On January 9, 2025, the Institute of Internal Auditors (IIA) officially implemented its new Global Internal Audit Standards, ushering in a new era in the field of internal auditing. Originally released in January 2024 as part of the broader International Professional Practices Framework (IPPF) Evolution project, these standards aim to strengthen internal audit effectiveness and ensure a more uniform approach to internal audit practices worldwide.
Over the past year, the new Standards have garnered significant global recognition, with translations into 25 languages and nearly 600,000 downloads. This widespread adoption underscores their importance in shaping internal audit practices for the future. The IIA has emphasized that the updated Standards are designed to elevate internal audit performance, enhance consistency, and improve audit quality across various industries and sectors.
Key Updates and Enhancements
1. Strengthening Internal Audit Strategy
The new Standards introduce an emphasis on strategic alignment, ensuring that internal audit functions contribute meaningfully to an organization’s overall objectives. This is particularly crucial as businesses navigate an increasingly complex and rapidly evolving risk landscape.
2. Enhanced Stakeholder Relationships
Internal auditors often work closely with executive management, audit committees, and external stakeholders. The new Standards enhance guidance on stakeholder engagement, ensuring that internal auditors effectively communicate risks, findings, and strategic recommendations to leadership.
3. Performance Measurement and Accountability
A major enhancement in the updated Standards is the focus on measuring internal audit effectiveness. The Standards introduce new performance metrics and accountability mechanisms that help organizations assess the value added by internal audit functions.
4. Governance Framework Improvements
Organizations today must be agile in responding to regulatory, technological, and financial challenges. The new Standards outline updated governance frameworks that enable internal audit departments to operate with greater adaptability, helping organizations maintain resilience in the face of uncertainty.
5. Specialized Guidance for Public Sector and Small Internal Audit Functions
Recognizing the diverse nature of internal audit functions, the IIA has included sector-specific guidance for auditors working in government agencies and small audit teams. This inclusion ensures that the Standards are applicable and beneficial across all organizational structures.
6. Flexibility to Adapt to Regional and Industry-Specific Challenges
Internal audit challenges vary across industries and geographies. The new framework offers greater flexibility, allowing organizations to tailor their internal audit methodologies while maintaining alignment with global best practices.
7. Cybersecurity-Specific Standards
With cybersecurity threats on the rise, the new Standards provide explicit guidance on cybersecurity auditing, ensuring that internal auditors are well-equipped to assess an organization’s cyber resilience and response capabilities.
Global Adoption and Implementation
Since their release, the IIA has actively supported the global adoption of the new Standards. Educational resources such as webinars, workshops, virtual courses, and conference sessions have been offered to internal auditors, Board members, and senior executives to facilitate early implementation.
Anthony Pugliese, President and CEO of the IIA, described the transition to the new Standards as a “pivotal achievement” in advancing the internal audit profession. He emphasized the importance of agility and adaptability in meeting the evolving demands of the field.
The Future: Topical Requirements and Expanded Guidance
The IPPF evolution is set to continue in 2025 with the release of Topical Requirements, which provide assurance guidelines on key risk areas. The first Topical Requirement on Cybersecurity will be released in multiple languages in February, followed by additional guidance on:
- Third-Party Risk
- Corporate Culture Auditing
- Business Resiliency
Benito Ybarra, IIA Executive Vice President of Global Standards, emphasized that these Topical Requirements will address the most pressing global risks, ensuring that internal audit practitioners can assess and respond to priority risks in a standardized and effective manner.
The new Global Internal Audit Standards represent a significant milestone for the internal audit profession. By strengthening governance, performance measurement, strategic alignment, and stakeholder relationships, these Standards ensure that internal auditors remain valuable partners in organizational risk management and decision-making.
For organizations and internal audit professionals, the transition to these new Standards presents a unique opportunity to enhance audit quality, improve risk management, and contribute more effectively to strategic objectives. As businesses continue to face evolving risks, the adoption of these Standards will be essential in ensuring internal audit functions remain resilient, agile, and impactful in the years to come.
For more information on implementing the new Standards, visit the Institute of Internal Auditors’ official website or explore their range of educational resources and training programs.