Students at the Kelley School of Business Indianapolis learn from faculty instructors who not only serve as experts in their fields but also have a wealth of professional experience to bring to the classroom.
Jim Reinhard is the senior audit director for Simon Property Group. He has spent more than 30 years in the field of internal audit at multiple organizations, and is also an adjunct instructor in the Graduate Certificate in Internal Audit, having taught at the Kelley School since 2007.
Though it is a field that many students aren’t aware of when they pursue a business degree, Jim says internal audit is a growing area with a high demand for workers.
“There are between 200 to 300 open jobs within 150 miles of Indianapolis right now,” Jim said. “Someone with two to five years of experience in internal audit could write their own ticket anywhere. Companies who can’t find a senior manager in internal audit are training people without experience and hoping they don’t leave–that’s how high the demand is in the marketplace.”
In the Graduate Certificate in Internal Audit within the Graduate Accounting Programs at the Kelley School, Jim is educating students to fill these roles. Internal auditors assess risk, identify mitigating controls, and evaluate compliance with those controls, along with any applicable laws and regulations. Internal auditors also review an organization’s internal processes for efficiency and effectiveness. Jim usually needs to explain how internal audit differs from external auditing or financial accounting.
“If you compare an internal auditor to an external staff auditor, the external role is more associated with financial presentation and they are involved in the company at a very high level,” Jim said. “Internal auditing does a financial review, but most of it is operational in nature. We use the general ledger as a tool to download transactions, but we’re not looking at financial statements; we’re looking more at appropriateness of expenditures and approvals.”
Throughout the course of a project, an internal auditor may work with everyone from factory floor staff to the C-suite. Jim says one reason there is a high demand for these positions is because internal auditors become valuable employees that are often positioned to ascend to new roles within the organization. They become well versed in company operations, are familiar with employees and their roles, and understand the risks and associated mitigation strategies throughout the company.
“Internal audit is a role that transcends the entire organization. We see things that other employees don’t because they’re limited to their departments or silos,” Jim said. “Internal auditors look at everything globally.”
Jim began his own career with an undergraduate degree from the Kelley School and encountered internal audit in his first job at the Indiana State Board of Accounts, which performs financial and compliance audits for state and local governments. Here, he gained expertise in IT auditing, which would become his specialty. Over the next few roles, he honed his expertise in IT internal audit and progressed to leadership roles. Jim says interpersonal and communication skills are critical for building and maintaining the relationships necessary to do the work of an internal auditor.
“Internal audit requires some technical skills in processes and procedures, but a lot of it requires soft skills, like listening to people and understanding what they want,” Jim said. “You mostly use your relationships to get things done by building business relationships with everyone in the company–from clerical staff to the most executive managers. Once you build these relationships, you start getting requests from leadership to do additional work because they see value of your expertise and your perspective on the company.”
This flexibility is also why the Graduate Certificate in Internal Audit is a popular choice for professionals who are returning to school to gain skills for switching careers. Students come from marketing, communications, and even nursing to pursue expertise in internal audit. While some of these professionals may face a lower salary by starting over in internal audit, Jim says the long-term earnings potential is higher. For business graduates seeking this career change, it also offers something different.
“With the Graduate Certificate in Internal Audit, we see business graduates returning to school looking for alternative work environments than what they have in their current jobs,” Jim said. “The graduate certificate, along with their business background, provides experience and a wide knowledge base that various internal audit departments are looking for because they just don’t have this perspective on staff.”
In addition to his professional positions, Jim has served in several roles within the Central Indiana Chapter of the Institute of Internal Audit. For 24 years, he has educated internal auditors around the globe as an instructor for the professional association. Jim says this career is typically attractive to people who prefer variety and enjoy a dynamic work environment.
“If you’re a person who’s very accounting-focused and like to know what you’re working on each day, you’re probably better off doing financial accounting. If you like work to be more dynamic, learning, and you enjoy going with the flow each day, you might consider the internal audit route so you’re always evolving,” Jim said. “There’s a methodology to internal audit, but you have to think outside the box all the time. Management is always looking for ways to do things quicker, faster, and more efficient.”
For undergraduate students at the Kelley School, the Graduate Certificate in Internal Audit is another way to differentiate themselves in the career market. Current Kelley undergraduate students can start the certificate by taking two graduate-level courses at the undergraduate tuition rate.
“The Graduate Certificate in Internal Audit provides you a leg up on other applicants when you are applying for jobs,” Jim said. “You’ll gain a greater understanding of a company’s risks and controls, and you’ll be a more well-rounded business graduate.”
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