| Goal 3 Report |
Knowledge Sharing
V.J. Kaul, Comptroller and Auditor General of India and the board's liaison to goal 3-Knowledge Sharing, presented his report to the Governing Board and the XIX INCOSAI. According to the INTOSAI strategic plan, the purpose of goal 3 is to "encourage SAI cooperation, collaboration, and continuous improvement through knowledge sharing, including providing benchmarks, conducting best practice studies, and performing research on issues of mutual interest and concern." To achieve this, a detailed action plan was created in consultation with the INTOSAI Secretary General to
- establish new and maintain existing working groups;
- facilitate best practice studies, consistent with diversity and sovereignty considerations;
- develop a global communication policy and strategy; and
- promote partnerships with academic and research institutions, consistent with INTOSAI's independence requirements.
Under this framework, Mr. Kaul reported the following significant progress and key accomplishments:
- New guidelines and best practices have been developed in several areas, including: public debt audit, IT audit, and environmental audit.
- INTOSAI's global communication plan, developed in close coordination with INTOSAI's Secretary General and Director of Strategic Planning, was approved at the 55th Governing Board meeting. INTOSAI adopted this plan as its official communication policy, and it has been translated into its five official languages.
- The global collaboration tool (a Web-based communication tool available at http://www.intosai.org) was developed and launched in INTOSAI's five official languages. More than 500 users from 95 countries have created online accounts, and the committee expects more intensive use of this tool in the future.
- The committee identified 10 key research areas for goal 3 working groups and task forces, identified two topics for a research competition (performance indicators and audit and forensic audit), and forwarded a framework for cooperation with professional associations and academic research institutions to the INTOSAI Secretariat.
The congress adopted a proposal to create a Knowledge Sharing Committee, chaired by the SAI of India, so that goal 3 would be consistent with the other three goals in the strategic plan.
Working Group and Task Force Accomplishments
The following sections summarize the activities and accomplishments of the goal 3 working groups and task forces.
Working Group on Public Debt
The Working Group on Public Debt has developed information, investigations on best practices in public debt management, domestic case studies, guides and guidelines, special reports, and databases related to public debt auditing. All of these documents are available at the group's Web site, http://www.intosaipdc.org.mx/index.html. In addition, the working group presented two documents that were endorsed by the congress: ISSAI 5422: An Exercise of Reference Terms to Carry Out Performance Audit of Pubic Debt and ISSAI 5440: Guidance for Conducting a Public Debt Audit-The Use of Substantive Tests in Financial Audits.
The working group also actively cooperated with the INTOSAI Initiative for Development (IDI) to improve public debt training. For example, the working group conducted the Public Debt Audit Workshop in May 2006 in Kazakhstan. The workshop was taught in Russian, and participants from the SAIs of Commonwealth of Independent States attended.
To strengthen the working group's role and promote best practices in public debt management, the group's 2007-2012 strategic plan identified activities for the coming years along with the group's mission, vision, and objectives. The plan was created, in part, to assist the INTOSAI community in addressing and analyzing public debt problems and promoting good administration of public debt around the world.
Working Group on IT Audit
The Working Group on IT Audit (formerly the INTOSAI Standing Committee on IT Audit (ISCITA)) recently completed three projects related to auditing and e-governance and produced two products (Auditing e-Government-Life Cycle Risks in e-Government Projects and Project on Auditing e-Government-An Information and Knowledge Sharing Initiative of ISCITA), which are available at the working group's Web site (http://www.intosaiitaudit.org). The SAI of India updated IT audit courseware, and the working group completed a project, in cooperation with IDI, to create an e-learning module on the updated courseware that is now available in both Web-based and CD formats.
The working group's Web site is an important tool in knowledge sharing about IT audit and provides access to reports, projects, and the group's official journal (intoIT). Currently, the site includes the 24th issue of intoIT, which focuses on training in IT audit, as well as the 25th issue, which focuses on IT governance. Because of the importance of the site, the working group's goal is to update it every 2 weeks.
The working group also has a number of ongoing projects. For example, the SAIs of China, Netherlands, and Pakistan-joined by the SAIs of Oman, Poland, and Zimbabwe-have undertaken a project on measures to counter fraud in an IT environment. Five additional projects on IT governance and e-government are in various stages of completion.
