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Who assesses the quality of the assessors' work? For APIP, the answer lies partly in peer review: another APIP comes to review whether an agency's internal oversight conforms to the standards and the code of ethics. Its implementation is regulated by the auditors' professional organization, the Indonesian Government Internal Auditors Association (AAIPI), with guidelines updated in June 2024.
This article covers the legal basis of peer review, its relationship with the SAIPI standards and APIP capability, who carries it out, its methods and scope, the assessment scale, the report, and the follow-up. References checked as of 23 October 2026. For a comparison with the external assessment of university SPIs, read the article university SPI capability.
What Is APIP Peer Review?
Peer review is a review by equals to maintain the quality of APIP audit results. Government Regulation 60/2008 Article 55 paragraph (1) states that peer review is carried out periodically to maintain the quality of audit results, and paragraph (2) states that its guidelines are prepared by the professional organization of auditors. The elucidation of paragraph (2) adds that, until such guidelines exist, the guidelines from the ministry responsible for state apparatus are used.
Peer review is part of the quality assurance and improvement program (QAIP). The AAIPI guidelines distinguish internal review, carried out by the APIP itself, from external review by another APIP, called External Peer Review (TSE).
What Are the Legal Basis and Standards That Govern It?
| Documents | Relevant content |
|---|---|
| Government Regulation 60/2008 Article 55 | Peer review is carried out periodically to maintain the quality of APIP audits; the guidelines are prepared by the professional organization of auditors |
| SAIPI 2021 (AAIPI Chairperson Regulation PER-01/AAIPI/DPN/2021) | Standard 1310: the QAIP must include internal and external assessment. Standard 1312: external assessment at least once every 5 years by a competent team that is independent from outside the organization. Standard 1320: the head of the APIP reports the QAIP results to the head of the ministry, agency, or regional government. Standard 1321: a statement of “conducted in accordance with SAIPI” may only be made if supported by QAIP results |
| External Peer Review Guidelines (Decision of the Chairperson of the AAIPI DPN KEP-06/AAIPI/DPN/2024) | Issued 4 June 2024. Revokes KEP-43/AAIPI/DPN/2019 and is aligned with SAIPI 2021. Regulates team qualifications, methods, frequency, conclusion scale, quality assurance, reporting, and follow-up |
| BPKP Regulation 6/2025 | Does not mention the term peer review, but internal and external QAIP form part of the engagement quality control topic under the engagement professionalism element |
Note that the frequency figures differ. Standard 1312 of SAIPI 2021 states external assessment at least once every five years, whereas the 2024 TSE Guidelines set external review by another APIP at least once every three years. The newer guidelines are stricter, so use three years as the planning benchmark and read both when drafting policy.
On the newer standard: the AAIPI website still lists SAIPI 2021 as the official standard, while the 2025 work program of the Standards Committee includes plans to align with the Global Internal Audit Standards. No new GIAS-based SAIPI had been issued at the time this article was written. General internal audit standards are discussed in the article internal audit standards in Indonesia.
Who Carries Out External Peer Review?
- Executor: Another APIP as the review team, coordinated by the AAIPI Peer Review Committee.
- Submission: A ministry-level or provincial APIP submits a request to the Peer Review Committee with a copy to the AAIPI Chairperson. A district or city APIP submits it to the DPW Peer Review Committee with a copy to the DPN Committee.
- Team qualifications: objective and independent, certified auditors, competent in internal audit practice under SAIPI, and holding a TSE training certificate from the Peer Review Committee of the AAIPI DPN. Other certifications such as CIA, CFE, CISA, or QIA are listed as indicators of competence.
What Are the Scope and Methods?
The 2024 TSE Guidelines divide the scope into four matters. Only the first is assessed quantitatively and counted in the score.
| Scope | Assessment Method |
|---|---|
| a. Conformity of internal oversight with SAIPI | Quantitative, using the Review Working Papers; the score enters the conclusion |
| b. Application of the code of ethics | Qualitative, as an area for improvement |
| c. Efficiency and effectiveness of internal oversight | Qualitative, as an area for improvement |
| d. Fulfillment of stakeholder expectations | Qualitative, as an area for improvement |
There are three methods: a survey to collect general information on the code of ethics, effectiveness, and stakeholder expectations; document review, including processes, reports, risk assessments, and working papers; and interviews to probe the survey results or to confirm the actual conditions behind the document review results.
What Is the Peer Review Conclusion Scale?
