Internal audit cost: is it better to hire in-house or outsource the job
Internal auditing is an independent, objective consulting activity, designed to add value and improve an organization’s operations. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control and governance processes. So how does it matter whether an organization should hire an in-house auditor to do the internal audit, and bring the auditor on their payroll, or is it better to go for the outsourcing option? Well, just off the bat, you can have the comfort that an outsourced auditor needs to be paid once (or as per the contract) when the job is done! But, there are further and more nuanced benefits of going for this option and here’s why:
- Third person perspective: Hiring an outsider/independent entity to do the job of evaluating your business functions is like having a focused group research discussion with highly intellectual people – you get a new perspective and approach to the matter under consideration. Even though a hired person also is an outsider when they join, after one works for a place for a period of time, they start to get acquainted and become part of that crowd.
- Contractual work: When the audit is outsourced, you get to try out a firm for a one time project and switch, or just take their perspective only once if you prefer. This gives the company more control in terms of whom they would like to do such an important and confidential job.
- Unbiased assessment: Hiring a professional outside of the company means, they are unaware of the going-ons, power dynamics and other such corporate culture. Another good part is the anonymity and professionalism that is maintained because the respective workers only meet in regards to the work to be delivered, without getting involved in any internal dynamics of the organisation.
Quantum Auditing is one of the best internal audit companies in UAE and has a professional duty to provide an unbiased and objective view. As auditors, we remain independent from the operations we evaluate, and report to the highest level in an organization, the senior managers and the governors, i.e. the board of directors or the board of trustees, the accounting officer or the audit committee.
Quantum Auditing’s internal audit services in Dubai will help your organisation identify and take preemptive action to protect itself from the inherent risks to its strategy, finances and operations, in accordance with the internal audit regulatory compliance.
Our auditing specialists provide a wide range of internal auditing services. The outcome of our audit will help to implement and maintain a proper control environment in all areas and processes of the organization. Thus, we help contribute to our clients’ internal control functions.