Risk-Based Internal Auditing

This seminar introduces the participants the rationale for using the technique and incorporating them in their annual audit plan. To better understand the concept, the course presents a brief discussion as to the reasons why this technique came about, what are risks in general, kinds of business risks, the risk-appetite and tolerance of the company and how to measure risks if it is indeed necessary to include a more detailed audit in the annual audit plan.

The course differentiates the traditional versus the risk-based auditing approach and how internal auditors can better use this technique in ensuring that management will be able to carry on their vision and vision for the year. The seminar hopes to illustrate to the participants how to identify their own Business Risks and how they can do a self-audit of these risks.

The Seminar is designed to be an introduction to the use of Risk Based Internal Auditing. Participants will therefore be able to achieve the following:

  • how to identify business risks and its possible impact on the overall operations of the business
  • be able to assess the levels of risks and measure its direct impact on the business
  • how to prepare an annual Audit Plan incorporating the Risk-Based approach to internal auditing
  • how to prepare brief and concise but effective management reports
The following persons will greatly benefit from this introductory course:

  • Head and members of the Internal Audit Staff
  • Middle level of management especially those who are involve in Operations
  • Finance Directors and staff to better understand if company Risks should be examined in more detail

  1. Definition of Risk-based Auditing
  2. Good governance and Risks identification
  3. Identification of Business Risks and their various levels of impact on business
  4. Kinds of Business Risks
  5. Risks of MSMEs and Impact on Business
  6. The Risks Management Process – Identification, Assessment, Evaluation, Mitigating, and Monitoring
  7. Definition of Risk Appetite, Risks Assessments and Risk Tolerance
  8. Differentiation between Traditional and Risk-Based Auditing
  9. How to do a self audit of your business
  10. How to prepare an annual Audit Plan incorporating Risk-Based Audit Techniques
  11. The 6 Step Risk-Based Auditing
  12. How to determine if Risks identified need further investigation and measurement
  13. How to prepare and report Audit Recommendations including the impact of Risks identified
  14. Doing a Follow Up and Monitoring of Audit Recommendations
Mr. Estacio earned his Bachelor of Science in Commerce major in accounting from UST and is a CPA by profession. He finished his Masters in Business Administration at DLSU Taft and his Management Development program at the Asian Institute of Management. He also has a Certificate in Cooperative Education from the Marburg University in Germany and is presently an accredited trainor by the Cooperatives Development Authority. He is a Licensed Financial Adviser and is a Registered Financial Consultant with the IARFC of Oregon, USA.
Mr. Estacio has long years of working experience in Finance having been with Audit, Credit, Operations Treasury , Finance, Regional Planning and Financial Controllership with different local and multinational companies. His work also included Sales, Sales Services and Marketing focusing on Direct Selling and Network Marketing both here and abroad. 
As a trainor, he has coached independent sales force in finance, Operations, Marketing, cooperatives and Entrepreneurship. His clients include multinationals belonging to the top 300 big companies of the Philippines, the University of Asia and the Pacific, Drake, Beam and Morin and the Center of Small entrepreneurs. He has handled training of senior executives from Avon Regional Office in Hongkong and later on in various cities of Indonesia as Expat-GM in a Malaysian based Network Marketing company. He also trained in the new Service Centers he helped established in Africa more specifically in Uganda, Kenya, Tanzania, Mali and South Africa.