Glossary term
Global Internal Audit Standards
Subject: Governance, Internal Control and Audit
Also known as: IIA Standards, GIAS
The Global Internal Audit Standards are the professional standards issued by the Institute of Internal Auditors that set out what internal auditors must do, and the principles behind good internal audit practice.
Explanation
The Institute of Internal Auditors issued them in 2024 to replace its earlier International Professional Practices Framework (IPPF), including the International Standards for the Professional Practice of Internal Auditing. They are organised into domains covering the purpose of internal auditing, ethics and professionalism, governing the function, managing the function and performing the work. Each contains principles and mandatory requirements, along with considerations for implementation and examples of evidence. They cover matters such as independence, objectivity, quality assurance, planning, reporting and the relationship between the chief audit executive and the board. Many regulators, public bodies and listed companies refer to them, and external quality reviews of an audit team measure it against them. Audit teams that follow them can say so in their charter and reports. Quality reviewers, regulators and audit committees use them as the yardstick when judging an internal audit team.
Example
A state-owned utility asks an outside firm to review its internal audit function. The reviewers compare the charter, the audit plan, working papers and reporting to the standards. They conclude that the team is generally aligned but that the chief audit executive does not meet the audit committee privately, and recommend changing that.
Not to be confused with
- International Standards on Auditing (ISA)
- ISA govern external audits of financial statements. The Global Internal Audit Standards govern the internal audit function within an organisation.