Uganda Industrial Research Institute’s Internal Audit Department was established for the purpose of providing management and the Board with reasonable assurance that the management control systems throughout the Institute are adequate and operating effectively. Internal Audit provides an independent and objective appraisal of activity for management and furnishes them with analysis, recommendations, counsel, and information concerning the activities reviewed. This includes promoting effective controls at reasonable cost.
We provide an independent review of the Institute’s operations and financial accounts by converging our work with the provisions of governments and regulatory authorities, international public sector standards, Public finance and accountability act to ensure that there is proper accountability and transparency in the harmonization of accounting standards, strengthening the principles of corporate governance, lifting the bar on the fitness and propriety of directors and managers and introducing improved market disclosure standards.
Confidence in the institution is paramount if it is going to achieve its stated objectives. The Internal Audit Department provides valuable support in maintaining the public’s confidence by performing independent and objective reviews and reporting to the management and responsible administrative on their findings so that corrective actions or enhancements can be initiated.
The Internal Audit Department assists operating management in achieving operating goals by evaluating controls to ensure systems function adequately, by identifying weaknesses, and by providing recommendations. Through complete and unrestricted access to records, property, and personnel, Internal Audit provides the institute with an additional resource in meeting these goals. With the support of Institute management and the Audit Committee, the Internal Audit Department provides the highest quality of auditing services, thus enhancing fiscal control.
Internal Controls can be categorized as either accounting controls or administrative controls. Accounting controls are designed to safeguard institute’s assets and ensure the accuracy of financial records. Administrative controls are designed to promote operational efficiency, effectiveness, and adherence to Institute’s policies and procedures. Management is responsible for designing and maintaining an adequate system of internal control.
The Internal Audit Department performs a wide range of audit services including financial audits, compliance audits, operational audits, information technology audits, and consulting services.
A typical audit is comprised of five stages: planning, fieldwork, reporting, and follow-up. The audit team will collect data and document the procedures, controls and/or activities being reviewed. Based on our risk assessment, the audit team will perform various types of tests and conclude on the adequacy of the control system.
The Internal Audit Department regularly participates in professional development programs to maintain and enhance their professional skills. During the audit and at the conclusion of the fieldwork, the audit team will discuss with the appropriate staff of an area being audited about any findings and recommendations noted during the audit process. A formal discussion on the audit findings and recommendations is held with Executive Director, Director, and Supervisor etc. of the area being audited. Next the audit team will issue a draft report summarizing the findings and recommendations. The draft report has limited distribution. The management responses are incorporated into the draft report along with any agreed upon changes, thus becoming a final report. The final report is distributed to the appropriate management. All audit information is treated as confidential and is reported only to those within the Institute who need to know.
The Internal Audit Department reports to the Office of the Executive Director. This reporting structure allows the Internal Audit Department to remain independent and report all items of significance to the Executive Director.
