The Core Principles represent the foundational elements that articulate internal audit effectiveness. For an internal audit function to be considered efficient, all principles must be present and operating effectively across its daily execution workflows.
[Auditor Integrity Base] ---> [Objective Professional Skepticism] ---> [High Quality Assurance Results]
The core principles govern the mindset, actions, and strategic alignment of individual auditors and the entire audit function:
- Demonstrates Integrity: Integrity forms the foundation of trust and reliance upon the internal auditor’s work. Auditors must perform their work with honesty, diligence, and responsibility, making all necessary public and internal disclosures required by law and their profession.
- Demonstrates Competence and Due Professional Care: Internal auditors must possess the collective knowledge, skills, and technical credentials required to perform their engagements. Due professional care requires auditors to apply the care and skill expected of a reasonably prudent and competent auditor, considering the complexity of the process, material error exposures, and the cost-benefit mechanics of control execution.
- Is Objective and Free from Undue Influence: Auditors must maintain an impartial, unbiased mental attitude, ensuring they do not subject their audit judgments to external compromises or management pressures.
- Aligns with Organizational Strategies and Objectives: The internal audit function must tailor its annual audit plans to monitor the specific risk areas that could impact the achievement of the enterprise’s strategic growth goals