H2. Internal Audits

2. Internal Audits
H.2.01 Internal Auditor:
A director of internal audit shall be retained by the System to manage the internal audit function.

H.2.02  Mission:
The mission of the Internal Audit Department is to provide independent, objective assurances and consulting services designed to add value and improve the System’s operations.  Internal audit should assist the System in accomplishing its objectives by bringing a systematic, disciplined approach to evaluating and improving the effectiveness of risk management, control, operational and governance processes.

H.2.03 Purpose, Authority and Responsibility:
The internal auditors shall perform their work in accordance with the International Standards for the Professional Practice of Internal Auditing (Standards).

The purpose, authority, and responsibility of the internal audit function shall be formally defined in a charter, consistent with the Standards and approved by the Board.

Periodic internal and external quality assessments and ongoing internal monitoring should be part of a quality assurance and improvement program designed to help the internal auditing activity add value, and improve the System’s operations.

Final communication of engagement results should be issued, and where appropriate, include the internal auditor’s overall opinion and/or conclusions.