The first task is to define the position of Internal Audit in the Organisational structure. This must be well thought out, as incorrect positioning compromises the independence of all the reports originating from this department.

In co-operation with Senior Management and the Executive, the functions of the Internal Audit need to be identified.

Having identified the functions of the Internal Audit department, the structure of the Internal Audit department can be designed i.e. a young company may have a lot of development in the pipeline. this will result in a lot of projects, therefore it may be valuable to have an Internal Auditor who specialises in auditing projects in the Audit department. These projects very well may be IT projects, in which case it would be valuable to have an IT Auditor in the department. The structure should be designed   in accordance with the Companies immediate needs and needs in the near future.

The structure can then be populated with appropriate staff. This will take a great deal of interviewing as not only do you need the skills but you need people who can work together so Psychometric testing may be in order to establish the character matches i.e

• Choleric,
• Phlegmatic,
• Sanguine,
• Melancholic