New from the IIA: Global Internal Audit Standard to Replace the IPPF

The International Professional Practices Framework (IPPF) serves as the cornerstone for authoritative guidance from The IIA, offering internal audit professionals worldwide both mandatory and recommended guidance.

Recently, on Jan 9, 2024, the new Global Internal Audit Standard was unveiled, set to be effective from Jan 9, 2025. Notably, the IPPF, previously updated in 2017, will persist during this transitional phase.

In today’s see-through economy, it is especially important to assess and enhance the effectiveness of an organization’s risk management, control, and governance processes. While the job of internal audit is to provide an independent and objective evaluation of operations and to provide reasonable assurance that the organization is continually working to avoid fraud, waste, and negligence, it has become even more difficult due to the changing work and business environments. From remote work, increased reliance on third parties, AI technology, and the volume of data increasing, auditors have a lot on their hands!

Since scandals can impact all organizations no matter their size or industry, the new Global Internal Audit Standards were created with all of this in mind! With changes from the previous IPPF, the IIA says the new standard will:

• Strengthen governance frameworks to improve organizations’ responsiveness to rapidly changing business environments,
• Give specific guidance to assist internal auditors in both the public sector and smaller internal audit functions,
• Provide a more flexible framework that can adapt to the unique challenges faced by auditors in different parts of the world, and
• Offer specific guidance and standards on critical areas like cybersecurity.

Overall The Standards were created to help fortify internal audit practices in response to the evolving landscape, ensuring adaptability, and addressing critical areas that impact organizations globally. The new Global Internal Audit Standards position internal auditors to navigate challenges and contribute effectively to organizational resilience. Although it doesn’t go into effect until 2025 it is still encouraged to use start using the new standard.