Reviewing all contract documents submitted by the Auditor General; Initiating legal action for offences committed against the Auditor-General;

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1 PROFILE ON SECTORS WITHIN THE AUDIT SERVICE Auditor-General s Secretariat The work of this sector is diverse and includes the Auditor-General s Secretariat; the Audit Service Board Secretariat; and other areas covering the legal, parliamentary; and public relations portfolios; as well as a department dedicated to planning, research, monitoring, evaluation; international relations and quality assurance. Auditor-General s Secretarial: Providing the full range of support service, such as personal assistance, travel bookings, and secretarial, messenger, security and photocopying duties. Audit Service Board Secretariat: Facilitating the Board s activities; and Converting the Board s directions into actions Converting the Board s directions into actions. Legal Unit: Formulating and executing the legal duties of the Audit Service; Reviewing all contract documents submitted by the Auditor General; Initiating legal action for offences committed against the Auditor-General; Monitoring and ensuring the compliance of asset declaration forms; and Reviewing the legislative framework within the auditing environment in consultation with the Attorney-General s Department. Parliamentary Unit Reviewing audit reports sent to Parliament to gain an understanding the issues included before the PAC sittings; Inviting officers who carried out the audits to explain the issues raised in their reports; Following up and confirming issues that are alleged to have been resolved; Assisting the PAC in the writing of their reports for Parliament;

2 Delivering reports and evidence to Parliament; and Briefing the Auditor-General on the outcome of PAC hearings Public Affairs Unit: Creating awareness about the mandate and functions of the Audit Service Providing adequate publicity on Auditor-General s reports; and Facilitating the training of selected staff to represent the Audit Service on radio and televisions discussions Performance, Monitoring, Research Evaluation, International Relations and Quality Assurance Unit: Establishing the monitoring, evaluation and quality assurance unit in the Audit Service Operating quality control standards and performance assessment, monitoring and reporting policies; and Understanding annual performance and impact assessments of the work of the Audit Service in respect of audit costs and the audit mandate. Administration & Staff Development This sector, although not undertaking any of the core audit work of the Office, performs an important function as it provides support services to all of the audit staff across Ghana. The main services include the Finance function, including Account, budget, and Payroll; Human Resources and Personnel; IT Technical; Training and Human Resource Development; and the Administration function, including Estates and Procurement; Transport; Security and Stores. Responsibilities for this sector Accounts: Scrutinizing and paying invoices, travel claims etc. And the administering the Audit Service s bank Recording payments and receipts in the ACCPAC computerized accounting system; and Preparing the Audit Service s accounts for audit.

3 Budget Preparing the Audit Service s Budget estimates for the year ahead; Making effective presentations to the Audit Service Board, the Ministry of Finance and Economic Planning and the Parliamentary Finance Committee; and Monitoring expenditure against budget throughout the year at Head Office, Regions and Districts Implementing the Resource Management System (RMS). Payroll: Collating and entering information relating to staff salaries in the IPPD2 computer system at the Controller and Accountant General s Department on a monthly basis. Human Resource/Personnel Implementing the Performance management Appraisal System (PMAF); Producing the Human Resource Manual; Understanding work on staffing needs analysis, recruitment drives, promotions, retirements, maternity, and special leaves; and Maintaining accurate and up to date records in the computerized Human Resource System Visual Personnel Director (VPD) IT Technical Aligning IT with the objectives of the Audit Service Maintaining records of IT assets, and undertaking IT security duties Undertaking maintenance of IT equipment; IT management systems, the e-library, the Local and Wide Area Networks, and liaising with contractors and suppliers; Producing forecasts of IT requirements over the planning period; and Providing help-desk support for Audit Service staff. Training and Human Resource Development: Ascertaining the training needs of Audit Service Staff;

4 Organising and delivering training courses; Maintaining accurate and up-to-date records of staff training; Encouraging professional staff to develop and grow through continuing Professional Development; and Providing staff with career development advice. Administration Estates: Managing major infrastructure projects; Understanding property appraisals; Managing tenancies, facilities and utilities and Supervising clearing and janitorial services and miscellaneous repairs. Procurement: Overseeing all aspects of the procurement activity in the Audit Service Transport: Checking progress on vehicle repairs,; investigating and reporting on accidents; producing vehicle status reports; undertaking curative and preventative maintenance; arranging for registration and roadworthy certificates; managing disciplinary issues; and Transporting members of the Audit Service Security: Ensuring the safety of staff, preventing theft, violence or infractions of rules; and Protecting Government property within the possession of the Audit Service. Stores: Providing requisition notes for stores items to be procured; Inspecting and confirming the accuracy of inward supplies; and distributing inward stores to users, and Updating tally cards covering new supplies on a regular basis.

