A chief audit executive (CAE) is trying to balance the internal audit activity's needs for technical audit skills, budget efficiency, and staff development opportunities. Which of the following would best assist the CAE in achieving this balance?
A chief audit executive (CAE) is trying to balance the internal audit activity's needs for technical audit skills, budget efficiency, and staff development opportunities. Which of the following would best assist the CAE in achieving this balance?
Strategic sourcing involves identifying and partnering with external service providers to supplement the internal audit team's capabilities. This approach allows the CAE to leverage specialized technical skills on a flexible basis without the long-term costs associated with hiring full-time employees. It optimizes budget efficiency and provides access to high-level expertise when needed. Additionally, it allows for internal staff development by exposing them to external experts and varied audit engagements.
Strategic sourcing involves identifying and partnering with external service providers to supplement the internal audit team's capabilities. This approach allows the CAE to leverage specialized technical skills on a flexible basis without the long-term costs associated with hiring full-time employees. Strategic sourcing can provide access to high-level expertise when needed, optimize budget efficiency, and still allow for internal staff development by exposing them to external experts and varied audit engagements. However, a hierarchical structure can provide clear lines of authority and responsibility, which can be beneficial for managing larger teams. However, it does not directly impact the availability of technical audit skills or budget efficiency. It can sometimes limit flexibility and agility in sourcing necessary skills.