Topic 5: Exercise Due Professional Care

Due professional care calls for the application of the care and skill expected of a reasonably prudent and competent internal auditor in the same or similar circumstances. Internal auditors are expected to act responsibly in all professional situations. This includes taking appropriate actions when confronted with challenges such as investigating suspicious activities rather than ignoring them.

In exercising due professional care during assurance engagements, auditors need to consider the probability of significant errors, irregularities and noncompliance as well as the cost of assurance in relation to potential benefits.

Examples of due professional care principles for assurance engagement include:

• Working knowledge if The IIA's standards
• Understanding of the Committee of Sponsoring Organization of the Treadway Commission (COSO) framework of internal control
• Awareness of organizational objectives, goals and strategies

Example of not exercising appropriate due professional care:

• Failure to recognize and indicator or red flag
• Performing an internal audit of each department in every 3 years regardless relative risk or importance of the department.

Examples of due professional care in consulting engagements:

• A working knowledge of The IIA's standards
• An understanding of the organizational objectives for consulting engagement.
• Providing objective comments about the proposed process or activity.