It is no secret that the days of siloed Internal Audit processes do not lead to success in this day of fast-moving risks, demands for real time awareness, and collaboration. Rather than auditors working through opaque processes—lost in spreadsheets, internal checklists, and fractured auditing protocols across business functions—we are seeing cloud-based Internal Audit process automation tools enable unified frameworks and day-to-day processes. These tools allow Internal Audit teams to achieve more effective engagements, including risk assessments, document requests, process mapping, financial audits, operational audits, and internal control reviews.

Integrated auditing represents a symbiotic relationship between information technology, financial controls, and operational controls in establishing an effective and efficient internal control environment. Public companies are already required to conduct integrated audits by mandating that auditors express an opinion on internal controls alongside financial reporting audits. While this legal requirement exists, the process for holistic integration is often left undefined for organizations to design independently. Management is responsible for establishing this approach, with Internal Audit playing a valuable advisory role. The ideal state involves an organized framework for establishing, maintaining, and reporting on internal control structures and protocols required for effective audit assessments.

Not all controls reside within financial and operational processes. Issues identified in information technology can negate the effectiveness of financial and operational controls, and vice versa. As a result, an integrated audit evaluates the interplay between financial, operational, and technology processes to ensure control objectives are consistently achieved.

The following areas deserve consideration when designing an effective integrated audit framework:

• Process Mapping Accuracy

  How effective and accurate are documented process maps, and does Internal Audit facilitate management ownership of maintaining them?

• Risk and Control Alignment

  Are business and information processing risks and controls clearly understood and agreed upon by stakeholders, IT teams, and audit functions?

• System Interfaces and Data Flows

  Are manual and automated feeds, system interfaces, and communications accurate, timely, and secure?

• Transaction Integrity

  Are manual and automated transactions properly approved, timely, and accurately processed?

• Information Security and Confidentiality

  Is information protected, and do confidentiality controls align with current regulatory requirements?

• Disaster Recovery and Business Continuity

  Do DR and BC plans provide reasonable assurance that systems and business operations can recover and continue during disruptions?

• Change Management Controls

  Are program changes tested, approved, and migrated to production according to business process owner requirements?

Moving an organization toward an integrated auditing framework is a critical step in organizational maturity. A modern integrated audit goes beyond meeting legal requirements and establishes a foundation for how the compliance landscape will evolve alongside technology, allowing organizations to anticipate and prepare for future regulatory expectations.

While Sarbanes-Oxley currently applies to public companies, regulatory requirements for private organizations are likely to follow as more businesses mature and choose to remain private. As technology regulation continues to evolve, organizations must determine how internal controls over information technology will be managed and whether they are prepared to respond proactively rather than reactively to inevitable change.