2015–2016 Houston IIA Annual Report

PURPOSE AND OBJECTIVES

To provide value and service to our members in Houston, Texas, principally through effective education, training and certification programs.

To build the profession of internal auditing locally

through enhanced training and programs, including supporting targeted universities.

To promote the global internal audit profession

through contributions of resources (human and financial) to research and professional programs, primarily through The IIA.

To establish and maintain an adequate and

sustainable governance and organizational infrastructure to manage the Chapter activities, and to develop leadership continuity and effective succession planning.

To ensure adequate financial resources through the

exercise of appropriate financial stewardship to support the mission of the Chapter.

The Houston Chapter of the

Institute of Internal Auditors

is a professional association of

internal auditors involved in

promoting professional

growth and progress for the

practice of internal auditing.

MISSION

A MESSAGE FROM THE PRESIDENTWhat an amazing year it has been for The Institute of Internal Auditors and especially our Houston Chapter. The IIA celebrated its 75th anniversary. This noteworthy milestone helps us to remember how important it is to promote the profession of Internal Audit.I wanted to start off by discussing some of the key accomplishments that the Houston Chapter had in the 2015-2016 year. The Chapter offered 24 individual training events, totaling 122 CPE hours, with over 3,100 participants and almost 15,000 CPE hours awarded. The Chapter is committed to helping its members stay current on internal audit trends and techniques.Next, the Chapter donated $50,000 to the IIA’s Research Foundation, the global leader

in sponsoring, disseminating, and promoting research and knowledge resources to enhance the development and effectiveness of the internal audit profession. This contribution could not have been made without the support of each of you. New this year was the development of a working group of audit professionals who joined a global team of subject matter experts in internal audit. This team worked to create CIA exam questions, with 92 questions being accepted. The team’s contributions helped guide the development of new material and changes to reflect the current state of our profession. The Chapter’s University of Houston endowment continues to award scholarships to deserving students. The Chapter actively participates in student activities to help promote and bring awareness to the Internal Audit professional.For the seventh year in a row, the Chapter hosted its Annual Conference. With over 1,200 attendees, this event gives us the opportunity to receive excellent training and collaborate with other professionals from more than 200 companies. This Chapter has been so successful, from the Officers and Board of Governors, to those who meet with students, participate in speaking engagements and roundtables, attend each Chapter event, and those who work diligent volunteer hours to help each event be meaningful for each attendee. For that, I truly thank each and every one of you.It was an honor to serve as the President of the second largest chapter in the United States. Thank you all for your commitment to the IIA, the Houston Chapter and the Internal Audit profession.

Connie Khawaja, IIA – Houston Chapter President, 2015-2016

Year End R

eport

How would you rate your overall satisfaction with the Houston IIA Chapter?

ExcellentGood

Fair

The primary goal of the Certification Committee is to sustain and help assure the professionalism, value and credibility of internal audit through professional certification and the application of the global professional standards. The Houston Chapter is committed to showcasing our leaders, promoting and encouraging members to obtain IIA designations and promoting internal audit organization management (Chief Audit Executives and Office of the City of Houston Controller).

The Certification Committee is responsible for the acknowledgement of certificate recipients in the Houston area, as well as the promotion of IIA certifications to the membership and IA professionalism to the larger business community. Aligned to these responsibilities, the committee responds to and assists past, current and future recipients with inquiries related to the certification process. Throughout the year the Committee organized certification recognition luncheons to celebrate and recognize the past year’s recipients and promote the designation throughout the community. For further information on IIA certifications, please refer to Certifications and Qualifications – The Institute of Internal Auditors at: https://na.theiia.org/certification/Pages/Certification.aspx

Lisa Arroyas, CIA, MBA — Chair, Certifications

Lauren Harris, CIA, MBA — VP, Membership

Congratulations to our 114 members who earned IIA certifications!

55 CIAs

21 CRMAs

10 CGAPs

CIA REVIEW COURSE

The CIA Review Course was a BIG SUCCESS!! It was held on July 20–24, 2015 at the University of Houston, CT College of Business.

This course was offered to assist candidates in their preparation for successful completion of the Certified Internal Auditor (CIA) examination and was again instructed by Dr. Glenn Sumners from Louisiana State University.

We had a full class all five days and received excellent feedback from the participants! Many thanks to Dr. Sumners and all of the participants for making the class a great success!

Certification

Accounting & Taxation Advisory Board (AAB) Banquet – University of Houston

Academic Relations plays an important role in our Chapter Success! The goals of the Academic Relations Committee are to promote the profession and enhance Internal Audit education. The Houston Chapter supports universities in our local region with

an emphasis on schools with Internal Audit specific coursework including: University of Houston (Main), University of Houston Downtown (UHD), University of Houston Clear Lake (UHCL) and Rice University.

In addition, we support and participate in Student Associations which include: Beta Alpha Psi, ISACA Student Chapters and the Internal Audit Student Association (IASA).

Academic R

elationsTest Development Team

During the Chapter year, the Houston IIA sponsored the creation of a Test Development Team. The Test Development Team (TDT) prepared exam content for the CIA exam. The team had a highly successful first year by authoring approximately ~100 new exam questions to be included in the upcoming CIA Exams. This team carries out an important role by keeping the CIA exam content refreshed, relevant and reflective of real-world practice of Internal Audit.

