Officer Message

NEWSLETTER

Officer Message

The end of the calendar year and the start of a brand new year are upon us. It is a time when we reflect on the past year and make plans for the New Year. It was a challenging year in 2010 for many given the poor economy and the floods in May, but the Nashville Chapter did its part to help out. Those “between opportunities” who are actively looking for work can attend regular lunch meetings for free so they can continue to network. We’ve had several members take advantage of these opportunities. In addition, the Chapter Board of Governors decided in May to make a donation to one of the most significant group of flood victims ~ the employees of Gaylord via their Stars Helping Stars program.

As always, the Chapter also provided several low-cost CPE opportunities during 2010 and have many more planned for 2011. You’ll see details for coming events throughout the sections of this newsletter. Contrary to what Les reported in the last newsletter, the Nashville Chapter has not yet achieved Gold status, due to an error in the spreadsheet that calculates CAP points. (This was the fault of IIA HQ rather than our Chapter.) However, we are well on our way and should achieve the Gold status and become a Platinum Chapter (ten consecutive Gold years) before the end of our chapter year.

Why not make a New Year resolution to become more involved in the Chapter or attending more meetings and events in the coming year if you are not doing so already? It’s a good way to network, build leadership skills and it doesn’t hurt the old resume either. Even though the IIA headquarters has announced a dues increase for 2011 getting involved can help you get more out of your membership. I believe it is still a good value for what you pay. If you would like to get involved in a committee or become an officer next year, just contact a current officer and we will help finding a way to volunteer that suits you.

Ginger Greene, CIA, CPA

Nashville Chapter Treasurer

Announcements & Reminders

January Monthly IIA Luncheon

Tuesday, January 18, 2011

Location

Cracker Barrel Corporate

305 Hartmann Drive, Lebanon

Time

11:30am to 2pm

(Registration starts at 11am)

Topic

Annual Risk Assessment Methodology

& Tour of the Décor Warehouse

Speaker

Marcus Lavender,

Internal Audit Senior Manager

CPE

2 Hours

Cost

Members $20

Government $10

Non-Members $25

Deadline for registration is

Noon on Thurs, January 13, 2011.

Click here to register!

Nashville Chapter Volunteers Needed

We’ve started planning for 2011-2012 and we need you! The Chapter is seeking volunteers for committees and committee chairs. There are a variety of responsibilities and time-commitments available. Please contact Bill Jackson to discuss your interests.

Annual Auditors and Accountants Seminar

Monday, January 31, 2011

Location

Lifeway Christian Resources

One Lifeway Plaza, Nashville

Time

8am to 4pm

(Registration starts at 7:15am)

Topic

The Promise of Performance Auditing

·  Challenges ~ Evidence and Criteria

·  Successful Audits Aimed at Achieving Macro-Level Impact

·  Conceptual Framework for Performance Audits

·  Rethinking Risk Analysis

·  Audit and the Political Process

·  Mind the Gap – The Disconnect Between Regular Folks and People In Charge

Speaker

Dr. Mark Funkhouser

Mayor of Kansas City, MO

CPE

8 Hours

Cost

Single Ticket: $150

Group Discount (3+ per Co): $140

Bridge Member: $140

After January 19: $175

Deadline for registration is

Noon on Thurs, January 27, 2011.

Click here to register!

Click here for the event brochure!

February Monthly IIA Luncheon

Tuesday, February 8, 2010

Location

Lifeway Christian Resources

One Lifeway Plaza, Nashville

Time

11:30am to 1:45pm

(Registration starts at 11am)

Topic

Disaster Recovery Planning Panel Discussion

CPE

2 Hours

Cost

Members $20

Government $10

Non-Members $25

Deadline for registration is

Noon on Thurs, February 3, 2011.

Click here to register!

Redbooks for Sale!

The Nashville Chapter currently has the International Professional Practices Framework (2009) books available for sale at $30. Please contact Cindy Walker to order and obtain your copies. Please be aware that in October 2010 The IIA announced 26 revisions to the International Standards for the Professional Practice of Internal Auditing (Standards). The changes will take effect on January 1, 2011.

CAP Points

Did you know we get CAP points for articles submitted by members to Internal Auditor? Send your details to Bill Jackson.

