Certified Internal Auditor (CIA) Part 1: Business Acumen — Question 208

A chief audit executive (CAE) has been asked by the board to evaluate the effectiveness of ethical programs created by management. Which of the following would be the most appropriate action for the CAE to take?

Answer options

• A. Compare the design of the organization's ethical programs with best practices.
• B. Verify that a code of conduct and related policies exist and are communicated.
• C. Use employee surveys to assess whether ethical programs are achieving desired outcomes.
• D. Compare the cost of the ethical programs with the achieved outcomes.

Correct answer: A

Explanation

The most appropriate action for the CAE is to compare the design of the organization's ethical programs with best practices (A), as this allows for a benchmark evaluation of effectiveness. While verifying the existence of policies (B) and using surveys (C) are important, they do not provide a comprehensive assessment of the programs' designs against industry standards. Similarly, comparing costs with outcomes (D) does not directly evaluate the effectiveness of the ethical programs themselves.