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Strategies for Internal Auditors to Negate Intimidation and Victimisation the Grey Matters on Ethics Questions the Audit Committee Should Ask About It 100

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Strategies for Internal Auditors to Negate Intimidation and Victimisation the Grey Matters on Ethics Questions the Audit Committee Should Ask About It 100 APRIL/MAY 2015 I A ADVISER STRATEGIES FOR INTERNAL AUDITORS TO NEGATE INTIMIDATION AND VICTIMISATION THE GREY MATTERS ON ETHICS QUESTIONS THE AUDIT COMMITTEE SHOULD ASK ABOUT IT 100 LEADERS FORUM 8 June 2015 I Emperors Palace The IIA SA will be hosting the Leaders Forum, exclusively for Heads of Internal Audit (CAEs). This unique forum is an opportunity for like-minded, progressive CAEs to meet, maintain and enhance their networks, listen to high-profile speakers and be exposed to new trends. In addition, pertinent issues affecting the profession will be discussed. Please visit the IIA SA website: www.iiasa.org.za for more information and to register. CONTENTS MESSAGE FROM THE CHIEF EXECUTIVE OFFICEr 5 WELCOME TO NEW MEMBERS 8 STRATEGIES FOR INTERNAL AUDITORS TO NEGATE 23 INTIMIDATION AND VICTIMISATION 10 LIST OF OccUPATIONS IN HIgh DEmaND: 2014 12 MICROFINANCING: INNOVATION OR CURSE 14 THE GREY MATTERS ON ETHICS 19 26 QUESTIONS THE AUDIT COMMITTEE SHOULD ASK ABOUT IT 23 CORPORATE SA IS STILL faILING TO INCLUDE WOMEN 26 FEEDBack FROM THE 2014 NaTIONAL CONFERENCE 28 BOOK REVIEWS 34 BOARD OF DIRECTORS e-mail: [email protected] REGIONAL GOVERNORS Chairman: Riaan Thiart CIA Central Region: Refilwe Mocwaledi Vice Chairman: Vonani Chauke CIA Eastern Cape - Border Kei: Norman Trimaley Directors: Faith Burn Eastern Cape - Port Elizabeth: Veronique Reddy Paresh Lalla Gauteng - Johannesburg: Bukkie Adewuyi Paresh Lalla CIA Gauteng - Pretoria: Muthelo Madzivhandila Oupa Mbokodo CIA KwaZulu Natal: Alexander Winterbach Tshepo Mofokeng Limpopo: Moloto Mokwele Rudzani Nemaangani CIA Mpumalanga: Tony Mancos Rob Newsome CIA North West: Sikhuthali Nyangintsimbi Molefi Nkhabu Northern Cape: Johannes van Tonder Jan Opperman Western Cape: James Gourrah CIA Dion Poole CIA Lesotho: Liteboho Mokuena Kameetha Singh Namibia: Julian Beukes Arno Vorster Swaziland: Wesley Mndzebele Chief Executive Officer: Dr Claudelle von Eck Past President: Shirley Machaba Past Past President: Justine K Mazzocco IA ADVISER April/May 2015 | 3 MESSAGE FROM THE CHIEF EXECUTIVE OFFICER Institute of Internal Auditors South Africa Unit 2, Bedfordview Office Park Bedfordview , 2008 P O Box 2290, Bedfordview, 2008 Telephone: +27 11 450 1040 Facsimile: +27 11 450 1070 IIA SA Website: www.iiasa.org.za IIA Global Website: www.globaliia.org Business Hours: Mon - Thurs: 08h30 - 17h00 Friday: 08h30 - 16h00 Accounts / Finance: Warren Elbourne e-mail: [email protected] fax: 086 685 0163 Although I have some really important Insti- year now appears in both PDF and Flash Bookstore: Xolisile Vuyiswa Mngwevu tute related news to share with you, it would with video clips. I encourage you to read e-mail: [email protected] fax: 086 685 0164 be remiss of me to not first pause and say a the IR as it is filled with information on what Certification: Tina Wolmarans few words around recent events that have is happening in the land of the IIA SA. e-mail: [email protected] fax: 086 685 0162 rocked our country and cast us in a very Communications and Business bad light. The recent spate of xenophobic Firstly, you should be aware of a significant Development: Val Brazao e-mail: [email protected] attacks should probably not have come as a shift in the South African qualifications CPD: Jenine Dresse surprise to us. Many of us have been warn- landscape which has seen the establish- e-mail: [email protected] fax: 086 685 0161 ing for a while now that we are sitting on a ment of the Quality Council for Trades and Learnerships: time bomb as the gap between the haves Occupations (QCTO) under the South Afri- Lawrence Chetty: e-mail: [email protected] and have-nots continuous to widen. While can Qualifications Authority (SAQA). As is Membership: Stephanie Erasmus e-mail: [email protected] most of us have preferred to only comment implicit in its name, SAQA is the custodian fax: 086 685 0160 from afar, we have now received a wake-up of qualifications in South Africa. You will Regions: Nazlie Ismail e-mail: [email protected] call. This affects all of us and none of us can start to hear more and more about SAQA, fax: 086 572 4301 distance ourselves from what has been fes- especially in the light of the fact that we Technical: Charles Nel CIA e-mail: [email protected] tering within. It is going to take a collective have seen so many high profile cases of in- fax: 086 685 0165 effort as South Africans and SA institutions dividuals falsifying their qualifications in re- Advertising For advertising enquiries contact to combat what has become an embarrass- cent times. The Skills Development Act has Queen Sithole: [email protected] ing exposure of the rot that