Achieving audit uniformity out of diversity : a case study of an international bank

The rapid growth in the economy of the Asia Pacific region has attracted many banks to expand in this area. Rapid expansion has brought the need for an increased emphasis on internal controls. A more structured control over the internal audit function is needed to provide sufficient assurance to head office. Due to the varying cultures, business practices and government regulations, there are many difficulties in the establishment of a centralized internal audit approach for different audit units in the region. These have been resolved by the international bank in this case study through (1) developing and implementing a uniform audit planning model; (2) establishing centres of excellence to cultivate expert knowledge in specific systems to streamline the development efforts in audit programme formulation; (3) formulating an Internal Audit Manual with laid‐down guidelines on the roles, objectives, standards of performance and work procedures for the audit units; (4) setting up a uniform reporting line; (5) standardizing the job descriptions of internal auditors to ensure that the audit units are staffed by qualified personnel with adequate skills and competence; (6) improving the communications and networking of the audit units to promote ideas and experience exchange; (7) enhancing cross‐functional or even cross‐border exposure through job rotation to other audit units.