An internal audit function must track its own operational performance using a balanced scorecard of quantitative and qualitative metrics. These indicators evaluate the department’s efficiency, value delivery, and adherence to professional standards, providing data to support the CAE’s annual performance reviews with the Audit Committee.
The internal audit platform monitors several key performance metrics:
Audit Plan Completion Rate = ( Count of Final Reports Published / Count of Approved Plan Engagements ) * 100
Remediation Closure Rate = ( Count of Verified Closed Findings / Count of Total Due Findings ) * 100
These metrics are compiled into performance dashboards and reviewed quarterly by the Audit Committee:
| Performance Metric | Calculation Parameter | Target Benchmark | Audit Function Status |
|---|---|---|---|
| Plan Execution Velocity | Actual hours spent on an engagement compared to budgeted hours. | Within a +/- 10% variance | 6% variance (Met target) |
| Reporting Latency | Calendar days from the conclusion of fieldwork to final report publication. | Less than 30 days | Average 24 days (Met target) |
| Remediation Closure Speed | Count of management action plans verified and closed within original target dates. | Minimum 85% closure rate | 78% closure rate (Below target) |
| Professional Credential Ratio | Percentage of audit staff holding relevant professional certifications (e.g., CIA, CPA, CISA). | Minimum 70% certified | 74% certified (Met target) |
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