October 2007

Next Meeting - Thursday, October 4, 2007
Cityplace Conference Center

Lunch Meeting 12:00pm - 1:20pm
Registration begins at 11:30pm

Corporate Governance – A Regulator’s Perspective

Janice McQuary, Assistant Deputy Comptroller, OCC

Janice McQuary is the Assistant Deputy Comptroller for Specialties and Operations for the Office of the Comptroller of the Currency’s (OCC) Southern District.  As she has over 20 years of experience with the OCC she has had numerous opportunities to evaluate the overall practices of financial institutions.  Janice will share with us her thoughts as to how important a strong corporate governance process is when evaluating the overall risk of a company.  She will provide us with some common warning signs that indicate that a company might have issues with corporate governance as well as best practices.  Janice will focus on the types of situations or policy and procedure gaps that would cause her and her team concern and require her to further investigate a company.  She will also recant some of her more egregious examples of companies which displayed poor corporate governance and ethics and discuss the negative consequences they faced as a result.

Janice joined the OCC in 1981 and in her current role she is responsible for ensuring that systemic risks in commercial credit, retail credit, capital markets, consumer compliance, information technology, asset management, and fraud are identified and addressed through an appropriate supervisory response.   Janice is a graduate of the University of North Texas.

Pre-Meeting 10:30am

Developing and Managing an Ethics Hotline
Randall Brown, Senior Corporate Compliance Consultant, BHCS

Randall Brown is responsible for developing and maintaining the Baylor Healthcare Systems (BHCS) Hotline.  He will speak about he importance implementing a hotline as well as the factors a company should consider when developing a hotline.  He will also focus on the oversight and operational processes of hotlines.  Randall will share his thoughts about effectively managing hotline calls.  He will speak to common issues that are communicated via hotlines as well as challenges and pitfalls he has experienced.  Lastly he will focus on how internal audit groups can support and audit the overall Ethics hotline process.

Randall is a seasoned professional with more than 13 years of experience in internal audit, compliance, financial analysis, and fraud investigation.  He currently serves as a Senior Corporate Compliance Consultant for Baylor Health Care System (BHCS) in Dallas, Texas.  Prior to assuming his compliance responsibilities, Randall served as the Internal Audit Manager for BHCS and also as an Internal Auditor for Transamerica Rental Finance Corporation.  During his audit career, Randall supervised numerous project teams and directed and performed countless risk assessments, audits, consultations, and investigations.

Randall holds a Bachelor’s Degree in Accounting from the University of Texas at Arlington and is a Certified Internal Auditor and holds the designation of Certified in Healthcare Compliance.

Post-Meeting 1:30pm

Antifraud Programs and Corporate Governance
Bill Rudolph, Director in Forensic Practice, KPMG

Many businesses as well as their audit committees have been asking themselves if they are doing enough to prevent fraud.  Also external auditors are asking companies what they are doing to prevent fraud as part of their activities to be in compliance with SAS 99.  As a result, in order for companies to assert they have strong corporate governance processes as well as a solid internal control environment they are reassessing their antifraud programs.  Bill Rudolph is a Director in the Forensic practice at KPMG‘s Dallas office and conducts investigations and assists companies with antifraud programs and controls, including fraud and compliance risk assessments.  As a result he has been exposed to, evaluated and designed numerous anti – fraud programs and will share with us some lessons learned and best practices as a result of his experiences.

Before coming to KPMG in August 2000, Bill Rudolph worked for the Federal Bureau of Investigation for 10 years, where he conducted and participated in White Collar Crime investigations as a Financial Analyst and was involved in high profile investigations.  He was a contributor to KPMG’s recent antifraud programs and controls whitepaper, has national responsibilities in fraud risk management and the financial services industry; his recent engagements have included fraud and financial reporting investigations, fraud and compliance risk assessments, and other fraud risk management engagements.  He is currently engaged as the director of anti-fraud for the Road Home program, the approximately $10 billion Federal program for rebuilding in Louisiana following the hurricanes in 2005.

This meeting is being held at Cityplace Conference Center,
2711 North Haskell Street, Dallas, Texas 75204

The DART light rail station at Cityplace serves both the RED and BLUE lines. Check for schedules, routes and fare information at  http://www.dart.org/default.asp

Preferred Method:

Place and confirm your reservation via the web site at http://www.dallasiia.org/Reserve.htm.

