Core Control Audit of the
Office of the Correctional
Office of the Comptroller General
Objective and scope
The objective of this audit was to ensure that core controls over administration in financial management, contracting, travel and hospitality and human resources within the Office of the Correctional Investigator (OCI) are effective and result in compliance with corresponding legislation, policies, and directives.
The scope of this audit included an examination of a sample of transactions from each of the policies and directives indicated in appendix 1 of this report. The transactions were taken from fiscal year 2010.
The scope was limited due to memorandum of understandings with other Canadian Federal Institutions who are responsible on behalf of the Office of the Correctional Investigator for certain requirements in these policies and directives.
This audit was conducted in conformance with Government of Canada Internal Auditing Standards and the International Standards for the Professional Practice of Internal Auditing.1
With few exceptions, we found that the Office of the Correctional Investigator has complied with the legislation, policies, and directives in the areas of financial management, contracting, travel and hospitality and human resources. The areas for improvement included the need to retain documentation to support that departure procedures have been followed and the necessity to authorize vacation leave requests in advance.
Core controls over administration in financial management, contracting, travel and hospitality and human resources within the Office of the Correctional Investigator are effective and are generally executed in compliance with corresponding legislation, policies, and directives.
Areas of non-compliance were brought to the attention of management in the Office of the Correctional Investigator. Management has acknowledged the audit findings and has resolved to take action. The Office of the Correctional Investigator has provided the Office of the Comptroller General with the management action plan to address actions taken towards the findings. The Office of the Comptroller General will follow-up on the management action plan until all findings are resolved.
Brian M. Aiken, CIA, CFE
Assistant Comptroller General
Internal Audit Sector, Office of the Comptroller General
Appendix 1 : Policies and Directives Tested
- Directive on Delegation of Financial Authorities for Disbursements
- Directive on Expenditure Initiation and Commitment Control
- Directive on Account Verification
- Directive on Acquisition Cards
- Contracting Policy
Travel and Hospitality
- National Joint Council Travel Directive
- Directive on Travel Cards and Travellers Cheques
- Hospitality Policy
- Policy on Learning, Training and Development
- OCI Policy on the Management of Executives
- Directive on Leave and Special Working Arrangements
- Directive on Financial Management of Pay Administration
- Casual Employees
Appendix 2 : Management Action Plan
Core Control Audit of the Office of the Correctional Investigator
Office of the Correctional Investigator Opinion of the Audit Report:
Please indicate here that the organization has reviewed the findings and recommendations and that as far as the scope of this audit is concerned these accurately reflect the state of control over financial management, contracting, travel & hospitality and human resources.
(Please note, in case of disagreement, please contact us at your earliest convenience)
The Office of the Correctional Investigator has reviewed the findings and recommendations of this audit which accurately reflect the organization's management as well as policy and legislative compliance over financial management, contracting, travel, hospitality and human resources. From the onset, the organization viewed this exercise as an opportunity to confirm internal practices and procedures in place to ensure appropriate governance of corporate activities and to establish best practices where required. To this end, the feedback received from the audit team coupled with only two low priority recommendations, demonstrates that the Office is well positioned in the areas assessed.
|Recommendations||Priority||Response and Planned Actions||Responsibilities
(position title responsible for the action)
|1. The OCI should take the necessary steps to ensure that all leave requests for vacation are pre-authorized.||Low||Recommendation Accepted|
|1. An e-mail to HR delegated senior managers/supervisors will be sent to remind them that they are accountable for ensuring that all vacation leave must be pre-authorized and properly captured in the Human Resources Management System before the leave is taken.||Director, Corporate Services and Planning||E-mail will be sent to delegated HR managers/ supervisors before the end of January 2011.|
|2. Corporate Services will conduct a semi-annual audit of the HRMS leave utilization data to ensure that vacation leave is pre-authorized.||Director, Corporate Services and Planning||The first audit will be conducted in July 2011.|
|2. The OCI should retain written documentation to support that departure procedures have been followed to certify that all money owing to the Crown, or any other assets, are accounted for before an employee leaves the agency.||Low||Recommendation Accepted|
|A detailed arrival/departure form has been developed and implemented. The Chief, Administrative Services will ensure a copy of this form is placed on the personnel file.||Director, Corporate Services and Planning||In effect.|
1 The Office of the Comptroller General has not undergone an external assessment to support its conformance with this statement.
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