For decades, internal audit (IA) departments at financial services industry (FSI) organizations have relied on data analytics to support their work. With the growing availability of data, the value of this practice has increased significantly. Increasingly, IA departments are looking to develop forward-looking analytics capability rather than just scrutinizing data in support of individual audits. To achieve this goal, IA functions are striving to operate independently, access data when and where they need it, and conduct their own analysis, rather than rely on the business units that generate the data.
The demand for enhanced analytics capabilities is being driven by a variety of factors, most notably IA’s growing role in supporting regulatory compliance needs and monitoring, and intensifying pressure to gain better insights for improved risk management.