Reservations and cancellations must be received by 5:00 pm on Friday, September 28, 2007.

We reserve the right to bill for "no-shows."

We Now Accept Credit Cards - Online Only

The IIA Dallas Chapter, in conjunction with PayPal, will now accept payment online for the monthly luncheons. There is no change in the cost to you for the lunch. We accept VISA, MasterCard, Discover, American Express, or eCheck. Note that some corporate-issued cards are not accepted by PayPal. This service is only available online at the time the reservation is made. This can be used to pay for individual or group reservations. Follow the instructions on our web site. If you properly cancel a reservation before the meeting, the Chapter will either return the funds to you or reserve you for the next meeting. Any questions, contact Marc Winandy at marc.winandy@mckesson.com.

After you place your reservation online, you will see the link to pay via PayPal if desired.

Help Yourself. Volunteer.

The following committees currently have openings:

Assistant Treasurer - help at the registration tables at the meetings

Academic Relations - plan and help with student-related events

Awards - assist the officers in the selection and procurement of awards for chapter volunteers

Elections - hold election of officers and board of governors at chapter meetings

Membership - help welcome members, handout name tags at the meetings, and perform other recruitment duties

Social - help plan and organize the annual member social

If you are interested in one or more of these committees or just looking to get more involved in the Dallas Chapter, please contact the Dallas Chapter Volunteer Coordinator Pamela Krakosky at  pkrakosky@verizon.net.

Dallas Chapter Leadership Roles

In the near future, the Nominating Committee will begin the process of identifying candidates to serve as Officers and Board of Governors for the Dallas Chapter.

Most Officers have previous volunteer experience serving as Officers and/or Committee Chairs/Members.  And members of the Board of Governors are made up of past Chapter Presidents and CAE’s/Audit Directors/ Senior Managers.  Some of the attributes that make a successful leader are:

• Passion for the profession
• Enthusiastic
• Team builder with determination, vision, and strategic thinking
• Available, willing, and committed to serve
• Competent and professional experience in internal auditing
• Committed to The IIA and Dallas Chapter’s objectives
• Have integrity and lack of conflicts of interest
• Have support of the employer
• Reliable
• Proven record of attendance and volunteering in The IIA or Dallas Chapter

If you have any questions or would like to discuss serving as an Officer or member of the Board of Governors, please contact Pamela Krakosky, Nominating Committee Chair, at pkrakosky@verizon.net or 972-849-3440.

Call for IIA Volunteers

The Institute of Internal Auditors is currently seeking qualified members to serve in leadership positions for 2008-2009.

Volunteers provide essential leadership to and direction for The Institute through strategic planning, presentation of new ideas, development of programs, and accomplishment of specific tasks. The IIA Call for Volunteers seeks eligible and willing candidates for the following positions:

• Members to serve on the Board of Directors, Board of Trustees, or as District Representative
• Members to serve on 18 International Committees

Go to the Call for Volunteers by clicking here: http://www.theiia.org/membership/get-involved/volunteers---the-heart-of-the-iia/call-for-volunteers/. All nominations must be received by The IIA by November 10, 2007.  However, if you would like the Dallas Chapter Board of Governors to endorse your nomination, please submit your form to Pamela Krakosky at pkrakosky@verizon.net by October 31, 2007.

IIA Research Foundation

With much fanfare and a rollout for the Dallas Chapter, The Research Foundation has recently issued a book entitled Internal Auditing: Assurance and Consulting Services.  It was co-written by one of our own – Mark Salamasick.  This contemporary, state-of-the-art textbook provides the fundamental knowledge needed to succeed as entry-level internal audit professionals.  This collaborative effort by educators and practitioners will reflect 21st century real-world auditing.  Contents will include internal auditing theory, concepts, and applications – all intended to help users to begin to think like auditors.

In addition to classroom use, this textbook is perfect for in-house training, custom seminars, and IIA chapter and affiliate programs.  Free International Standards for the Professional Practice of Internal Auditing on CD with purchase.

The book can be ordered online at – www.theiia.org/index.cfm?act=form.bookstore, or calling toll free 1-877-867-4957.  (Order number 1023, IIA member price - $75, non member price - $105.)

