To measure the advancements of analytics in IA, Ernst & Young LLP surveyed 16 banking and wealth management firms on their use of IA Analytics and compared these results to a similar study conducted in 2014. The results were telling. Roughly half of the 2017 survey respondents indicated leveraging data analytics in more than 50% of their audits, as compared to just 31% of survey respondents in 2014.
The 2017 survey results indicated an increased demand for IA Analytics, which led to additional questions: What is the current market landscape and maturity stage of the different IA Analytics programs? How can internal audit (IA) departments continue to be successful in advancing their analytics programs? To what level of maturity do IA departments want their analytics programs to be, and how can they get there?
We sought to answer these questions and more by facilitating a roundtable discussion with IA leaders across 16 banking and wealth management firms. This article is a compilation of the insights from the 2017 survey results compared to the 2014 survey results, as well as from the roundtable discussion with industry leaders.
You can download the full report here.
IA maturity stages and current market landscape
Across the industry, IA departments have made significant progress in the development of their IA Analytics programs. Although the current development of IA Analytics programs may vary, the generalized path toward the growth of IA Analytics programs can roughly be categorized into three different stages: Analytics 1.0, Analytics 2.0 and Analytics 3.0.