{"id":7703,"date":"2026-10-29T12:08:15","date_gmt":"2026-10-29T05:08:15","guid":{"rendered":"https:\/\/audithink.com\/?p=7703"},"modified":"2026-10-29T12:08:19","modified_gmt":"2026-10-29T05:08:19","slug":"global-internal-audit","status":"publish","type":"post","link":"https:\/\/audithink.com\/en\/blog\/global-internal-audit\/","title":{"rendered":"Transition to Global Internal Audit Standards (GIAS) 2025: Guidance and Key Changes"},"content":{"rendered":"
\"global<\/figure>\n\n\n\n

Photo by Vitaly Gariev on Unsplash<\/p>\n\n\n\n

Function internal audit<\/a> need to adapt to changes in risks, technology, and stakeholder expectations. Professional standards help auditor<\/a> maintain the quality and relevance of the examination.<\/p>\n\n\n\n

This article discusses the changes to the framework. IPPF<\/a>, five domains GIAS<\/a>, and implementation steps in company operations. The discussion also covers governance, auditor competency, and the digitalization of the audit process.<\/p>\n\n\n\n

Understanding the Background of the IPPF Framework Transformation<\/h2>\n\n\n\n

Changes in the business environment drive the internal audit function to continuously adapt to the organization's risks and needs. Through updates International Professional Practices Framework<\/em> (IPPF), The Institute of Internal Auditors (IIA) introduced Global Internal Audit Standards<\/em> (GIAS) to strengthen the quality and consistency of internal audit practices globally.<\/p>\n\n\n\n

Limitations of the Old IPPF in Facing the Complexity of Modern Business<\/h3>\n\n\n\n

The IPPF framework previously served as a key reference for the internal audit profession. However, technological advancements, regulatory changes, and increasing operational complexity demand a more adaptive audit approach.<\/p>\n\n\n\n

Risks such as cybersecurity, data misuse, and reliance on third parties also require increased attention. Auditors need to adapt their risk assessments and audit methods to remain relevant to business conditions.<\/p>\n\n\n\n

This need prompted updated standards that provide clearer guidance on governance, audit function management, and engagement execution. This allows internal audit to provide relevant risk assessments and help the organization achieve its objectives.<\/p>\n\n\n\n

The Urgency of Global Alignment of Internal Audit Standards by the IIA<\/h3>\n\n\n\n

The IIA developed GIAS to provide consistent professional standards for internal auditors across sectors and regions. These standards clarify the principles, requirements, and responsibilities that must be applied in carrying out the internal audit function. Using a common framework, global internal audit practices can be compared across organizations.<\/p>\n\n\n\n

Global alignment also helps organizations understand expectations regarding audit quality, independence, ethics, and auditor accountability. A uniform framework facilitates the application of professional practices without ignoring the different needs and contexts of each organization.<\/p>\n\n\n\n

For companies, implementing GIAS provides an opportunity to evaluate policies, refine audit methodologies, and enhance auditor competency. This step helps the internal audit function add value through more targeted oversight and recommendations.<\/p>\n\n\n\n

Analysis of Changes from IPPF to GIAS and the Structure of the 5 Main Domains<\/h2>\n\n\n\n

GIAS 2024 updates the IPPF framework with a more focused structure to support the implementation of internal audit standards. The framework consists of five interrelated domains, ranging from audit objectives to engagement execution. For an overview of its application in the internal audit environment, see Internal Supervisory Unit (SPI)<\/a> college, read GIAS 2024 discussion for SPI higher education<\/a>.<\/p>\n\n\n\n

The five main domains of GIAS include:<\/p>\n\n\n\n

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  1. Domain I \u2013 Purpose of Internal Auditing:<\/strong> explains the purpose of internal audit in helping organizations create, protect, and maintain value.<\/li>\n\n\n\n
  2. Domain II \u2013 Ethics and Professionalism:<\/strong> regulates the ethics and professionalism of auditors, including integrity, objectivity, competence, and confidentiality.<\/li>\n\n\n\n
  3. Domain III \u2013 Governing the Internal Audit Function:<\/strong> discusses the mandate, independence, oversight, and relationship of the audit function with the board and senior management.<\/li>\n\n\n\n
  4. Domain IV \u2013 Managing the Internal Audit Function:<\/strong> includes strategic planning, resource management, communication, and improving the quality of the audit function.<\/li>\n\n\n\n
  5. Domain V \u2013 Performing Internal Audit Services:<\/strong> organize assignment planning, implementation of inspections, delivery of results, and follow-up monitoring.<\/li>\n<\/ol>\n\n\n\n

    These five domains serve as a reference for organizations in building a consistent and effective internal audit function.<\/p>\n\n\n\n

    Unification of Mandatory Elements and Operational Guidelines in One Framework<\/h3>\n\n\n\n

    GIAS combines principles, standards, requirements, implementation considerations, and examples of evidence of conformity into a single framework. This structure helps auditors understand the requirements and how to apply them in their work. With this understanding, the global implementation of internal auditing can be more focused.<\/p>\n\n\n\n

    Organizations need to review existing audit policies and procedures to identify areas that are appropriate and aspects that still require adjustment.<\/p>\n\n\n\n

    Evaluation results can be used to update audit methodologies, prioritize improvements, and prepare necessary documentation. This makes GIAS implementation more focused and easier to evaluate.<\/p>\n\n\n\n

    Strengthening Governance (Governance<\/em>) and Synergy with the Audit Committee<\/h3>\n\n\n\n

    GIAS emphasizes the importance of governance that supports the independence and effectiveness of the internal audit function. This includes clarity of mandate, responsibilities, reporting lines, and oversight of audit implementation. Discussion on three lines model<\/a> can help clarify the division of roles between management, oversight functions, and internal audit.<\/p>\n\n\n\n

    The audit committee or relevant oversight body plays a role in supporting the internal audit function. A clear relationship with the head of internal audit helps ensure that significant findings, resource requirements, and audit implementation constraints are communicated appropriately.<\/p>\n\n\n\n

    Regular coordination also helps align the audit plan with the company's key risks. Discussions can include audit priorities, significant findings, and follow-up on recommendations.<\/p>\n\n\n\n

    Through clear governance and effective communication, the internal audit function can provide relevant information for oversight and support corporate decision-making.<\/p>\n\n\n\n

    Key to Implementing the IIA GIAS Standards for Internal Audit<\/h2>\n\n\n\n
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    Photo by Berke Citak on Unsplash<\/p>\n\n\n\n

    Implementing GIAS requires risk-based audit planning, competent auditors, and regular quality evaluations. These three aspects help ensure audit activities are effective and aligned with organizational objectives.<\/p>\n\n\n\n

    Continuous Risk Assessment (Continuous Risk Assessment<\/em>)<\/h3>\n\n\n\n

    Continuous risk assessment helps auditors identify changes in risks that could impact the achievement of company objectives. This process includes evaluating operational, financial, compliance, information security, and governance risks.<\/p>\n\n\n\n

    Auditors need to consider changes in business processes, technology use, regulations, and market conditions. The assessment results are used to determine audit priorities and tailor the audit plan to the level of risk faced by the company.<\/p>\n\n\n\n

    Companies can implement the following steps:<\/p>\n\n\n\n