6 Skills You Need in Starting an Internal Audit Career

Introduction

This tutorial outlines the essential skills needed to embark on a successful career in internal auditing. Understanding these skills will enhance your ability to perform audits effectively, as well as help you stand out in the competitive finance and accounting industry.

Step 1: Develop Analytical Skills

• Understand Data: Internal auditors often analyze complex data sets. Familiarize yourself with data analysis techniques and tools.
• Critical Thinking: Cultivate the ability to assess situations and solve problems logically. Practice breaking down issues into manageable parts.
• Practical Tip: Engage in exercises that require you to interpret data and make decisions based on your analysis.

Step 2: Enhance Communication Skills

• Written Communication: Develop clear and concise writing skills for reporting audit findings.
• Oral Communication: Practice presenting information effectively to various stakeholders.
• Practical Tip: Join public speaking groups or writing workshops to refine these skills.

Step 3: Acquire Knowledge of Internal Controls

• Understand Frameworks: Familiarize yourself with commonly used frameworks such as COSO or COBIT.
• Evaluate Controls: Learn how to assess the effectiveness of internal controls within an organization.
• Practical Tip: Review case studies that illustrate how internal controls are implemented and tested.

Step 4: Gain Technical Proficiency

• Use of Technology: Learn to utilize audit software and data analytics tools. Familiarity with Excel and other data management tools is crucial.
• Stay Updated: Keep abreast of new technologies impacting the auditing profession, such as automation and artificial intelligence.
• Practical Tip: Sign up for online courses that focus on auditing software and data analysis techniques.

Step 5: Understand Regulatory Standards

• Familiarize with Standards: Know the regulations and standards that govern auditing practices, such as GAAP or IFRS.
• Ethics and Compliance: Understand the ethical standards and compliance requirements in auditing.
• Practical Tip: Regularly read industry publications to stay informed about changes in regulations.

Step 6: Develop Interpersonal Skills

• Teamwork: Work collaboratively with others, including auditors and client staff.
• Relationship Building: Build rapport with stakeholders to facilitate better communication and cooperation during audits.
• Practical Tip: Participate in team projects or volunteer in group settings to enhance your interpersonal skills.

Conclusion

Mastering these six skills—analytical skills, communication skills, knowledge of internal controls, technical proficiency, understanding of regulatory standards, and interpersonal skills—will significantly contribute to your success as an internal auditor. Focus on developing these abilities through practical experience and continuous learning, and you will be well-prepared to excel in your auditing career. Consider seeking further resources or mentorship opportunities to enhance your understanding and capabilities in these areas.