What is a Certified Internal Auditor (CIA)?
A Certified Internal Auditor (CIA) is a certification offered to accountants who perform internal audits. The Certified Internal Auditor designation is granted by the Institute of Internal Auditors (IIA) and is the only certification accepted worldwide.

CIAs usually work in the audit department of government agencies, financial institutions, or corporations. They review financial data to look for deficiencies in internal controls.

KEY LEARNING POINTS
A Certified Internal Auditor (CIA) is a certification granted to accountants who perform internal audits.
The CIA is awarded to individuals by the Institute of Internal Auditors (IIA) after passing the required exams.
The audit departments of government agencies, financial institutions, and corporations are where CIAs typically operate.
CIAs are similar to Certified Public Accountants (CPAs), but CPAs are usually only recognized in the US, while CIAs are recognized worldwide.
Understanding a Certified Internal Auditor (CIA).
Certified Public Accountants (CPAs) are also trained in auditing and can perform many of the same functions as a CIA; however, the professional with a CIA designation will have more micro-focused skills.

A key difference is that the CPA credential is often only recognized within the United States, while the CIA is an internationally recognized designation. Although CPAs can be employed directly by a company in an auditor role, it is much more common for them to come to a company from the outside (external) to perform audit functions. So it's more likely that CIAs are directly employed by a company. Although not very common, an accountant can pursue and maintain either a CPA or CIA designation.

Internal auditors are generally subject to a code of ethics. An example of internal auditors not adhering to that code is the Lehman Brothers scandal in 2008. Executives were paid high salaries despite the financial challenges the company faced.
1
In addition, inadequate internal controls allowed the accounting system to be manipulated by reporting fabricated figures in the balance sheets.
2
The actions were illegal, unethical, biased, unprofessional and in violation of the CIA code of ethics.
How to Become a Certified Internal Auditor (CIA).
Accountants who wish to obtain the CIA certification must obtain a bachelor's degree and have at least two years of work experience in an area related to internal audit, such as internal control, compliance and quality assurance. Other requirements include a character reference and proof of identity.
3
If you become a CIA, you must also complete Continuing Education (CE) requirements of 40 hours per year to maintain certification.
4

CIAs have a wide range of career options. A CIA may hold a managerial position such as vice president, chief audit officer, or director. A CIA may specialize as an internal auditor, audit manager and compliance auditor, or in investigative audits and information technology audits. CPAs typically earn slightly higher salaries than CIAs, but this will depend on the job title and role of the individual CIA.

History and Government Requirements for Internal Auditors
The IIA was launched in 1941 and strengthened internal auditing as a profession. In 1950, Congress required that each executive agency incorporate internal audits into the agency's system of internal controls.
5
In the mid-20th century, internal audit emerged as a separate accounting function.
6

In 1977, the Foreign Corrupt Practices Act completely changed the internal audit industry. The law prevented companies from hiding money and committing bribery. The law required companies to maintain adequate internal control systems and maintain complete and accurate financial records, increasing the demand for internal auditors.

Companies and government agencies will continue to hire internal auditors to strengthen internal controls. Because accounting scandals and financial irregularities are still a real problem that investors and analysts need to be made aware of, the role of the CIA will remain important for the foreseeable future.
#internalaudit #cia #certifiedinternalauditor
#iso #audit #accounting #trainingiso #business #auditor #riskmanagement #sertifikasiiso #auditing #bookkeeping #internalauditor #auditinternal #konsultaniso #governance #konsultanpajak #compliance #konsultan #training #smk #corporategovernance #management #finance #businessconsultant #konsultanbisnis #implementasiiso #sertifikasiisoperusahaan #sistemmanajemenmutu #sertifikasiisouniversitas #senergiconsulting

Please take the opportunity to connect and share this video with your friends and family if you find it useful.