March CIA Exam Review Course

Sat, March 5 & Sun, March 6, 2011

Location

Ezell Center, Room 205 at Lipscomb University, Nashville

Time

(Registration starts at 7:30am)

Part 1: Internal Audit Activity’s Role

Sat, March 5 at 8am to 11:30am

Part 2: Conducting the Engagement

Sat, March 5 at 12:30pm to 4pm

Part 3: Business Analysis & IT

Sun, March 6 at 8am to 4pm

Part 4: Business Mgmt Skills

Not reviewed live, but free access to the Audit Services internal audit manual will be provided for 60 days for use in review.

Speaker

Roger McDaniel, President of Audit Services www.auditservices.com

CPE

Part 1 3.5 Hours

Part 2 3.5 Hours

Part 3 7 Hours

Cost

Parts 1 & 2 $100 Per Part

Enroll for Both $190

Part 3 $150

Parts 1, 2 & 3 $330

Lunch is NOT included.

Deadline for registration is

Noon on Fri, February 25, 2011.

Click here to register!

Click here for the event brochure!

2010-2011 Nashville Member Directory Available

The 2010-2011 Nashville Membership Directory is available here for our members!

Member Networking Benefits

As a result of the current economic environment, some members have recently “separated” or been laid-off from their jobs. The Nashville Chapter leadership wants to encourage those members to continue to attend our monthly meetings and seminars. Therefore, the chapter leadership would like to announce that unemployed members may attend the monthly two-hour Chapter meetings for FREE. Attendance allows you to keep updated in the profession and network while searching for jobs. Please pass this information along to Chapter members who may not be receiving this e-mail due to their recent employment status change and ask them to update their profile at the International IIA website to ensure we have the correct contact information.

Employment Committee Update

FORBA Holdings, LLC

Senior Auditor

Tennessee Board of

Probation and Parole

IT Auditor

Kraft CPAs

IT Audit Senior

City of Clarksville

Internal Auditor II

Willis Group Holdings Limited

Audit Executive

CHAN Healthcare Auditors

Audit Management

For more information, visit:

Nashville Employment Opportunities

Newsletter Articles

COSO Announces Project to Modernize Internal Control - Integrated Framework

The Committee of Sponsoring Organizations of the Treadway Commission (COSO) announced on November 18, 2010 a project to review and update the COSO Internal Control - Integrated Framework (Framework).

This initiative is expected to make the existing Framework and related evaluation tools more relevant in the increasingly complex business environment so that organizations worldwide can better design, implement, and assess internal control.

Originally formed in 1985, COSO is a voluntary private sector organization dedicated to improving organizational performance and governance through effective internal control, enterprise risk management and fraud deterrence. COSO is jointly sponsored by the American Accounting Association (AAA), the American Institute of Certified Public Accountants (AICPA), Financial Executives International (FEI), the Institute of Management Accountants (IMA) and The Institute of Internal Auditors (IIA).

“Organizations can continue to apply the current Framework, in as much as its basic components are timeless, but the more detailed guidance and examples are somewhat dated,” says David Landsittel, COSO chairman. "This project is not intended to change how internal control is defined, assessed, or managed, but rather provide more comprehensive and relevant conceptual guidance and practical examples."

The Framework has been widely accepted as an internal control standard for organizations implementing and evaluating internal control related to operations, compliance, and financial reporting objectives, and more recently, internal control over financial reporting in compliance with the U.S. Sarbanes-Oxley Act of 2002 (SOX) and similar regulatory requirements in other countries.

Enhancements to the Framework are not intended to alter the core principles first developed in 1992, but rather facilitate more robust discussion of internal control. Certain concepts and guidance in the Framework will be refined to reflect the evolution of the operating environment, changed expectations of regulators and other stakeholders. In addition, enhancements are expected to consider more than financial reporting and to consider ways to enrich the guidance on operations and compliance objectives.