Working Group on Environmental Audit
The Working Group on Environmental Audit (WGEA) has made significant progress in executing the six goal areas set out in its 2005-2007 work plan, which was approved at the XVIII INCOSAI. For example, the WGEA produced three guidance documents that increased the number and breadth of environmental auditing tools and a fourth document on cooperative environmental audits. In addition, the WGEA promoted training and capacity development by working with IDI to develop and deliver a 2-week training course. IDI's evaluation of this course found that SAIs sustained the knowledge acquired by course participants and that more than half of course participants went on to deliver local environmental audit training.
Starting in 2008, the SAI of Estonia became the WGEA's new Chair, taking over from the SAI of Canada. In addition, the WGEA steering committee developed a new long-term vision in 2007 that includes using the power of public sector audit to improve the environmental legacy for future generations. Lastly, the WGEA work plan for 2008-2010 was adopted; the plan is organized into five goal areas with climate change as the new central theme.
Working Group on Privatization, Economic Regulation, and Public-Private Partnerships
Given the expansion of the field of privatization audit (e.g., auditing the economic regulation of privatized services and audit issues surrounding public-private partnerships), the title of this working group was changed (from the Working Group on Privatization) to its current title to better reflect its scope of activities.
Since 2004, the working group has developed a series of technical case examples on privatization, public-private partnerships, and economic regulation, all of which are published electronically. To ensure that SAI training needs are met, the working group has also developed a network of experts to provide training and develop audit skills. To facilitate the exchange of information, the working group has worked with member SAIs to produce several joint audits and reports. For example, the National Audit Office of the United Kingdom, working with the SAI of the Russian Federation, produced a dictionary of privatization terms and concepts directed toward a Russian audience. The working group is also actively using the global collaboration tool as a primary knowledge-sharing medium among members. The congress endorsed a revised version of the working group's Guidelines on the Best Practice for the Audit of Public/Private Finance and Concessions.
In the future, the working group secretariat will look at ways to use the INTOSAI collaboration tool as a forum to provide online training and shared expertise. The group also plans to continue its efforts to strengthen relationships with related organizations, such as the Organisation for Economic Co-operation and Development. Finally, in preparation for the XX INCOSAI in 2010, the working group plans to continue making adjustments to published guidelines and technical case studies to reflect ongoing developments in the field.
Sir John Bourn, outgoing Comptroller and
Auditor General of the United Kingdom, has
chaired the privatization working group since
its founding in 1992.
Working Group on Program Evaluation
The Working Group on Program Evaluation presented the final version of Program Evaluation for SAIs: A Primer to the congress in CD format. The primer introduces SAIs to ways of making evaluation an integral part of their everyday operations and includes some basic concepts in program evaluation. Examples throughout the paper-taken directly from national audit institutions, professional evaluation associations, and other professional evaluation groups-support and amplify these concepts.
The primer discusses interrelationships between performance audit and program evaluation, as well as ways of developing crossover practices between the two. It clarifies challenges in planning and designing evaluations, pointing SAIs toward methods and resources for executing well-designed evaluations. It explores the development of new staff competencies and cultural change within the institution, as well as ways that SAIs can engage the community of external evaluation experts. The primer provides some future perspectives on strategic relationships between audit and evaluation societies, between INTOSAI work groups, and between public and private institutions.
The primer had its genesis in 1992 when the working group, chaired by France, was established at the 14th INCOSAI. The 15th INCOSAI in Cairo recommended in 1995 that the working group "elaborate a methodological framework that would facilitate evaluation work, including an overview of evaluation concepts, objectives and standards. This document should examine what changes are suitable in the organization and working methods of SAIs in order to allow them to implement evaluations." A draft was adopted at the 18th INCOSAI in Budapest in 2004, and the final draft was prepared by the group with major support by the U.S. Government Accountability Office.
Task Force on the Audit of International Institutions
The Task Force on the Audit of International Institutions, chaired by the Rigsrevisionen of Denmark, reported that it had accomplished the purposes for which it was created at the Budapest congress in 2004. Specifically, it had (1) coordinated and assisted in identifying international institutions that should have SAIs as their external auditors and that need to develop auditing arrangements that are in line with best audit arrangements, (2) cooperated with concerned SAIs to promote approved principles to relevant international institutions and relevant authorities to change audit arrangements, and (3) promoted SAIs as external auditors and assisted interested SAIs in preparing for such assignments. The work was carried out in cooperation with INTOSAI regions and other stakeholders. With the completion of its mandate, the task force was disbanded.
