2nd Edition
Operational Auditing Principles and Techniques for a Changing World
Operational Auditing: Principles and Techniques for a Changing World, 2nd edition, explains the proven approaches and essential procedures to perform risk-based operational audits. It shows how to effectively evaluate the relevant dynamics associated with programs and processes, including operational, strategic, technological, financial and compliance objectives and risks. This book merges traditional internal audit concepts and practices with contemporary quality control methodologies, tips, tools and techniques. It explains how internal auditors can perform operational audits that result in meaningful findings and useful recommendations to help organizations meet objectives and improve the perception of internal auditors as high-value contributors, appropriate change agents and trusted advisors.
The 2nd edition introduces or expands the previous coverage of: • Control self-assessments. • The 7 Es framework for operational quality. • Linkages to ISO 9000. • Flowcharting techniques and value-stream analysis • Continuous monitoring. • The use of Key Performance Indicators (KPIs) and Key Risk Indicators (KRIs). • Robotic process automation (RPA), artificial intelligence (AI) and machine learning (ML); and • Adds a new chapter that will examine the role of organizational structure and its impact on effective communications, task allocation, coordination, and operational resiliency to more effectively respond to market demands.
1. Definition, Characteristics and Guidance
2. Objectives and Phases of Operational Audits
3. Risk Assessments
4. The 8 Es
5. Control Frameworks
6. Tools
7. Eight Areas of Waste
8. Quality Control
9. Documenting Issues
10. Continuous Monitoring
11. Change Management
12. Project Management
13. Auditing Business Functions and Activities
14. The Toyota Production System (TPS)
15. Conclusion
Biography
Dr. Hernan Murdock, CIA, CRMA is vice president, audit division for MIS Training Institute. He has held positions as director of training for an international audit and consulting firm, and various audit positions while leading and performing audit and consulting projects for clients in the manufacturing, transportation, high tech, education, insurance and power generation industries. Dr. Murdock is a senior lecturer at Northeastern University where he teaches management, leadership and ethics. He earned a DBA from Argosy University, Sarasota, Florida in 2007; a CSS from Harvard University, Cambridge, Massachusetts in 1996; and an MBA and BSBA from Suffolk University in 1992 and 1990, respectively. He also holds the following certifications: CRMA Certification in Risk Management Assurance (IIA), 2013; QAR Accreditation in Internal Quality Assessment/Validation (IIA), 2008; AchieveGlobal Leadership and Customer Service: Deliver and Develop Levels, 2007; IDC Certified Instructor (IIA), 2006; and CIA Certified Internal Auditor (IIA), 2001. He is the author of Auditor Essentials: 100 Concepts, Tools and Techniques for Success (CRC Press, 2019), Operational Auditing: Principles and Techniques for a Changing World (CRC Press, 2017), 10 Key Techniques to Improve Team Productivity (The IIA Research Foundation, 2011) and Using Surveys in Internal Audits (The IIA Research Foundation, 2009). He has also written articles and book chapters on whistleblowing programs, international auditing, mentoring programs, fraud, deception, corporate social responsibility, and behavioral profiling. Dr. Murdock has conducted audits and consulting projects, delivered seminars and invited talks, and made numerous presentations at internal audit, academic and government functions in North America, Latin America, Europe, Asia, and Africa.
