Postgraduate Diploma: Internal Auditing

Purpose

The qualification is designed to equip graduates with the essential knowledge and specific skills in order to be competent in performing internal audit engagements (manual and computerised) and to act as internal audit managers or internal audit consultants. It is designed to enhance the employability of learners by preparing them for the internal audit profession or for further learning in this field.

A person accredited with this qualification will be able to demonstrate

• A coherent and critical understanding of the International Professional Practice Framework (IPPF) of the Institute of Internal Auditors.
• Expertise in advanced internal auditing.
• Expertise in assessment of risk, internal control and corporate governance matters.
• Expertise in information systems auditing.

Rationale

This qualification is a vocationally orientated Postgraduate programme designed primarily to enhance the employability of learners who have completed the Bachelor of Accounting (or similar equivalent qualification). The qualification will also prepare the learners for the four parts of the Certified Internal Auditor (CIA) professional (international) qualification of the Institute of Internal Auditors (IIA).

The qualification seeks to

• Equip students with knowledge of advanced socio-economic and economic aspects of internal auditing.
• Provide a sufficient number of professionals with additional skills in internal auditing and related fields.
• Meet the national need for qualified internal auditors (private and public sector).
• Respond to the need for qualified individuals who can act as internal audit managers.
• Respond to the need for qualified individuals who can act as internal audit consultants.

Learners who register for this qualification are assumed to have

• Knowledge regarding financial accounting principles including Generally Accepted Accounting Practice (GAAP).
• Basic knowledge regarding the auditing process, auditing standards and codes of professional conduct of one or more professional bodies such as the South African Institute of Chartered Accountants (SAICA), Institute of Internal Auditors (IIA).
• Capacity to do self study and complete written assignments.
• Capacity in applying computer software in preparing reports, assignments and spreadsheets.
• Ability to communicate in English (read, write, speak) and critically analyse, interpret or assimilate information.
• Ability to manage own time.
• The background knowledge contained in relevant three year Bachelor's Degrees or Advanced Diplomas in the accountancy related fields.

Recognition of Prior Learning

A relevant Bachelor's Degree or Advanced Diploma would be the usual route to admission. However, in particular cases learners without such qualification but with proven expertise and competency will be allowed to apply for provisional status for acceptance onto the programme in line with the NMMU Recognition of Prior Learning policy. In addition, candidates may apply for exemption from certain modules on grounds of relevant prior programme(s) of study. In all cases, recognition will be considered under the conditions of SAQA and NMMU policies and approval by faculty structures.

Access to the Qualification

A relevant NQF Level 7 Bachelors Degree or Advanced Diploma with Auditing and Management Accounting as majors and an average final mark of 55% in the final year modules.

Or

A relevant Degree or Advanced Diploma approved by Senate, coupled with prior learning, which should comprise at least three years experience in the field of Internal Auditing.

The Diploma consists of nine compulsory core modules, totalling 120 credits

• Internal Auditing 4 Module 1, 20 credits.
• Internal Auditing 4 Module 2, 20 credits.
• Risk Based Auditing, 15 credits.
• Information Systems Auditing, 15 credits.
• Financial Risk Management, 10 credits.
• Forensic Auditing, 10 credits.
• Managerial Accounting and Finance, 10 credits.
• Public Sector Accountability, 10 credits.
• Organisational Behaviour and Management Skills, 10 credits.

1. Demonstrate competency and critical understanding of the International Professional Practice Framework (IPPF).
2. Demonstrate competency in advanced management of internal auditing.
3. Demonstrate competency in performing various audit engagements.

• Range: Includes operational, contract, environmental, public sector, fraud and forensic, total quality management, corporate governance, business re-engineering and benchmarking.

1. Demonstrate competency in the application of advanced management accounting concepts.

• Range: Includes standard costing, relevant costing, activity based costing, portfolio management, cost of capital, capital structure and Strategic management accounting.

5.Demonstrate competency in the application of organisational behaviour aspects.

• Range: Includes motivation, communication, performance and structure.

1. Demonstrate competency in the application of relevant legislation in the planning and performing of internal audit engagements.

Critical Cross-Field Outcomes

All the Critical Cross-Field Outcomes are addressed in the qualification.

Associated Assessment Criteria for Exit Level Outcome 1

• Advanced knowledge of the Internal Audit profession is demonstrated.
• The context within which the International Professional Practice Framework (IPPF) is applied, is appraised.
• Problems and issues in the internal auditing field are identified and solved by applying the relevant theoretical concepts and principles.
• An awareness and understanding of ethical conduct in situations that may be encountered in the performance of internal audit engagements is demonstrated.
• The inter-relatedness of the relevant business disciplines is understood in order to develop a theoretical and practical macro vision of the internal audit profession internationally, nationally, regionally and locally.

Associated Assessment Criteria for Exit Level Outcome 2

• Insight into the advanced management of internal auditing is demonstrated.
• Resources and opportunities in the professional internal auditing field are effectively and responsibly organised and coordinated.
• Acceptable social sensitivity is demonstrated in relationships with other role players to work effectively in a multi-disciplinary team or organisation by implementing the relevant theory.
• The ability to effectively manage internal auditing of human resources through effective communication, motivation and performance appraisals is demonstrated.
• Insight into the organising and management of the internal audit activity is demonstrated in respect of behavioural aspects such as group dynamics, team building, leadership skills and time management.

Associated Assessment Criteria for Exit Level Outcome 3

• Various auditing techniques are applied in identifying risk and in controlling self assessment.
• Advanced knowledge of the internal audit process is demonstrated.
• Problems in internal auditing processes are identified and solved during various audit engagements.
• Appropriate technology in the professional internal audit environment is appropriately used.

Associated Assessment Criteria for Exit Level Outcome 4

• In-depth knowledge and insight into advanced managerial accounting and finance is demonstrated.
• Problems and issues regarding advanced managerial accounting and finance are identified and solved.

Associated Assessment Criteria for Exit Level Outcome 5

• Advanced knowledge and insight into business communication is demonstrated.
• The internal audit results are effectively communicated to all interested parties in oral and written form.

Associated Assessment Criteria for Exit Level Outcome 6

• The requirements of the various auditing, financial and corporate governance codes and legislation, in both the private and public sectors, are integrated and applied in the execution of all internal audit engagements.

Integrated Assessment

Regular assessments of holistic skills of learners will be performed. The essence of the assessment approach will be that of formative and summative assessments, which will incorporate written assignments, presentations, class tests and, where appropriate, oral examinations. Written assignments are directly linked to theory and will incorporate the theory and skills related to the Exit Level Outcomes.