How is an Internal Auditor different from an External Auditor?
Well that is certainly a question that can be debated at length. It’s almost a case of which came first, the chicken or the egg?
Perhaps it would just be easier to tell you what an Internal Auditor does that will benefit you as an SMME (Small, Medium, Micro, Enterprise) or a VSE (Very Small Enterprise)
An Internal Auditor’s main function is to prevent loss. There are typically many different types of loss, such as loss of Money, loss of Stock, loss of Time, loss of Productivity,
loss of a sale, loss of a client, loss of a staff member and so on.
They all affect the bottom line!
What about making the best out of what the VAT man has to offer, by getting yourself VAT registered, even when you don’t really qualify so that you can take advantage of all the VAT breaks? It’s called, simply, managing your VAT.
Or ensuring that you use the correct supplier procurement policy, in order to ensure that you wring the last cent out of your VAT input to get the best value out of being a VAT vendor? Did you know that the VAT man actually pays you to collect money on his behalf?
Yes he does and if your VAT is correctly managed it could mean between 3 and 6% added to your bottom line!
Having the correct, documented Business Administration and HR procedures and processes in place, will often be all that is required to deal with most of the areas in which a loss can and does occur, especially if the procedures and/or processes are monitored.
Ensuring that are consequences if the procedures are not followed, is tantamount to removing unwarranted emotion out of the workplace and will increase productivity in ways that you never dreamed of.
Viljoen Consulting is an Internal Audit and Business Administration Specialist Company, wholly owned and run by Nikki Viljoen.
Nikki has more than 30 years of experience in this field, having spent a number of years in the Corporate World, both in the Financial and Retail Sectors.