Whilst internal audit is often thought of as a behind-the-scenes job, it is crucial to an organisation's success and strength. Established by the Institute of Internal Auditors (IIA), the Internal Audit Awareness Month of May is an annual event to promote the profession and emphasise the value internal audit can add to all organisations.
Internal audit exists to provide an independent and objective view that is aimed at improving the council's operations. It looks at how risks are managed, how governance works, and if control processes are efficient. Unlike external audit, which mainly checks financial reports, internal audit also checks operational efficiency, compliance, and strategic risk management.
The purpose of internal audit
The main goal of internal audit is to assess and improve how the council handles risk, control, and governance. It helps spot weaknesses and inefficiencies and suggests improvements before they become big problems. Internal auditors are trusted advisors who make sure the council follows ethical practices, regulations, and operates transparently.
How internal audit adds value
Internal audit is not just about following rules, it helps drive performance and informed decision-making. Here's how the internal audit team help the council succeed:
- risk identification and mitigation – help find and manage risks before they become serious
- operational efficiency – improve processes, reduce waste, and use resources better
- regulatory compliance – confirms the council follows laws, industry standards, and policies, reducing legal risks
- fraud prevention and detection – spot potential fraud and strengthen controls to prevent financial misconduct
What it's like to work in internal audit
A typical day in the life of a Principal Auditor – Melanie Taylor
"Every day is different. As a Principal Internal Auditor, I manage multiple audits simultaneously, with assignments varying based on the Audit Plan or other risk priorities. Each audit is a separate project with its own scope, priorities and unique requirements. On a typical day, I discuss progress and resolve issues with fellow auditors and engage with directors, colleagues and external partners to agree on the scope and findings of audit activities. Between meetings, I develop audit programmes, perform audit tests, complete file reviews, provide support for junior staff and complete relevant training.
"What I like most about my job is working with a wide range of individuals including members, directors, departmental colleagues, school business officers and the police. Working in audit gives you the opportunity to be involved in the wide range of services the council delivers, work with friendly and extremely knowledgeable professionals and help support improvements in service delivery, financial control and business processes."
Some of the unusual things internal audit colleagues are involved in
Visiting third party sites including schools, offices, playgrounds, old nuclear bunkers and a local farm.
Investigating instances of suspected fraud including theft, bribery and the misuse of council assets.
Providing assurance on how grant monies have been spent in relation to school holiday activities, carbon management, provision of new buses and crime reduction initiatives.
Why internal audit is important
Internal audit acts as a critical friend and as such provides assurance to the council that systems and processes are operating as intended and to residents that funds are being spent appropriately. Through their work, the team try to add value where they can, sharing knowledge between teams and councils as to how tasks can be completed more efficiently, and target outcomes maximised.
Find out more
If you have any queries on this article or would like to get in touch with how internal audit might be able to assist your area, email internal.audit@derbyshire.gov.uk
You can also read: