SWAP Internal Audit Services Why Annual Planning is

SWAP Internal Audit Services: Why Annual Planning is Old Hat Helping Organisations to Succeed January 2020 Unrestricted

Annual Planning “It’s in the plan, I put it in there 14 months ago, it’s a high risk area!” Ho. IA, “We have completed 95% of the annual audit plan, haven’t we done well. Audit Committee Chair (ACC), “Yes that a great performance!” ACC, “Why did you drop that audit? ”, Ho. IA, well the service didn’t really feel that it was the right time to do it!” Unrestricted

What is the purpose of an Annual Internal Audit Plan? Is it to……. 1. Conforms to guidance that (some) tells them they should have it. 2. Give’s comfort to management and the Audit Committee that we have a plan of work? 3. Justify to the Audit Committee that our team is fully occupied? 4. Ensure that the Audit Committee can hold onto that KPI that says % of plan delivered? 5. Enable the Ho. IA to organise his team and not have to bother too much about changing the plan? 6. It’s too difficult and time consuming to create a quarterly plan? Unrestricted

The Annual Plan is OBSOLETE Unrestricted John Chesshire, chief assurance officer for the States of Guernsey, an island that is part of Britain and located in the English Channel, says the annual audit plan is becoming obsolete. "I dispensed with this formulaic approach a number of years ago and, like a growing number of CAEs, I now plan my team's mix of assurance, advisory, and other engagements on a much less rigid basis, " Chesshire explains. He used to invest a great deal of time in annual planning, though often within weeks the plan would shift because of new priorities such as a local crisis or other sudden changes. Eventually he saw the relevance of an annual plan diminish and fade.

SWAP’s Approach – Quarterly Planning The Audit Committee receive quarterly notification of the plan as it develops, so technically they approve it, but they are quite relaxed about us developing it. Unrestricted

SWAP’s Approach Areas of Coverage and Brief Scope School Transport Assurance over the setting, monitoring and projection of the SEN and mainstream school transport budgets Protection of Property/Assets Provide advisory support with the handling of valuables & money resulting from Protection of Property cases Infection Control Funding Assurance Provide assurance over the allocation & oversight of Infection Control Funding to Care Providers Test and Trace Funding Assurance over the use of the £ 1. 3 M to fund test and trace capabilities within Dorset Coroners A review of the shared arrangements between DC and BCP Harbours Provide advisory support on the Harbour Service convergence and transformation project Waste Operator’s Licence To undertake a compliance/health check audit to ensure the risk of licence revocation is minimised Grant Certifications Certifying grant claims, to include Troubled Families, LEP Gateway Growth Hub Data Analytics Use of data analytics to provide assurance over duplicate payments and the use of one-time vendor payments Assurance work over the Authority’s COVID-19 recovery plan; specifically gains made and lessons learnt Further requested assurance/ advisory/ support work, as required Reactive investigations & independent complaint support work, as required Unrestricted Senior Leadership Team Lead Priority (H, M, L) and Proposed Timing (Earlier, Later) Higher/ Earlier Higher/ Later Medium/ Earlier Medium/ Ongoing Higher/ Later Higher/ Ongoing Medium/ Ongoing

69% 17% 15% 71% 76% 81% 56% 45% 15% 73% 91% 20% 43% Unrestricted 76% 71% 40% 87%

Aud it D Aud it C Aud it B Aud it A Opinion Reasonable 75% 3 (2) 76% 7 (5) 68% Partial 12 (5) Substantial 20% 43% 56% 91% 54% No Assurance Unrestricted 15% 71% 40% 76% 87%

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