Outsourcing
Whether you are looking to accelerate the establishment of an Internal Audit function or reinvigorate an existing Internal Audit capability, Sunera can provide you with a turnkey solution to get results fast. We follow practices suggested by the Institute of Internal Auditors (IIA) and are adept at preparing annual enterprise risk assessments; planning and scheduling audits; performing audits and reporting audit results; and presenting findings to Executive Management and Audit Committees. We have the breadth and depth of skilled Internal Audit professionals to meet the needs of most organizations.
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The Sunera Cost Advantage
Internal Audit Department Costs
To illustrate the potential cost savings of outsourcing or co-sourcing internal audit services, we prepared the following analysis of a typical Fortune 1000 company using two scenarios; a 10 person internal audit department and a 5 person department. The table below represents the estimated costs of operating each department.
Internal Audit Department Hours
Although the maximum number of hours available per employee is 2,000 excluding holidays, there are many factors that reduce the number of productive hours that can be focused on internal audit projects. The following table depicts the approximate annual net hours available for focused delivery after being reduced by other factors.
Cost Savings Using the Sunera Model
The following table summarizes the cost savings of using the Sunera model to achieve compliance. We use a project based approach and establish a budget based on the scope of SOX and internal audit projects to complete in any given year. Actual costs may be lower than shown below depending on the maturity of your compliance process.
Other Key Advantages
- Flexible Budgets: Total cost of compliance can vary from year to year based on needs, whereas an internal audit department operates as a fixed cost.
- Access to Talent: Audit skills and resources can be effectively matched to audit requirements by using specialists in technology, forensics, accounting and other areas where applicable.
- Manage the Peaks: Internal departments would need a higher level of fixed staff to manage the peak levels encountered during the year, whereas an outsourced model brings resources only when needed to meet the peaks of the audit cycle and moves them elsewhere during off-peak periods.
- Focused Effort: Outsourced resources try to avoid miscellaneous office distractions, arriving late and leaving early, running errands during the workday, and attending general office meetings, as this time can not be charged to a project.
- Sharing Best Practices: Using an outsourcing or co-sourcing provider allows access to more information, experiences and best practices from not only your industry.
