2026 Internal Audit Plan

Appendix 7A: Case Study—Developing a Multi-year, Risk-based Internal Audit Plan for a Retail Chain

Large Audit

Table: Audit objectives for large audit engagements for the year 2026.
Engagement Title	Audit Objective Description
IT Systems and Infrastructure Audit	This audit evaluates the robustness, security, and efficiency of IT systems and infrastructure across Buy and Large. The audit will focus on system capacities, data integrity, and the alignment of IT infrastructure with strategic business goals. It will also assess the effectiveness of the IT department in managing hardware, software, and network resources, ensuring they meet future business needs and compliance requirements.
Strategic Alignment Audit	This audit will assess the alignment of operational strategies with the strategic goals of Buy and Large. The focus will be on integrating strategic plans across various departments and how well these plans are communicated and understood throughout the organization. The audit will also evaluate the effectiveness of strategy implementation, including resource allocation and performance monitoring.

Table: Audit objectives for medium-sized audit engagements for the year 2026.
Engagement Title	Audit Objective Description
Supplier Relationship Management Audit	The audit will evaluate the effectiveness of supplier management practices at Buy and Large, focusing on supplier selection, performance monitoring, and compliance with contractual obligations. The objective is to assess the risk management practices related to supplier relationships and their impact on supply chain efficiency and reliability.
Customer Experience Audit	This audit will assess the effectiveness of Buy and Large’s customer service and experience strategies. It will focus on customer satisfaction levels, the efficiency of service delivery, and the effectiveness of feedback mechanisms. The audit aims to identify gaps in customer service and recommend improvements to enhance overall customer satisfaction and loyalty.
Risk Management Framework Audit	This audit aims to evaluate the effectiveness of the risk management framework in identifying, assessing, managing, and monitoring risks across Buy and Large. The audit will focus on integrating risk management into corporate governance and operational processes.

Table: Audit objectives for small audit engagements for the year 2026.
Engagement Title	Audit Objective Description
Business Continuity Planning Review	This audit will evaluate the effectiveness of business continuity plans at Buy and Large, focusing on the readiness to handle disruptions such as IT failures, supply chain interruptions, or natural disasters. The objective is to assess the adequacy of these plans in ensuring the continuity of critical business functions and services.
Compliance Training Programs Review	The audit will assess the comprehensiveness and effectiveness of compliance training programs provided to employees at Buy and Large. The objective is to evaluate whether these programs adequately prepare employees to comply with legal, regulatory, and ethical standards and whether they are effectively communicated and understood across the company.
Economic Impact Review	This review will assess the long-term economic impacts on Buy and Large, focusing on the company’s strategies to mitigate potential economic shifts and their effectiveness. The review will consider external economic indicators and an internal financial plan to determine the company’s preparedness for economic downturns.

Table: Objectives for consulting engagements for the year 2026.
Engagement Title	Audit Objective Description
IT Security Consulting	This project will build on previous audits to further enhance IT security measures at Buy and Large. It will involve developing advanced strategies for cybersecurity, including threat detection, incident response, and prevention measures. The project aims to fortify the company’s defences against evolving cyber threats.
Supply Chain Optimization Consulting	Based on previous audit findings, this consulting project aims to optimize the supply chain processes at Buy and Large to improve efficiency and reduce costs. It will involve a comprehensive analysis of current supply chain operations and the development of strategies to streamline processes, enhance vendor relationships, and improve inventory management.

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