The role of internal audit is to provide independent assurance that an organization's risk management, consistency of Product and internal control processes are operating effectively.

1. INTERNAL AUDIT MECHANISM- E.A.R.S MODEL

2. What is internal audit?
The role of internal audit is to provide
independent assurance that an organization's
risk management, consistency of Product and
internal control processes are operating
effectively.

3. What is its Value & Objective to the
organization?
• Internal auditors/ Training Dept. deal with issues that are
fundamentally important to the survival and prosperity of
any organization. Unlike external auditors, they look
beyond financial risks and statements to consider wider
issues such as the organization's reputation, growth, its
impact on the environment and the way it treats its
employees.
• Internal auditors help organizations to succeed. It is done
through a combination of checks with Scoring pattern. The
assurance part involves telling managers how well the
systems and processes designed to keep the organization
on track are working. Action Planning helps to improve
those systems and processes where necessary.

4. Impact of Audits on the 3 P’s
• Internal Audits are done based on monthly schedule for all departments of the
Destination.
• Audit assessment sheet are sent to the concerned dept. after audit with Scoring
is done.
• A tracking mechanism helps us strengthen the product, process and people
capability and hence helps us know where are we going wrong and what can be
done to rectify that particular complaint or process along with a dead line to take a
follow up on the same.
• We use E.A.R.S. Model for making an Action Plan for internal Audits which needs
to be sent back to the training dept. within 24 hrs of receiving the Audit
assessment sheet.
• This E.A.R.S Model has a column of Lost points which helps us in identifying the
key problem area and in turn helps us improving people productivity, product
delivery and stronger processes .

5. E.A.R.S. MODEL USED FOR MAKING AN ACTION PLAN
FOR INTERNAL AUDIT
• The best way to manage problems is to
prevent them from occurring. By developing
your team and providing ongoing coaching,
should be able to avoid or greatly reduce
many types of personnel challenges and
problems.
• However, situations will arise that require you
to discipline the staff working with you.

6. EXPLORE (E)
Identify the gap in performance by
observation, asking questions and listening
attentively.

7. ANALYSE (A)
Identify the root cause of the problem:
• Ask questions to determine the facts
• Determine accountability
• Follow documentation guidelines

8. RESPOND (R)
Decide on action to take:
• Additional training
• Informal coaching
• Verbal warning
• Written warning and gain commitment

9. MAKE IT STICK (S)
Taking follow-up, monitor progress and
acknowledge progress & efforts.
The person responsible is identified with the
date by which a follow up can be taken by the
Training Dept.

10. SPECIMEN COPY OF E.A.R.S ACTION PLAN

11. IMPORTANCE OF RIGHT EXECUTION:
Failure to address situations requiring
counseling can negatively affect team morale
and customer service, which ultimately impact
the departments sales and profits.

12. When counseling your team using the E.A.R.S. model you
will follow these 5 steps for conducting a discussion:

13. LETS PONDER….
BIG QUESTION:
IS IT REQUIRED OR
NOT???

14. Introduction of Vigilance Audit-
“LETS TAKE THE OWNWERSHIP”
Any EXCOMM Member, Internal Auditor, HOD
or Supervisor who feels something not being
right or finds a lapse in a Process or Product
shall mark a mail to the General Manager
within 24 hrs of finding as Vigilance Audit.

15. THANK YOU…