5 Other duties Correspondence, and Telephonist and Receptionist services. Regional & District Audits (EIDA) EIDA is the acronym for the Educational Institutions and District Assemblies of the Audit Service. The department is broadly divided into tow units, namely the Educational Institutions Unit and the District Assemblies Unit. Responsibilities for this sector Core functions: To collate draft reports in respect of the Auditor-General s reports from the Regional Auditors and respect of District Assemblies and Traditional Councils; District Assemblies Common Fund; and Pre-University Educational Institutions; To review interim audit reports issued by Regional and District Auditors and advise the relevant Ministries on significant issues raised in the reports; and To review the half yearly Progress Returns and half yearly Programmes of work submitted by Regional Auditors. Audit Workload: Audit of all Public Sector Pre-University Education Institutions such as 331 Secondary Schools, 17 Technical institutions 111 Secondary/Technical Schools, 19 Secondary Commercial Schools, 35 Teacher Training Colleges, 1 Technical Teacher Training College,8 Agricultural Institutions, 67 Regional Educational Units 22 Special Schools and I Special JSS (as at 31 December 2005); Audit of 6 Metropolitan Assemblies, 40 Municipal Assemblies, 124 District Assemblies 263 Traditional Councils 10 Regional House of Chief and 1 National House of Chiefs; Locally based audits of the offices of all state agencies and central government offices in the regions and districts; Since 2004, EIDA has annually organized and supervised the audit of Canadian International Development Agency (CIDA) development projects in the three northern regions under CIDA s District Wide Assistance Programme (DWAP); and

6 At Headquarters, EIDA is responsible for the preparation of the Auditor-General s report to Parliament for Educational Institutions and District Assemblies. Performance Audit Department The Performance Audit Department comprises three sections: Performance Audit; Special Funds Audit; and IT Audit Performance Audit Unit The Audit Service Act 2000, Act 584 Section 13(e), which came into force in November 2000, established a mandate for performance audit, giving the Auditor-General authority to audit programmes and activities of public offices to ensure the Economy, Efficiency and Effectiveness in the use of resources. Performance auditing was introduced into the Audit Service in 2002 as part of a capacity building project funded by the European Union. Phase I of the European Union project involved establishing a Performance Audit Section to conduct audits of Government operations. Special Audit Unit Section 16 of the Audit Service Act,2000 (Act 584) states that the Auditor-General may in addition to the audit of public accounts, carry out in the public interest, such special audits or reviews as he/she considers necessary and shall submit a report on the audit or reviews undertaken to Parliament. The Audit Service has in fact conducted special audits over a long period, both prior and subsequent to the above legislation. The gradual increase in requests for special audits in recent times from Parliament, Ministers and Chief Executives highlighted the need for the establishment of a dedicated group of staff well versed in the requirements of such work. As a result, the reorganization of the Special Audit Department commenced in The revamped Special Audit Department is now under the supervision of the Deputy Auditor-

7 General for Performance Audit and is tasked with undertaking special funds, procurement and forensic audits. The IT Audit Unit The IT Audit Unit was established in September 2006 to address Section 11 of the Audit Service Act 2000, (Act 5840 which requires the Audit Service to review and make recommendations on all new financial and accounting systems and changes to existing systems. Responsibilities for this sector Performance Audit Unit Purpose Unlike traditional audits which examine financial statements prepared by public bodies performance audits examine how public bodies effectively use their resources. Performance audit gives the Audit Service the opportunity to increase public accountability by identifying areas where there can be improved management or performance. Through systematic review of the audit field or detailed examination of areas where there is a risk to value for money, the Audit Service can make valuable recommendations. Skill levels: Performance audit teams are made up of professionals from within the Audit Service as well as specialists such as architects. Quantity surveyors, engineers, legal experts, economists, psychologists and accountants. As a result, each team has a high degree of expertise in its respective field of study. Teams abide by high ethical standards and integrity and are specially trained to add value to the operations of the audit body. Special Audit Unit Purpose: To identify weaknesses in the operations of an entity and to make recommendations to remedy those weakness; or To ascertain whether there are any instance of fraud, presumptive fraud of embezzlement of public funds. Skill Levels: New recruits to the Special Audit Unit must posses the necessary academic and professional background to do the work; and Training and guidance is available to enhance of the auditing skills of recruits.