The final conformity score is grouped into five categories according to Table III.1 of the guidelines.
| Conclusion Category | Level of Conformity |
|---|---|
| Very Good | 90% to 100% |
| Good | 80% to 89.99% |
| Fair | 65% to 79.99% |
| Not enough | 55% to 64.99% |
| Very Poor | below 55% |
The guidelines note that the Very Good category may still have room for minor improvement. If the result is Very Good or Good, the APIP should include a statement of conformity with the standards in its oversight reports, in line with SAIPI Standard 1321.
What Does the Report Contain and How Is It Followed Up?
- TSE report contents: conclusion, good practices, findings and recommendations, areas for improvement, and the response and action plan of the reviewed APIP.
- Timing: the report is sent to the reviewed APIP and to the Committee no later than 10 working days after the Quality Assurance Minutes.
- Quality assurance: the interim score is not final and may change after QA. QA governance was only regulated in the 2024 edition and did not exist in the previous edition.
- Follow-up: recommendations are monitored and reviewed at the next TSE, at most three years after the review. The results of the follow-up review may affect the next review.
The foreword of the guidelines states that the aim is to accelerate the improvement of APIP capability toward level 3 and even level 4 if carried out continuously. An explanation of the capability levels and elements can be found in the article APIP capability.
How Can an Inspectorate Prepare for Peer Review?
The following steps are an example of a working approach, not a requirement of the guidelines.
- Carry out the internal review first. Use the checklist of SAIPI conformity questions to find gaps before the review team arrives.
- Tidy up the policy documents. The oversight charter, audit guidelines, and code of ethics must be consistent with practice.
- Ensure engagements are consistent with the PKPT. Every engagement must be traceable to the PKPT, work program, working papers, and report. PKPT planning is discussed in the article Inspectorate PKPT.
- Prepare evidence of follow-up monitoring. The list of recommendations, their status, and their deadlines must be easy to show.
- Prepare a stakeholder satisfaction survey. The guidelines include the fulfillment of stakeholder expectations as an area of review.
- Respond to the results with a measurable action plan, because the report contains the response and action plan of the reviewed APIP.
How Does Internal Audit Software Help?
Audithink does not conduct peer reviews, does not assess conformity with SAIPI, and does not replace the Peer Review Committee. Audithink is internal audit management software with six main features: risk assessment, audit planning, work program templates, notifications, follow-up monitoring, and automated reports. What it helps with is the tidiness of the material to be reviewed: a risk-based plan, uniform work programs, monitored deadlines, and recorded follow-up status of recommendations.
FAQ on APIP Peer Review
What is APIP peer review?
Peer review is a periodic review by another APIP to maintain the quality of internal oversight, based on Government Regulation 60/2008 Article 55. Its implementation guidelines are prepared by AAIPI as the professional organization of auditors.
How often is external peer review carried out?
The AAIPI 2024 TSE Guidelines set it at least once every three years. Standard 1312 of SAIPI 2021 states that external assessment is required at least once every five years, so the three-year benchmark from the newer guidelines is safer for planning.
Who may serve as a reviewer?
Certified auditors from another APIP who are objective and independent, competent in internal audit practice under SAIPI, and hold a TSE training certificate from the Peer Review Committee of the AAIPI National Executive Board (DPN).
What are the peer review conclusion categories?
Five categories: Very Good (90% to 100%), Good (80% to 89.99%), Fair (65% to 79.99%), Poor (55% to 64.99%), and Very Poor (below 55%).
Must the Inspectorate undergo peer review?
Government Regulation 60/2008 Article 55 requires peer review to be carried out periodically, and SAIPI Standard 1310 requires the QAIP to include external assessment. The details of the obligation per agency may differ, so check the policy of the APIP supervisor and the latest AAIPI guidelines.
How does peer review relate to APIP capability?
Internal and external QAIP form part of the engagement quality control topic under the engagement professionalism element in BPKP Regulation 6/2025. The 2024 TSE Guidelines also describe peer review as a driver for raising APIP capability toward level 3 and level 4.
Conclusion
Peer review means the quality of oversight is not merely self-claimed but tested by another party that understands the work. For an Inspectorate, the biggest benefit lies in a concrete action plan: peer review findings are a list of improvements that can be monitored, just like the recommendations given to auditees.
If your Inspectorate wants to tidy up its plans, work programs, and follow-up monitoring as review material, schedule an Audithink demo.
