Internal audit gone wrong

In a world rife with scandals impacting all aspects of business and life, internal auditors aren’t immune to bad behavior. Here’s how to find their occasional crimes and misdemeanors, plus some practical measures to deter and detect their nefarious activities.

At the turn of the millennium, I was a junior auditor with a Big Four accounting firm with almost one year of experience. I was assigned to an internal audit outsource of a medium-sized food manufacturer. The manager leading the audit was a rising star at the firm who was also studying for his MBA at one of the top business schools in the U.S. He heavily delegated work to me and spent lots of time with me at the client site. Most days he’d finish his work in a couple of hours and spend the rest of the day reading his university course books and answering my questions. I was extremely impressed with his efficiency, and I was learning a lot. When the assignment was over, he showered me with praise in front of the partner. I left the assignment feeling fortunate to have worked with such a great manager. Shortly after, he left the firm and went to work for a well-known Wall Street company.