ABSTRACT
This chapter outlines the ways in which internal audit can be the company's risk expert. Others with risk expertise may have a limited scope or constrained access to information. Risk likelihood is the probability that a risk will be realized. The following is intended to highlight ways in which internal audit can have a practical and immediate impact at improving management’s understanding of company risks. Impact is the effect that a risk has on the business when realized. Velocity is the speed with which risk manifests. Risk influencers are factors that drive the overall severity of a risk. At the top level, internal audit provides value by facilitating identification and assessment of catastrophic risks to an enterprise. Leverage the existing information collected on management levers and initiatives as a starting point to identify responsible risk owners. Risk appetite is frequently overlooked as a point of discussion.
