Risk mitigation and effective organization of meetings of Management Boards and Supervisory Boards is an important issue that has a real impact on the functioning of the organization – especially in regulated institutions, such as financial.
In recent years, the number of tools to analyze structured and unstructured data being the basis of reports has increased significantly. How to choose the best in practice? And why an internal audit is crucial for the organization's further activities?
On the November 25, 2019, during the C&F’s conference “Automatization of audit processes”, seven speakers in five panels presented a modern approach to auditing, involving the use of the latest technologies and tools that largely facilitate the work of auditors, allow automation and more efficient workflow related to audit processes, and as a result, provide management and supervisory boards with assurance that the company is aware of the challenges and threats in the implementation of the strategy, and processes in the company.
Digital transformation
Digital transformation in enterprises introduces a multi-level process. At the top of the pyramid are digital innovations, i.e. the introduction of new products, services or business models. Behind them, transforming key products, i.e. enriching them with digital functionalities. At its core lies an organizational culture geared for thinking about digital innovation.
“During the meeting, we presented the concepts and automation of audit processes. We discussed how you can effectively search for data in an organization's collections. We looked at the audit from a legal perspective, and also showed the possibilities of Blockchain technology to meet the requirements of durable media,” Jan Anisimowicz, Director Audit, Risk & Compliance at C&F, explained.
Elastic Data Discovery
The narrow scope of data analysis, manually selected data and reports prepared in paper form – it is long behind us. Manual auditing is becoming a thing of the past – in order to cope with today's information overload, an organization must look at its activities holistically.
“We are entering the declining phase of existing audit forms. The digitization of audit processes has only just begun, and current implementations of solutions supporting digitization require many adjustments, especially aspects related to automation and robotization, topics that are becoming increasingly important for Polish enterprises,” Jacek Wróblewski, Product Owner, AdaptiveGRC Solution Architect, said.
As much as 67 percent of banks and financial institutions admitted that they are unable to develop new applications and systems. At the same time, the pressure on such organizations is escalating. Only between 2012 and 2017, the number of consumers using digital channels increased by 354 percent and the percentage of people using mobile applications increased threefold. How to use modern tools and advanced technologies, and above all to improve the audit processes that are the foundation of changes?
“In our panel, I presented the audit issues, focusing step by step on the methodology, taking into account sector regulations, in particular, banking law and the Act on insurance and reinsurance activity,” Barbara Matasek, ODO 24, assumed.
In recent years, auditors have received tools that allow analyzing structured and unstructured data that is the basis for preparing reports. These tools allow changing the approach to the study in such a way that the auditor can analyze significantly larger data samples, and sometimes even entire data populations. All these elements constitute the fact that internal audit is an activity whose purpose is to add value and streamline the organization's current operating activities as well as provide data to change plans introducing improvements and optimization for the future.
Data security
A durable medium is a medium that makes it impossible to change the content of documents in a technological way. Actually it is a crucial issue concerning data security. This provides protection for consumers against entrepreneurs who implement unfair practices.
“The S³DOC (Secured Solid State Documents) system is an EU-wide IT system that has the characteristics of a durable medium. These features are guaranteed by internationally recognized cryptographic techniques and methods. The system is supported by blockchain technology. S³DOC is the answer to the problem of providing documents such as important contract terms, fee and commission tables, regulations and other documents on a durable medium,” Robert Pardela, CEO BCHAIN PARTNER, said.
In his opinion, the S³DOC system represents a quite new generation of durable media.
