A Methodical Approach
An impact analysis begins with methodically and logically breaking down a project or program into its different effect-producing levels, i.e. from individual activities to the products of these activities and from there to the final results. And these results, too, will then go on to produce medium-term and long-term effects.
Processes are broken down into individual steps and then visualized. In this way, planning errors in projects, programs and changes can be identified, as can any risks that may exist along the way to the achievement of the goal. Mechanisms are also created to assess how efficiently resources are being used.
The effect is evaluated by analyzing objectively collected hard data (both primary and secondary). Based on this analysis, recommendations are made on how to optimize the process through minor (or perhaps major) adjustments and on how resources can be used as efficiently as possible.
As the role of internal audit operations becomes broader, it is well worth including impact analysis in their portfolio of services. Impact analysis can produce results that are of significant benefit to the organization. It can be used for both risk-oriented audit plans and internal audits.
This instrument is an additional means by which gaps and errors in planning can be identified. As well as helping identify the misapplication of resources (finance, work capacity etc.) and the potential risks involved in achieving your organization’s goals, it also helps increase efficiency.
We can help clients with the development and execution of impact analyses by:
- Providing a comprehensive impact analysis conceptualization service from initial planning right through to debriefing
- Providing support in the form of an expert consultant with extensive impact analysis experience
- Taking on the entire project, or parts of it
Proper use of the sophisticated tool of impact analysis requires a sound understanding of the theory and its application plus a certain amount of practical experience.
The AuditFactory offers a special seminar that not only gives participants a solid theoretical understanding but also valuable practice in the form of exercises using case examples, which, along with discussions aimed at solving some of the problems generally faced by internal auditors, leads to a much higher degree of confidence and ability in real-world situations.