Streamlining success: Improving a complex federal agency’s external audit process

A leading federal financial regulatory agency looked to Censeo to provide support in managing and continuously improving the external audit and oversight program after the program moved to a new division. External Auditors are evaluating the agency’s key operations including mission activities, statutory, and regulatory requirements, cybersecurity, financial management, and other core operational functions and develop recommendations for the agency based on these audits. Censeo reviewed the existing external audit management practices and gained a deep understanding of the external audit process to effectively assist the agency with streamlining their processes and improving their external audit recommendation closure rate.

Situation

A federal agency sought an expert advisor to review the existing external audit and oversight practices and provide support with managing the external audit tracking, maintaining, and reporting of Agency audit findings to both Agency leadership and external stakeholders. Censeo provided holistic program support that included developing program policies, procedures and communications related to the external audit and oversight program.

Approach

The team reviewed all existing documentation and procedures for the management of external audits at the agency. The team also gained a deep understanding of the external audit process, including the external auditors and the relationships between divisions and offices at the agency and the stakeholders involved in the external audit process. This led to the development of three primary components of work that the team assists with to support the external audit process. Execution of these tasks has allowed Censeo to become an integral part of the external audit program.

  1. Internal and external reporting.
    Censeo was tasked to assist with the management and tracking of external audits. This includes all regularly occurring data calls that are used to develop reports for Agency leadership and for external distribution. Our team primarily develops these reports and has created standardized processes that enable these reports to be developed quicker and more efficiently. Our team also reviews external reports for accuracy, and ensures they are routed through the appropriate channels of reviews and approvals before publishing publicly. Censeo has created templates and standards to ensure these tasks are carried out in a timely and accurate manner – a top priority for the client.
  2. Process Documentation.
    The client tasked Censeo with developing detailed Standard Operating Procedures (SOP) documentation and the external audit policy that outlines the complex external audit procedures at the Agency. The team rolled out these new documents with a Agency-wide roadshow that gave individuals an opportunity to meet the audit team, learn more about the external audit process, and ask questions about the new documents. The development of these documents helped to formalize the external audit process at the Agency, and established expectations for all stakeholders involved in the process. The team continues to develop additional job aids and supporting materials to ensure the external audit program is well known and understood across the agency.
  3. Software Integration.
    Since working with the agency, Censeo has started to explore software integration to improve the external audit process. The agency currently operates in silos with different departments owning each part of the audit process, complicating collaboration, which makes it difficult to ensure accurate, uniform reporting. The Chief Operating Officer, who joined the Agency within the last year, made it a long-term goal to increase collaboration within the Agency. Censeo is now helping our clients move towards this goal by exploring the various software options such as ServiceNow and Tableau to determine the best solution for our clients.