Topic: Critical Thinking: An Essential Skill for Internal Audit Success

Course Description: Attend this training to learn/reinforce important audit skills, tools and techniques to facilitate the performance of value-add audits that are risk-based. Critical thinking, professional judgment auditor skepticism & objectivity are essential for success. The session will include audit tools and techniques to provide attendees with approaches to guide their use of critical thinking skills to assist in gathering of evidence and the audit process. Real life examples will be provided to strengthen the critical thinking process that facilitates better supported findings and audit conclusions. Exercises will be used to further the learning process including “root cause analysis”. Finally, the course will be interactive and provide opportunities for attendees to practice what they learn.

In this seminar, we will discuss the following important issues:

• Importance of critical thinking (CT) to auditors
• Different methods & uses of critical thinking by auditors
• Teaching the audit staff to make better use of critical thinking in audit projects
• Difference between “Professional Judgment” and “Critical Thinking”
• Using critical thinking during different audit phases

Learning Objectives:

• Review the basics of risk-based auditing from risk assessments & audit planning to engagements (High-level)
• Discuss audit evidence, professional judgment, auditor skepticism and tools/techniques used to gather information (High-level)
• Review critical thinking and professional judgment as used to facilitate the gathering of information/evidence to support the audit process/results/conclusions (High-level)
• Learn about how following CT can reduce the impact of personal bias
• Discuss/learn the Why, Where, What, How, When of critical thinking for auditors
• Provide a sample of the critical thinking process including the definition of key terms
• Determine how critical thinking helps improve audit evidence
• Compare and contrast auditor judgment and critical thinking skills
• Use mind minding techniques including root cause analysis to identify and provide solutions for auditor/audit staff challenges and/or problem areas
• Review ways to develop critical thinking to enhance the audit process
• Understand the critical thinking process and develop additional critical thinking skills for future use in audits
• Use the tips, tools & techniques provided to better gather audit evidence through use of CT
• Share reference materials for development of professional judgment, CT & the audit process

After completing this training, you will be able to:

• Use critical thinking to enhance audit evidence & strengthen decision making
• Understand how professional judgment & critical thinking are alike and similar
• Better identify root causes
• Become more efficient/effective in carrying out audit responsibilities
  

Course Outline:

• Risk-Based Audits
• Barriers
• Process
• Importance of adding value
• Annual risk assessment process
• Engagement planning process
• Applicable standards & guidance
• Basics of audit evidence
• Criteria for evidence
• Audit evidence gathering tips
• Professional judgment, auditor skepticism & objectivity (bias)
• Why, Where, What, How & When of critical thinking
• Different types of critical thinking & examples of use by auditors
• Professional judgment process & comparison to critical thinking
• Define, compare, contrast & auditor uses
• Creative thinking
• Critical thinking
• Strategic thinking
• Skills needed & development opportunities
• Critical thinking for Internal Audit process improvement
• Resources/reference materials for future personal & staff development
• Exercises will be used to reinforce the learning objectives

Experience level: Basic to Intermediate (Good refresher for experienced auditors)

Prerequisites: None

CPE Credit(s): 7 hours (Seminar excluding Lunch Presentation)