"How can you argue with the core principles of Lean, that you focuson what provides value to your customer and eliminate work that isnot necessary (muda)? Internal auditors need to understandnot only who their primary customers are, but what isvaluable to them - which in most cases is assurance that the risksthat matter to the achievement of objectives are properly managed.We need to communicate what they need to know and not what we wantto say. This incessant focus on the customer and the efficientproduction of a valued product should extend to every internalaudit team. How else can we ensure that we optimize the use of ourlimited resources to address the dynamic business and riskenvironment within which our organizations operate?"Norman Marks, GRC Thought LeaderUsing lean techniques to enhance value add and reduce waste ininternal auditingLean Auditing is a practical guide to maximising valueand efficiency in internal audit through the application of leantechniques. It is an ideal book for anyone interested inunderstanding what progressive, value adding audit can be like. Itis also ideal for anyone wondering whether audit activities can bestreamlined or better co-ordinated with other activities.The book contains practical advise from the author's experienceas CAE of AstraZeneca PLC; from his work as a consultantspecializing in this field; as well as insights from leading CAEsin the UK, US and elsewhere. In addition, there are importantinsights from thought leaders such as Richard Chambers (IIA US) andNorman Marks (GRC thought leader) and Chris Baker (TechnicalManager of the IIA UK).Increasing pressure on resources is driving a need for greaterefficiency in all areas of business, and Internal Audit is noexception. Lean techniques can help streamline the workflow, buthaving only recently been applied to IA, lack the guidanceavailable for other techniques. Lean Auditing fills thisneed by combining expert instruction and actionable advice thathelps Internal Auditors:* Benchmark their efficiency against lean ways of working* Understand warning signs of waste and lower added value* Understanding practical ways of working that improve addedvalue and reduce waste* Gain confidence about progressive ways of working in internalaudit* Understand how improved ways of working in audit can positivelyimpact the culture of the wider organizationOne of the keys to the lean audit is finding out exactly whatthe stakeholder wants, and eliminating everything else. Scalingback certain operations can delineate audit from advisory, and inthe process, dramatically improve crucial outcomes. To this end,Lean Auditing is the key to IA efficiency.

Foreword ixIntroduction xiPart 1 Lean And Lean Auditing In Overview 11 Lean Auditing at AstraZeneca 32 A Brief History of Lean, Notable Principles and the ApproachTaken by this Book 53 Key Lean Tools & Techniques 114 The Development of Lean Auditing and Its Benefits 195 The Wider Benefits of a Lean Audit Approach - and How toUse This Book 23Part 2 Looking At Internal Audit Planning And AssignmentDelivery 316 Who Are the Customers of Internal Audit? 337 What Really Adds Value - And What Doesn't 458 The Importance of Role Clarity in Assurance and the InsightsLean Can Offer 599 The Audit Plan: Taking a Value Approach 7710 Factoring in Risk Assurance in the Audit Plan 9511 Considering the Allocation of Resources to Optimize Value Add10712 Assignments - Types, Scheduling and Resourcing 12113 Using Assignment Scoping and Planning to Drive Added Value13314 Assignment Delivery - Managing What Really Goes On14915 Using Communication and Quality Standards to Maximize theAdded Value from Assignments 17516 Assignment Follow-Up and Follow On 205Part 3 Looking At Key Underpinning Capabilities, ProcessesAnd Ways Of Working 21317 Measuring Performance and Driving Improvements in Audit Waysof Working 21518 Using Lean Audit Principles to Underpin Cultural Change inthe Wider Organization 22719 Leading the Audit Function 24120 The Audit Function: Selection, Training & Development andWays of Working 257Part 4 FINAL REFLECTIONS 27921 Further Thoughts about Where and How to Start the JourneyTowards Lean Progressive Auditing 28122 A Brief Look into the Future 285Other Recommended Reading 289Appendix - Illustrative Kano Analysis Regarding InternalAudit 291Closing Dedication & Thanks 295Index 297