Working Group on the Fight against International Money Laundering
The congress approved a proposal that the Task Force on the Fight against International Money Laundering become a working group to facilitate its work with SAIs and international organizations and its ability to develop best practices that SAIs can use in their anti-money-laundering audits.
To achieve its mission of promoting an active role for SAIs in combating international money laundering, the working group has pursued three objectives: promoting international cooperation among SAIs and with other international organizations to combat money laundering; identifying and sharing policies and strategies to combat money laundering; and designing and promoting policies and strategies for SAIs to use within their authorities to combat money laundering. To achieve its first objective, the task force has taken several steps forward in its collaborative efforts with other organizations. For example, links to multilateral cooperation organizations have been established on the working group's Web site. In addition, cooperation agreements have been reached with the Egmont Group and the Financial Action Task Force on Money Laundering in South America (GAFISUD).
To achieve its second objective, a Web site (http://www.contraloria.gob.pe/task_force) was designed and implemented to share anti-money-laundering practices, procedures, and information. For the third objective, the Accounts Chamber of the Russian Federation hosted an international symposium and compiled a list of materials on anti-money-laundering audit practices.
Looking to the future, the congress approved a proposal to broaden the group's scope to include anticorruption efforts.
Working Group on the Accountability for and Audit of Disaster-related Aid
In November 2005, the INTOSAI Governing Board launched the Task Force on the Accountability for and Audit of Disaster-related Aid. Its overall objective was to formulate guidelines and best practices for SAIs and relevant stakeholders in order to have a potential audit trail in place before future disasters occur. By conducting pilot studies, the task force searched for a global audit trail for tsunami-related aid and also investigated the use of geographical information systems for planning, monitoring, and auditing aid flows. By promoting the open exchange of information, the task force tried to promote a meaningful and effective coordination of audits of disaster-related aid. It also tried to (1) enhance transparency in the flow of funds from donors to recipients and of information from recipients to donors and (2) identify the role of the international organizations (e.g., the United Nations, multilateral organizations, and nongovernmental organizations) in this area.
The congress approved the establishment of a working group as a successor to the task force. The congress endorsed the group's 2007-2010 work plan, which calls for broadening the group's scope from the accountability and audit of tsunami-related aid to disaster-related aid in general. The working group will develop guidelines for SAIs and best practices for national governments, international institutions, and nongovernmental organizations to enhance accountability in the field of disaster-related aid.
Saskia Stuiveling, President of the
Netherlands Court of Audit and outgoing
Chair of the working group on tsunami-related
aid, delivered her report to the Governing
Board.
The working group will report to the XX INCOSAI in 2010 after its 3-year mandate and will be chaired by the European Court of Auditors.
International Journal of Government Auditing Report
The annual report of the International Journal of Government Auditing was presented by David Walker, Comptroller General of the United States and Chairman of the Board of Editors of the Journal. He underscored the Journal's commitment to ensuring that its activities support the INTOSAI strategic plan, and expressed thanks to all SAIs for their support of the Journal, particularly the SAIs (Austria, Canada, Tunisia, and Venezuela) that provide pro bono translations of each issue into the official INTOSAI languages.
Mr. Walker highlighted the substantial progress made with the Journal's Web site, http://www.intosaijournal.org, including its many new functions (for more information, see page 2 of the April 2007 issue). With the enhanced Web site, the Journal is more useful to INTOSAI members, more accessible to its global readership, and more user-friendly. The Web site also allows the Journal to provide information more quickly. For example, the following screen shot shows the early reporting on XIX INCOSAI on the home page of the Journal Web site.
Bachchu Ram Dahal, Acting Auditor General
of Nepal, visited the Journal exhibit to access
the Journal Web site and review information
about his SAI.
One of the most useful features of the site is the member information section, which contains a list of all SAIs that belong to INTOSAI and detailed contact information for each one. Clicking on an SAI's e-mail address automatically opens an e-mail application on the reader's computer screen, allowing direct connections with colleagues in the INTOSAI community. In addition, by clicking on an SAI's name, the user will find past news items and articles about or by that SAI that have been published in the Journal over the years, as well as a direct link to the SAI's own Web site and a wealth of information and further contacts contained there. The Journal remains committed to supporting INTOSAI's motto-"Mutual Experience Benefits All"-and to helping individual readers connect with colleagues, information, and best practices throughout the accountability community.