8 IT Audit Unit: Purpose To improve the Audit Service s understanding of clients business processes and to inform the planning state of its financial audits. Through this process the Audit Service gains assurance on the effectiveness of management controls in and around IT systems, and highlights problems that could affect the reliability of accounting data or audit evidence; To give early warnings of changes in IT systems, and highlights problems that could affect the reliability of accounting data or audit evidence; To give early warnings of changes in IT systems that can affect the audited financial statements, thereby providing opportunities to influence these changes; To identity opportunities for using computer aided audit techniques (CAATs) to improve the audit process; and To add value to the audit process for the client by providing them with assurances and information. Future IT s Audit Responsibilities As a number o government organizations now produce financial statements that are underpinned by complex IT systems and many also use IT systems for their business critical operations, the audit of IT systems and is processes forms an integral part of the audit process providing support to, inter alia, the financial audit process. Commercial Audit Department Direct Branch To audit and deliver good quality audit reports on State Owned Companies, Public Boards and Corporations, Higher Educational Institutions, Foreign Exchange Receipts and Payments of the Bank of Ghana, the Ghana Trade Union Congress and its Affiliate. Review Branch To undertake reviews of audits conducted audit firms.

9 Development of Staff To work with Training Unit to run a two-month training course on basic accounting practices and the writing of good management reports for all new entrants as well as an annual one month training programme in modern auditing and IT techniques for all existing staff. Central Government Audits The Central Government Audits Departments has a long history as a sector in the Audit Service. It was originally known as the Treasury Audit Department before the functional change of designation into its present form. The cost center comprises the following 20 branches: Central Treasury Education Agric Airport Ministry Treasury Ministry of Finance and Economic Planning Internal Revenue Service Customs, Excise and Preventive Service Value Add Tax Service Ghana Police Service Ministry of Defence Ministry of Foreign Affairs Ministry of Foreign Affairs Castle Ministry of Water Resources, Works and Housing Health Social Welfare Pensions Payroll Headquarters Administration Public Accounts

10 Responsibilities for this sector Main outputs: The Consolidated Fund Report; Foreign Exchange Receipts and Payment; and Annual Report on the Accounts of Ministries, Departments and Agencies of Central Government. Providing confirmation under section 13 of Audit Service Act 2000, Act 584: Monies have been expended for the purpose for which they were appropriated and expenditures have been made as authorized; Essential records have been maintained and the rules and procedures applied were sufficient to safeguard and control public property; and All public monies have been fully accounted for and rules and procedures applicable are sufficient to secure an effective check on the assessment, collection and proper allocation of revenue. Audit Remit and Scope Covers 360 cost centers within the Ministries, Departments and Agencies of central government; and Spans all the segments of the annual Budget, being General Administration, Economic Services, Social Services, Infrastructure and Public Safety. Internal Audit The Internal Audit Agency Act 2003, Act 654, part II Section 16, which came into force in November 2004, established a mandate for internal audit, giving with autonomous institutions the right to establish internal audit units with responsibility for reporting to the Auditor-General on the efficient and judicious use of public resources. The Audit Service anticipated the new requirement and established an Internal Audit Unit before the promulgation of Act654. Over the years, the Internal Audit Unit has been strengthened by increasing its staff size at Head Office and by establishing an Internal Audit presence in each of the regions.

11 Responsibilities for this sector Definitions: Providing independent, objective assurance and consulting activity designed to add value and improve an organisation s operations; and Helping the Audit Service to accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of the risk management, control and governance processes (Source IAA Institute of Internal Auditors). Purpose: Supporting the improved utilization of public resources available to the Audit Service by conducting risk assessments of the various departments within the Service that have high impacts; evaluating the attainment of the set objectives; ad reporting its findings and recommendations to the Auditor-General. Duties Undertaking risk assessments to identify potential areas for its review; Acting on recommendations from the Auditor-General and the heads of other cost centers within the Audit Service; and Reviewing potential against the criteria of materiality; risk to the achievement of objectives; public accountability; and the level of expertise.