is building up. made provision for quality councils under If you need to change your details please e-mail [email protected] It is important that we send a clear message SAQA to oversee the establishment, regis- Editorial / Article Submission to the world that South Africans will not al- tration and maintenance of qualifications. Val Brazao: [email protected] low a minority to define who we are as a These councils oversee the registration of Charles Nel: [email protected] people. In this context the IIA SA says NO to qualifications in the three main spheres of To submit an article e-mail: [email protected] xenophobia and NO to violence against our education and training. While the coun- ISSN 2079-729X fellow human beings. cils for the schooling (Amalusi) and higher Published by the Institute of Internal Auditors South Africa and supplied gratis to members. The IIA SA does education (CHE) sectors have long been not accept responsibility for any opinions expressed by the contributors or correspondents, nor for the ac- Now, having said that, let me turn to the is- established, the council overseeing trades curacy of any information contained in contributions, sues directly affecting the Institute. My in- and occupations has only recently been es- advertisements or correspondence in this publication. All material submitted for consideration is subject to tention is to only focus on news not already tablished. As a result, professional qualifica- the discretion of the Editor and the Editorial Team. The Editor reserves the right to edit all material. Advertise- covered in our Integrated Report which is tions had in the past been registered direct- ments do not constitute an endorsement. accessible to all on our website. I am really ly with SAQA. With the establishment of the proud of our Integrated Report, which this QCTO, all professional qualifications must IA ADVISER April/May 2015 | 5 MESSAGE FROM CHIEF EXECUTIVE OFFICER now be registered with the QCTO as their direct registration with Director Jan Opperman Newly elected SAQA is expiring this year. This basically means that the IIA SA has to re-register its current learnerships under the QCTO. The Institute Director Kameetha Singh Newly elected has therefore now kick-started the registration of the national inter- Director Faith Burn Newly elected nal audit qualifications. We have had our first scoping meeting with Director Tshepo Mofokeng Newly elected the QCTO and various stakeholders and I am pleased to announce that the IIA SA has been appointed the Development Quality Part- We congratulate all of those who were elected to serve on the Board. ner for the registration of the internal audit qualifications. What does With a professional body that has a lot of complexity to deal with, the this mean for our learnerships? These qualifications essentially will Board is kept very busy and is often confronted with tough decisions be our current learnerships now recognised as national qualifications to make. These are the people who make decisions on behalf of your under the QCTO and will underpin our designations IAT and PIA. This Institute and have a significant impact on the direction the profes- is good news for the profession. Those currently in our programs will sion takes in the local context. This is a significant burden. Exercising not be affected, but once the national qualifications are registered, leadership is not always an easy thing to do. In actual fact, more often new entrants will go through the new process. You will not feel the than not it is difficult as one has to be brave while taking people to difference as the process will remain much the same. a new reality at a pace that the majority can absorb. It is therefore imperative that we give the Board our support. Another important piece of news that I need to share with you is the outcome of the AGM which was held on 22nd April 2015. Beside the I do want to spend a minute talking to our members about the es- election of the directors, members also voted on changes to the By- tablishment of the Academy as it is important that you fully under- laws and the establishment of a subsidiary under the Institute to sat- stand the rationale for it. Currently the Institute is responsible for the isfy the QCTO requirements for the new national qualifications. Both roll-out of the learnerships as well as the assessment process. Under the changes to the Bylaws and the establishment of the Academy the QCTO’s procedures, provision is made for two functions for the (subsidiary) were approved by an overwhelming majority of those occupational qualifications. The one is the Skills Development Part- who voted. ner (SDP) and the other the Assessment Quality Partner (AQP). The former is responsible for offering the training that accompanies the Your new Board now consists of: qualification and the latter the assessment that ascertains compe- Newly elected in this Chairman Riaan Thiart position tence at the end of the training process.
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