Effective Controls Don't Guarantee Efficient Processes: Why Internal Audit Must Address the Gap

This article argues that internal audit often overlooks process efficiency, focusing solely on control effectiveness. It highlights that while control systems may be deemed effective, the underlying processes can still be highly inefficient and costly. The author proposes that internal audit must expand its scope to include the efficiency of control systems, offering a 'third way' to bridge the gap between control quality and operational results.