Internal Audit (IA) is dedicated to improving Loyola Marymount University's operations by evaluating internal controls and providing independent and objective assurance and consulting services designed to add value. Internal Audit also assists University management and the Board of Trustees in the evaluation of risk management and governance processes. IA supports the University community in maintaining the highest standards of business conduct, in using resources effectively and efficiently and in complying with established policies and procedures.
Internal Audit serves as an independent and objective internal resource to examine and evaluate the University's activities as an assurance service to the Board of Trustees and management.
To maintain independence and objectivity, Internal Audit has no direct operating responsibility for or authority over management processes, activities or operations that are reviewed.
Reporting Relationship & Authority
Internal Audit reports to the Audit and Risk Committee of the Board of Trustees and to the President. IA is authorized by the Board of Trustees and senior management to conduct audits in accordance with the Annual Audit Plan approved by the Trustee Audit and Risk Committee and to engage in other independent reviews and consulting activities as required in support of its mission.
Internal Audit has full and unrestricted access to all University activities, documents, records, systems, facilities and personnel as necessary to fulfill its objectives. Information obtained will be maintained with appropriate confidentiality.
Professional Standards & Ethics
Internal Audit is guided by The International Standards for the Professional Practice of Internal Auditing and related practice advisories as set forth by the Institute of Internal Auditors (IIA), the Association of College and University Auditors (ACUA), and the Association of Certified Fraud Examiners (ACFE).
Members of Internal Audit are expected to maintain high standards of conduct, independence, confidentiality and objectivity in performing their duties.
Scope of Services
Internal Audit conducts audit and consulting engagements with the objective of encouraging LMU management to anticipate and manage business risks, comply with external regulations and University policies and procedures, protect assets and develop strong internal controls and administrative procedures that will help ensure the effectiveness and efficiency of operations and the reliability of financial information. Internal Audit also provides other services related to fraud investigations and management consulting requests.
Internal Audit personnel conduct financial, compliance, operational and information technology audits. While it is convenient to consider our reviews in accordance with these categories, we often combine elements of each in individual projects. While most of our work is scheduled according to an annual risk-based plan, IA is available as an in-house consultant on internal control matters and to provide guidance on control aspects of new systems and procedures. On occasion, IA may engage a third-party to conduct reviews requiring specialized knowledge not available in the department.
Internal Audit is responsible for appropriate follow-up on audit findings and recommendations. Results of that follow-up will be reported to management and to the Audit and Risk Committee.
Relationship with LMU's External Audit Firm
Internal Audit and LMU's external audit firm provide complementary services to the institution. Coordination of activities ensures comprehensive coverage of the University's audit universe. The Director of Internal Audit and the external audit firm discuss institutional risks and results of audit activities.
September 2007; Revised: September 2009; Revised: September 2014 for Committee Name Change; Acknowledgement: Audit and Management Advisory Services at Tufts University