Skip to main content
All InsightsInternal Audit

From Compliance to Assurance: Modernizing the Internal Audit Function

Internal audit functions that remain compliance-driven deliver low-value findings. Risk-based transformation is both a methodology shift and a cultural one.

Sami Jezrawi · July 27, 2026 · 6 min read

Many internal audit functions were built to verify compliance, not to provide risk-based assurance. The result is predictable: voluminous findings of limited value, strained relationships with management, and marginal influence on the risk agenda.

Modernizing the function requires alignment with the IIA Global Internal Audit Standards and a deliberate shift in how audit plans are built.

Start with risk, not activity. A risk-based audit plan targets the exposures that matter most to objectives, not the processes that are easiest to audit. Coverage should be expressed in terms of risk, not the percentage of locations or cycles reviewed.

Invest in the audit charter. A clear charter — endorsed by the audit committee — protects independence, defines reporting lines, and establishes the function's authority to access people, records and systems.

Coach, don't just instruct. Methodology reform fails when it stops at a new manual. Hands-on coaching on risk-based planning, scoping and reporting is what changes audit behaviour.

An external quality assessment provides an independent baseline and a credible roadmap. Conformance with the IIA Standards is not an end in itself, but it is the most reliable signal that the function is fit for purpose.

Speak with an Expert

Have a governance, risk or integrity question? Speak directly with a founder-led advisor — every inquiry is reviewed personally and held in strict confidence.