Certification News - New Certifications

New CIA’s, CGAP’s, CFSA’s, and CCSA’s, that passed the May 2007 exams will receive their certificates and be honored at the November 1st meeting at Cityplace. The IIA will be mailing the certificates to the Dallas Chapter in October. If you are a new CIA/CGAP/CFSA/CCSA, you will get a free lunch for you and your guest! If you are unable to attend the luncheon, please contact Toni Messer, at tmesser@utdallas.edu or 972-883-2693, to make arrangements to obtain your certificate. Details on how to register for the November 1st luncheon will be emailed in October

Mark your Calendars

The next Dallas Chapter review courses, featuring live training by Dr. Glen Sumners of Louisiana State University, will be offered as follows at UT Dallas:

• February 15-18, 2008
• September 5-8, 2008

CIA and Other Specialty Exams – November 14-15 , 2007

CIA and other specialty exams will be held in the UTD School of Management (SOM) Building, Room 1.502. For information on how to get to UTD and nearby hotels, please see http://www.utdallas.edu/visitors-index.html. Please plan to arrive at least 30 minutes prior to the exam to allow time for parking and room assignment. If you enter via the University Parkway entrance, a guard will give you a parking pass and direct you to the SOM building.

Reminder…New Computer-based Testing Begins February 2008

Visit the IIA’s web site for more information: www.theiia.org.

The IIA Announces New CIA Exam Preparation Materials

If you are planning to take the CIA exam this year, now is the time to begin preparing and there’s no better way than through The IIA CIA Learning System. Orders will begin shipping April 1, so place your order today. Visit www.learncia.com or call +1-877-442-2425.

Recruiting Season-Internal Auditors Available!

Hopefully this caught your attention as the shortage of talented internal auditors is getting worse.  We keep hearing that internal audit groups are looking for internal auditors and having difficulty finding them.  In the fall of 2005 in this newsletter it was stated:

“Never before in history has the demand for qualified internal auditors been greater.  I don’t think anyone will dispute that statement, but the question that comes up periodically is will this trend continue.  My belief is that the gap between the supply and demand will only get larger in future years.”

Since that time the prediction has held true and the gap is getting wider around the world.  Also, since that time we can also say that it has become much more difficult to attract and recruit students into internal audit.  The fact that young people have many options for careers and they don’t know what the profession is about doesn’t help.  We have about 100 students in the student chapter now and want that number to grow to over 200 by May 2008.

We have in place a number of methods to help employers meet students and explain the benefits of careers in internal audit.  So the good news is there are avenues to recruit students, but you must get them early.  A new batch of students get involved every semester so reviewing the status of who is available every September and February is a good idea.

To schedule a reception, site visit, interview or just peruse resumes contact Mark Salamasick at 972-883-4729 or mark.salamasick@utdallas.edu.  The student chapter will have resumes posted after September 11 and interviews start September 20th. The student chapter web site is www.utdallas.edu/orgs/iia with the resumes posted however contact Mark Salamasick for the user id and password.

Member Directory

The 2007-2008 Member Directory will be available on the chapter web site for download by September 30, 2007. Members, look for an email from the chapter in the coming days with the password to the file.

Report Your Speaking and Writing

It's time again for the survey to determine which IIA Dallas Chapter members have submitted articles or spoken since September 1. Each speaking engagement on internal auditing that a Dallas Chapter member completes will earn the Chapter 1 credit per CPD hour. Each full article, Roundtable article, Fraud Finding, etc. submitted that meets basic editorial guidelines will earn 5 credits. For each full article published 20 credits are earned. Each internal audit related article published in any other trade or professional journal that is authored by a chapter member is 5 credits.

To report your writing and speaking go to http://dallasiia.org/Speaking.htm and complete the provided form by October15, 2007.

Career Opportunities

Are you currently in the job market either voluntarily or involuntarily? Let the Employment Committee help you. Send us your resume and we will include you in our resume database. We receive calls from recruiters and hiring managers for open positions and will forward your resume if there is a match. We get calls for staff to director levels, IT to finance, local to out of town. All inquiries will be handled confidentially.

If you have any questions, please contact Greg Dubis at 972-431-5946 or send him an e-mail at gdubis@jcpenney.com.  We look forward to helping you.

See our Jobs page

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P. O. Box 261747, Plano, TX 75026-1747

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