISA
Jay Wagner, CIA, CFE, CISASharon Bohac, CPASatu Allen, MS, CISANikki Lanier, CPACatherine Madonia
Nikki Lanier, CPANikki Lanier, CPASally Burton
Alex Deal, CGAPCarol Jessup, PhD, CPA, CFEMargie WeiffenbachAlex Deal, CGAP
Sally Burton
Sally BurtonLisa KaighCary Franks, MS, CISASatu Allen, MS, CISA
Amy DeWeese, CPA
Tad Huskey, CPA, CGFM, CGAP
Robert Konzelmann
Satu.Allen2@illinois.gov558-6873524-4094524-1415558-6873785-6515782-4724Nikki.Lanier@illinois.gov785-6515785-6515558-2910ADeal@illinoistreasurer.gov557-5419206-7923782-2237557-5419SBurton@isbe.net558-2910558-2910557-3936741-4410558-6873Amy.DeWeese@[email protected]
Stephen D. Kirk, CIA, CGAPLesslie D. Morgan, CIA, CPA, CGFM, CISABarbara Ringler, CPARusti Cummings, CPAM. Ameen Dada, CGFMTracy Allen, CPA, CISABill Sampias, CISA, CFSADenise Behl, CIAAmy Lyons
557-1258524-1503785-6515557-5682785-0165782-8691785-5563558-2701558-4347
Leighann Manning, CGAPH. Jay Wagner, CIA, CFE, CISA
558-0010524-4094
TOP FIVE PERCEIVED BARRIERS
TO INTERNAL AUDIT INVOLVED
IN RISK MANAGEMENT
Source: The IIA Research Foundation
34%
32%
29%
29%
28%
Perception that this is beyond the scope of internal auditing
Lack ofmanagementsupport
Lack of coordination or clarity of roles with other risk and control units
Lack of knowledge within internal audit of risk management practices and techniques
Need for training for internal audit staff