Where do we sit? Its important!

This may be an odd question to ask, but as a leader of internal audit and risk management it was an important issue for me.

While there is so much talk about artificial intelligence, I believe it is far more important to optimize human intelligence!

Where we sit affects:

• Our ability to know what is happening in the business.
• The perception of us as being part of the business and not in an ivory tower.
• Our understanding of the culture of the organization, including the morale of the people.
• Our ability to have confidential discussions among ourselves and with management – without being overheard.
• People’s ability to visit us without others knowing.
• Ready access to management and staff.
• Our access to files and other information.
• In an odd way, our agility. We don’t have to travel to perform the audit or to meet with people – and meeting with people face-to-face is far superior to a virtual meeting. We can stop by to talk to (or, better, listen to) people without having to schedule a call or meeting.

I liked to embed auditors in the business. If they are local, even in the same trading room for example, they are seen and accessible. They get to know the people leading and performing the business. They are…