As these shifts have occurred, the internal auditor’s profile has grown, says John Higbee, a member of the audit committee with Rex Energy Corp., based in State College, Pa. Just a few decades ago, internal audit rarely was considered members of a company’s leadership team. Not any more. “They’re looked upon by the audit committee as their eyes and ears,” Higbee says.

What’s more, because they analyze processes across departments and look “into the bowels of the organization,” internal auditors can help companies operate more effectively, says Mary Beth Vitale, chair of the audit committee with CoBiz Financial, a Denver-based financial services firm. “They have a unique view of the company.”

Arm’s-Length No More

At the University of Colorado, the change has been noticeable, says Joseph Tinucci, assistant treasurer. Until a few years ago, internal audit’s role “was to review after-the-fact, stay an arm’s length away from any processes or procedures they reviewed – that is, not give any advice – and find problems.” More recently, the audit function has taken a more consultative approach; for instance, they’ve helped set up security and internal controls as new systems have been implemented. “This change in perspective – from corporate cop to internal consultant – is refreshing and long overdue,” Tinucci says.

In order for these changes to occur, however, the skill set required of the internal audit staff has to change, as well. While knowledge of accounting principles remains important, it’s no longer enough, Chambers says. Industry expertise is critical in enabling auditors to offer sound insight into risk management and operating processes. Strong interpersonal skills also are key; with them, internal auditors are better able to steer their colleagues in the right direction, rather than focus on fixing problems after they’ve occurred, Vitale adds.