Blog: Wells Fargo Further Empowers Internal Audit
In his blog, IIA President and CEO Richard Chambers, CIA, QIAL, CGAP, CCSA, CRMA, shares his personal reflections and insights on the internal audit profession. Here’s an excerpt from his latest post:
I have often quoted Danish philosopher Soren Kierkegaard regarding what motivates change. He wrote, “All change is preceded by crisis.” American economist and Nobel laureate Milton Friedman made a similar observation when he said, “Only crisis, actual or perceived, produces real change.”
In this context, I was heartened to see Wells Fargo & Co.’s announcement of changes to its governance practices in response to several crises involving its consumer lending division. I won’t dwell on the details of the mega-bank’s missteps or the resulting regulatory fines. Suffice it to say the scandals that engulfed the world’s second-largest bank (by market capitalization) shook it to its core.
A 103-page business standards report released by Wells Fargo last week outlines changes the bank has undertaken as a result of its missteps, and they include important changes to its approach to internal audit.