According to IIA guidance, which of the following individuals would best be considered independent for the purpose of participating in an external assessment of the quality assurance and improvement program for an internal audit activity (IAA)?
According to IIA guidance, which of the following individuals would best be considered independent for the purpose of participating in an external assessment of the quality assurance and improvement program for an internal audit activity (IAA)?
The best individual considered independent for the purpose of participating in an external assessment of the quality assurance and improvement program for an internal audit activity (IAA) would be a competent employee of an independent external organization that provides co-sourcing services to the IAA. This individual would not have any ties or previous engagements directly with the organization, ensuring greater objectivity and independence. Options A, C, and D all involve individuals with some level of prior engagement or affiliation with the organization, which could compromise their independence.
Why not B?
In cases B, C and D, the individual remains directly or indirectly linked to the organization.
because ex-employee will have a better understanding to the company operations,
If the evaluation is done in the 5th year (for example) the employee who resigned 3 years ago knows the organization. It complies with the one-year timeframe comparable to the IIA standards. In order for him to remain independent, he may not have to evaluate (give assurance) about the operations he has performed.