This audit report shares findings from an intellectual property processes review at a company. The key focus areas were patents, trademarks and trade secrets.

In this sample, internal audit focused on patents based upon preliminary discussions with the company’s management and the potential risks. The review included interviews with members of management, engineering and human resources. On a test basis, selected transactions were traced through to the supporting books and records of the company. The interviews and analysis of selected transactions revealed several areas where opportunities for improvement existed.