How are organizations using their internal audit functions in support of ESG?

In June 2021, the Institute of Internal Auditors (IIA) and the Internal Audit Foundation, in collaboration with EY, conducted a survey to understand how organizations are using their internal audit functions in support of their environmental, social, and governance (ESG) initiatives. The survey was distributed in North America to chief audit executives (CAEs) and directors in the internal audit profession; 102 responses were received.

The survey was designed to gather data and to answer the following questions:

• Is ESG an internal audit priority?
• How are organizations reporting ESG metrics?
• What are the existing barriers to internal audit’s involvement with ESG programs?
• If an internal audit is not involved in ESG program advisory and assurance activities, what function is it?
• What support and resources does internal audit need to provide ESG coverage?

From climate change to social and political unrest fueled by diversity, equity, and inclusion (DEI) issues, investors and other stakeholders are sounding the ESG alarm.

This is partly the result of the COVID-19 pandemic and devastating weather events around the world attributed to climate change. Stakeholders – such as boards, employees and investors – want to know how ESG issues impact the organization’s long-term strategy, performance, and value creation.

Request access to the full report now to learn how audit leaders are addressing these challenges.