COSO has engaged PricewaterhouseCoopers LLP (PwC) to support its update of the Framework. As such, PwC will be working under COSO's leadership and direction in developing the updated Framework. To help ensure a broad representation of perspectives, COSO is also forming an Advisory Council comprised of representatives from industry, academia, government agencies and not-for-profit organizations to provide input as the project progresses. In addition, the updated Framework will be exposed for public comment to capture any additional input from the general public. Such due process will help ensure that the update adequately addresses internal control challenges of organizations today.

"The updated Framework is intended to help organizations more effectively design and manage internal control," explains Miles Everson of PwC, project team leader. "Additionally, it will further explain the interconnections with the Enterprise Risk Management - Integrated Framework, the 2006 Internal Control over Financial Reporting - Guidance for Smaller Public Companies, and the2009 Guidance on Monitoring Internal Control Systems."

The initiative is expected to culminate in an updated internal control framework publication in 2012, the 20th anniversary of the initial Framework.

Global Body to Oversee Development of Internal Audit Standards

On November 22, 2010, The Institute of Internal Auditors (IIA) announced the formation of the International Professional Practices Framework (IPPF) Oversight Council.

This new body will begin by overseeing the process for developing authoritative guidance within the IPPF for internal audit professionals around the world. The Oversight Council will evaluate and advise the IIA Global Board of Directors on the rigor of The IIA’s standard- setting processes.

“Stakeholders are demanding that standard setters are subject to oversight,” said IPPF Oversight Council Chairman and IFAC Executive Director of Professional Standards Jim Sylph. “The IIA is to be congratulated on setting up this Oversight Council. It is, indeed, an honor and a privilege to lead this body as it begins its critical role of enhancing the credibility of the IPPF standard setting processes.”

Organizations represented on the Oversight Council include the International Federation of Accountants (IFAC), the International Organization of SupremeAudit Institutions (INTOSAI), the World Bank, the Organization for Economic Cooperation and Development (OECD), and the National Association of Corporate Directors (NACD). Also serving on the Council are the chairman emeritus of the Committee of Sponsoring Organization of the Treadway Commission (COSO) and a former chairman of The IIA Global Board of Directors.

“Guided by its collective commitment to inclusiveness, transparency, diligence, timeliness, and other principles that will generate the confidence of all internal audit stakeholders, the Council will provide ongoing assurance that The IIA’s standardsare of the highest caliber and are properly responsive to the public interest,” said IIA Global Chairman of the Board Günther Meggeneder, CIA. “This ensures there’s due diligence in place for our standard-setting process, and is major milestone for internal auditing becoming universally recognized as a profession.”

The Council’s oversight role will layer additional rigor on top of The IIA’s existing standard-setting process, which includes the active involvement of five IIA international entities: Advanced Technology Committee, Committee on Quality, Ethics Committee, Internal Audit Standards Board, and Professional Issues Committee. As such, the Council will evaluate the due-process procedures for setting standards and guidance; review the charters of The IIA committees listed above; make recommendations for process improvement to The IIA Board of Directors; and communicate in The IIA annual report on the adequacy and transparency of the due process employed for standard- setting.

“Clearly, the Council’s oversight role is not a one-time commitment,” said Sylph. “To ensure practitioners in the internal audit profession stay abreast of the most effective, efficient, and ethical ways of doing business, The IIA must continuously deliver and update timely and relevant standards.”

2011 IIA Membership Dues

Updated Dues Structure for 2011

The IIA North American Board announced November 10, 2010 it approved an increase in dues rates effective March 1, 2011 in alignment with providing core member services and funding IIA strategic initiatives. The majority of membership segments and incremental group fees will increase by $10 per member.

*: $865 Base fee plus $12 per member

Changes for IIA Certification Pricing and Eligibility

Updated Certification Fees for 2011 & New IIA Program Eligibility Policy

The IIA announced on December 6, 2010 it revised its pricing structure for certification fees effective January 1, 2011. This new pricing structure will more accurately reflect the level of service our IIA Certification programs offer and is more comparable to similar professional certifications. Registrations received by Dec. 31, 2010, will be charged the current 2010 certification fees.

The IIA certification eligibility policy also changed, requiring candidates to complete the program certification process within four years of their initial application approval. If a candidate has not completed the certification process within four years, all fees and exam parts will be forfeited. For more information about The IIA’s certification program, visit www.theiia.org/certification.