The recent webinar, From compliance to value driver: how Internal Audit uncovers hidden savings, was co-hosted by the IA Director of GE Healthcare, Ilse Bontekoe, and the Risk Partner of TriFinance Advisory, Annemie Pelgrims. They explored how Internal Audit can move beyond compliance to deliver tangible financial impact.
The session focused on the concept of "value leakage" audits, where auditors use data-driven analysis to detect hidden financial losses, recover overpayments, and strengthen controls. An Accounts Payable case study illustrated how structured data analytics can reveal opportunities for process improvement and cost savings.
The event generated strong engagement from the audience, with practical questions spanning tools, methodology, scalability, IT controls, and stakeholder communication. Below is a synthesis of the main discussion themes and key takeaways.
Leveraging tools and technology
Participants asked about the tools that make value leakage audits possible. The speakers highlighted the use of SentrIQ, a continuous control monitoring platform using advanced analytics that enables quantified observations, detailed root cause analysis, and intuitive dashboards highlighting internal control deficiencies across processes. Technology was shown as a critical enabler of value leakage audits, supporting transaction-level analysis in processes like Procure-to-Pay. The speakers emphasized that while advanced tools enhance audit effectiveness, the methodology remains adaptable even for smaller functions with limited in-house resources.
Communicating value to senior management
Several questions focused on how to position value leakage audits to executive stakeholders. The speakers noted that framing is key: management should see these audits as value-adding regardless of recoveries identified. They work on a “no cure, no pay” model, ensuring there are no costs if no leakages are found. Even in such cases, management receives a comprehensive audit report with quantified findings and actionable recommendations. This approach helps Internal Audit demonstrate impact beyond compliance, by directly connecting control effectiveness to financial performance.
Applicability for smaller Internal Audit functions
Questions arose about whether smaller Internal Audit teams, with fewer resources, could apply these techniques. The speakers stressed that the methodology is flexible and scalable. Smaller functions can benefit from external analytics support while maintaining ownership of reporting and stakeholder engagement. This ensures Internal Audit of any size can elevate its role from compliance checker to strategic advisor.
Integration with IT Controls and broader audit scope
Participants were interested in how IT application controls and broader audit processes fit into value leakage audits. The speakers explained that validating IT application controls is part of ensuring end-to-end integrity of financial processes. Weaknesses in system controls often correlate with transactional leakages. By combining process, IT, and transactional reviews, auditors create a comprehensive picture of risk and value opportunities.
The Role of AI in value leakage audits
The potential role of artificial intelligence and machine learning was also discussed. The speakers agreed that AI has strong potential — especially in detecting complex patterns, anomalies, or subtle trends that may signal leakage. In theory, these technologies could significantly enhance the depth and speed of analysis. However, their deployment depends heavily on data quality and standardization.
Many organizations are not yet at the required level of maturity for AI-driven insights to be reliable. For now, the focus remains on proven data analytics and audit routines that work effectively even in fragmented data environments. That said, the speakers see a future where AI plays a bigger role in anomaly detection, predictive risk scoring, and pattern recognition, once prerequisites such as data governance and infrastructure are in place.
Revenue versus value leakage
The distinction between "revenue leakage" and "value leakage" was discussed. The speakers clarified that while not always directly linked to revenue, these audits often reveal value leakages across P2P, O2C, R2R, Payroll, Inventory and other financial and operational processes. The focus is on identifying losses, inefficiencies, and missed savings opportunities.
Practical case study insights
The Procure-to-Pay focusing on Accounts Payable case study illustrated how data analysis can reveal duplicate payments, missed credit notes, and overpayments to vendors. Beyond immediate recoveries, findings were used to recommend process improvements and control enhancements. Attendees asked about the transferability of this approach to other areas. The speakers confirmed that value leakage audits can be applied across multiple processes, including but not limited to O2C, R2R, Payroll and Inventory management.
The future role of Internal Audit
The webinar concluded with reflections on Internal Audit’s evolving role. The IA Director of GE Healthcare and the Risk Partner of TriFinance Advisory agreed that the profession must evolve from compliance-focused to value-driven. By embedding data analytics, focusing on value leakage, and communicating results effectively, Internal Audit strengthens its contribution to both governance and business performance.
Conclusion
The session highlighted that moving from compliance to value driver is not only possible but essential for modern Internal Audit functions. By applying structured methodologies, leveraging analytics, and focusing on value leakage, auditors can deliver measurable financial benefits while reinforcing governance. The Q&A demonstrated strong interest in practical implementation, and the discussion made clear that organizations of all sizes can adopt this approach.
Internal Audit’s future is one where compliance and assurance remain vital, but the real differentiator is the ability to uncover hidden savings and strengthen processes, creating value well beyond the audit plan.
