Question

Discuss how key performance indicators (KPI) metrics can be built into an internal audit.

Answer 1

Key performance indicators(KPI) metrics used for performance evaluation. It measures whether the organization function properly or not to achieve its target goal. It is assocaited with organizational staretegy. It assesses the audit function and measures the outcome with each metric. It is important for an effective business process to bulit well-defined business objectives. It monitors the company business process to reach the objective with proper measures. KPI measures the company long goal to improve the business process. follow objectives to build the internal audit department as a knowledgeable one, make the flexible departments, reduce exposure to risk, reduce third -party risk, decrease financial loss and be aware of inside fraud to avoid risk.
KPI completes the audit plan within the budget it facilitates continuous improvement. frequent KPI varies as per employee engagement scores yearly. numbers of days per audit may be associates with audit quality reduction, it can not be found for many months, it should be avoided with care. identify the root of cause to avoid adverse variations and address the cause with effect and good performance. it provides better internal audit achievement with the use of KPI.