03/16/2011 08927

INTERNAL AUDIT DIRECTOR, SERS

DEFINITION: This is advanced professional auditing and administrative work directing both the general internal audit and investment audit activities of the State Employees’ Retirement System (SERS).

The employee in this job is responsible for planning, directing, and coordinating the agency’s complex general auditing and investment auditing programs and ensuring the consistent implementation and application of auditing practices and standards to agency audit programs. The employee develops the agency’s annual audit plan; oversees the auditing of member-related services including the collection of contributions and payment of annuities; and directs and conducts information technology-related audits of SERS’ computerized application systems and security. Work involves interpreting and applying Generally Accepted Government Auditing Standards and accounting principles; developing audit policy, procedures, and methods; and providing consultative services to senior management and the Audit Committee which is comprised of SERS Board Members. Work also involves traveling to locations to meet with external investment managers to perform complex audits of investment accounts, review internal controls, and evaluate risk management and other due diligence procedures. Work additionally includes responsibility for ensuring SERS Investment Office personnel adhere to required controls and procedures for oversight of external investment managers. Supervision is exercised over professional staff engaged in internal audit activities. Work is performed with considerable independence under general administrative direction of the Executive Director and functional direction of the SERS Board and its Audit Committee.

EXAMPLES OF WORK: Directs the full scope of audit development and implementation for SERS.

Meets with the SERS Audit Committee to plan the agency’s audit program and communicate audit results.

Recommends, implements, and administers agency-wide policies and procedures to ensure a uniform and consistent audit program in coordination with the SERS Audit Committee.

Performs annual agency-wide risk assessment of SERS’ operations and exposure.

Develops and supervises the completion of the agency’s annual internal audit plan.

Completes the annual Committee of Sponsoring Organizations based audit including testing and documenting the existence and effectiveness of SERS’ internal controls in the areas of accounting, information technology, benefit processing, and investments and making recommendations for improvement based on audit findings.

Directs the analysis of Statements on Auditing Standards to determine the applicability to the work performed by investment managers, consultants, and custodians.

Reviews Statements on Auditing Standards reports for adequacy of internal controls established by SERS external service providers, such as the Deferred Compensation Program third-party administrator, investment custodian, and designated investment managers.

Plans and directs an auditing program to examine the accounts and records of SERS to determine compliance with provisions of applicable laws and regulations.

Establishes audit schedules and completion dates for various audit operations.

Oversees the performance of SERS non-investment business areas, including membership and benefit payment functions and the Commonwealth’s Deferred Compensation Program.

Performs audits of controls and security over SERS’ computer applications and operating and networking systems.

Develops and implements computer-assisted audit techniques to automate data verification and retrieval of information from SERS’ core business systems.

Reviews SERS’ actuarial reports for reasonableness and consistent application of actuary methods in accordance with the SERS Retirement Code.

Reviews and analyzes audited financial statements, including footnote disclosures for SERS investment managers to substantiate manager reporting, valuations, and performance.

Serves as project manager for the annual external financial audits of SERS and the Deferred Compensation Program financial statements, as required by the SERS Retirement Code.

Serves as audit coordinator for all audit-related activities including the Commonwealth’s Generally Accepted Accounting Principles and Single Audits and audits performed by the Department of the Auditor General.

Performs operational and financial audits onsite at SERS investment manager locations.

Performs the full range of supervisory duties.

The employee in this job may participate in the performance of subordinates’ work consistent with operational or organizational requirements.

Performs related work as required.

REQUIRED KNOWLEDGES, SKILLS, AND ABILITIES: Knowledge of Generally Accepted Auditing Standards.

Knowledge of Generally Accepted Accounting Principles and standards.

Knowledge of auditing controls and procedures.

Knowledge of investment accounting principles and practices for the asset classes of equities, fixed income, cash, real estate, alternative investments, and inflation protection.

Knowledge of investment strategies and guidelines in the classification, recording, reconciliation, and auditing of accounting journal entries and financial activity.

Knowledge of information technology auditing procedures and practices.

Knowledge of database and spreadsheet computer applications, such as Microsoft Access, Excel or similar applications.

Ability to analyze and interpret reports, financial data, and electronic information to determine accuracy and compliance with rules and regulations.

Ability to interpret written materials.

Ability to reconcile multiple sources of financial transactions.

Ability to analyze and interpret actuarial data.

Ability to communicate effectively orally.

Ability to communicate effectively in writing.

Ability to establish and maintain effective working relationships.

MINIMUM EXPERIENCE AND TRAINING: Six years of professional auditing experience which includes two years of professional investment accounting or investment auditing experience and a bachelor’s degree supplemented by eighteen credits in accounting;

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An equivalent combination of experience and training which includes two years of professional investment accounting or investment auditing experience and a bachelor’s degree supplemented by eighteen credits in accounting.