Risk-based internal audit plan
The plan of audit work, built from the organisation’s strategy and risks.
The CAE builds the plan from a documented assessment of the organisation’s strategies, objectives and risks, with input from the board and senior management. The board approves it, and it’s updated as risks change.
On the exam
Last year’s plan, management requests and available hours are inputs at most. The basis is the organisation’s risks.
Related terms
- Chief audit executive (CAE)The person who leads the internal audit function.
- Risk appetiteHow much risk an organisation is willing to take in pursuing its goals.
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