Purpose-Driven Internal Audit: Leveraging Root Cause Analysis (RCA) and Success Cause Analysis (SCA) for Greater Impact

Leading Internal Audit (IA) functions are increasingly adopting a purpose-driven approach to align their activities with the organisation's purpose, values, and strategic objectives. By doing so, they aim to deliver meaningful insights, drive positive change, and contribute to building a more resilient, ethical, and sustainable organisation.

To maximise the impact of IA, it is important to leverage both Root Cause Analysis (RCA) and Success Cause Analysis (SCA).

RCA is a powerful tool that helps IA identify the root causes of failures or problems hindering the achievement of the organisation's purpose. By employing structured approaches like the 5 Whys or Fishbone diagrams, IA can uncover the underlying causes of purpose misalignment and provide insights and recommendations to address them. This proactive and reactive approach ensures a consistent focus on the organisation's purpose by preventing future failures and misalignments.

SCA focuses on identifying the factors contributing to successes that align with and support the organisation's purpose. Through various methods such as interviews, surveys, and data analysis, IA can understand the drivers behind purpose-aligned successes and help the organisation replicate and scale these successes. By leveraging SCA, IA can maximise the achievement of the organisation's purpose by identifying and promoting best practices and success stories at all levels, from individual projects to entire functions.

While both RCA and SCA are valuable, the true power lies in leveraging them together. By combining the insights gained from RCA and SCA, as a purpose-driven IA, you can provide a comprehensive view of the organisation's alignment with its purpose. This holistic approach enables IA to identify areas for improvement, prevent misalignments, and drive continuous improvement and contibute to orgnisation's sucess!

By actively employing RCA and SCA, purpose-driven IA can serve as a strategic partner in the organisation's pursuit of its purpose. IA can provide actionable recommendations that help the organisation stay true to its values, mitigate risks, and seize opportunities. This

approach positions IA as a value creator and change catalyst, contributing to the long-term success and sustainability of the organisation.

A comparison between RCA and SCA:

• How do you envision the future of purpose-driven Internal Audit, and what role will techniques like RCA and SCA play in shaping this future?
• In your opinion, what are the key skills and mindsets required for Internal Audit teams to effectively leverage RCA and SCA in driving purpose alignment?