Thank you to the 2015/2016 TDT Members:

Justin Anderson Jeffrey Jackson Shari Sanderford Sunny Oyebamiji Joyce HuangGaylon Cunningham Jaina Kalan Courtney Smith Gregory Hartman Alvin ObediNina Duanmu Tasneem Kalolwala Theresa Watson Candice Elliott Modesto MatheuJamie DuBray Ann Lovelady

®

Houston 7th Annual ConferenceApril 11, 2016 • NRG Center

2016 Annual Conference – ANOTHER HUGE SUCCESS!

Our 2016 Annual Conference was another successful event, thanks to the sponsors, the chief audit executives, the speakers, the volunteers and the dedicated Conference Committee. Everyone worked tirelessly to exceed expectations for this our seventh annual event. The smiles on everyone’s face at the end of the conference and the session evaluations indicate that we achieved our objective of delivering a high-value learning experience.

Congratulations again to the Conference Committee Chairs for an outstanding job.

We encourage everyone to take the lessons learned from the Conference and “make a positive impact” on your organization and your career.

Please mark your calendars for next year’s Conference to be held April 3, 2017.

Deanna F. Sullivan, 2016 Annual Conference Chair

Platinum Plus SponsorsPlatinum Plus Sponsors

Lynne Renshaw – Program

Wilson Van Tine – Registration

Larry Abston – Sponsors

Mark Ross – Exhibit Hall

Connie Khawaja – Finance

Rumy Jaleel-Khan – Marketing

Lara Chalmers – Facilities

Becky Blanchard – Logistics

Christie Erickson – Volunteers

CONFERENCE COMMITTEE CHAIRS

Thank you to our wonderful sponsors for their support of the 2016 Conference! Annual ConferencePlatinum SponsorsPlatinum Sponsors

Gold SponsorsGold Sponsors

CBIZ Risk & AdvisoryServices, LLC

The 19th annual Houston Audit Challenge Golf Tournament was held on Thursday, May 26, 2016 at the prestigious BlackHorse Golf Club. This year’s event included 95 golfers.

The schedule of events included: Two Closest to the Pin Beat the Pro Longest Drive On the Course Pictures

Special thanks to the Tournament Committee

◆ Tournament Chair - Jim McAnelly, Deloitte

◆ Sponsorship Coordinator - Craig Liberty, Deloitte

◆ Volunteer Coordinator - Jamie Dugas, Deloitte

Golf Tournment

Eagle Sponsors Tee Sponsors Promotional Supporters Deloitte Calpine BlackHorse Sirus Solutions CBIZ Deloitte Woodforest National Bank Niche Assurance Donovan & Watkins RSM El Tiempo PwC Torchy’s Tacos Birdie Sponsors In Kind Sponsors Postlethwaite & Netterville BKD The Vanek Consultancy Group The IIA

1st Place Gross 1st Place Net

Alex Mouton, Avis Ovoss, Logan Pousson, Jack Truett

Stephen Adams, Luis Blaco,Jaina Kalan, Cameron Nessmith

Thank you to our generous sponsors and door prize supporters

Houston Astros Networking Event

We had a great evening of networking on the Budweiser patio while cheering on the Astros.

The event sold out with over 60 attendees at the game. Thanks for making this event a success!

Leadership Academy

Chapter Leaders Jay Qatato, Jamie DuBray, Rowen Chen and Paul Petit attended the 2016 IIA Leadership Academy in Orlando, Florida April 24 – 26 for skill-building,

networking and interactive knowledge exchange to enhance our chapter.

Networking &

Events

Chapter Achievement Program

One of the ways we gauge our success as a Chapter is through the Chapter Achievement Program (CAP). CAP points are earned for our accomplishments in three areas: Service to Members, Service to the Profession, and Chapter Administration.

Over the past year, our Chapter members and leaders have been hard at work providing for our profession. Because of everyone’s hard work, we earned 2,725 points and achieved the IIA’s Platinum Status for the tenth year in a row! We know it takes time and effort to grow and better the internal audit profession as well as our Houston Chapter, so THANK YOU members, officers, and volunteers who have contributed your mind and time to help us succeed! To give you an idea of our success across the profession from this past year, at May 31, 2016 the IIA had 162 chapters with only 59 (or 36%) achieving Platinum Status.

We hope everyone continues to participate in the profession and our Chapter. Report your activities you’ve to the CAP Administrator at CAPAdministrator@houstoniia.org to assist in continuing to achieve in our Chapter’s Platinum status.

Sincerely,

Rumy Jaleel-KhanPast President and CAP Administrator 2015-2016

Professional Development

Our members received more than 15,200 CPE hours through

a wide variety of learning opportunities and topics!

Chapter Accomplishm

entsLuncheon Topics

♦ The Auditor’s Role in Fraud Risk Management

♦ Accidently in Charge

♦ Managing Your Personal Brand

♦ How to Become a Strategic Auditor

♦ The Law Affecting Internal Auditors

♦ Monetary Allegory of the Wizard of Oz

♦ Assessing Risk and Emerging Trends

♦ The Nathan Mueller Fraud Case

♦ Enhancing Effectiveness through Behavior and Communication Skills

♦ SEC Priorities and the Application of Common Sense

Seminars & Events

♦ Fraud Issues & Awareness for Auditors

♦ How Servant Leadership Drives Superperformance

♦ Looking For Fraud In All The Right Places

♦ Auditing Contracts

♦ FCPA, Ethics, and Compliance Programs

♦ Internal Audit 101

♦ Forensic Analytics & Employee Fraud

♦ Personal Skills for Professional Success

Mary Hall

CanCare of Houston, Inc.

Vice President Technology

Jamie DuBray

Schlumberger

Vice President Academic Relations

Lauren Harris

PricewaterhouseCoopers LLP

Vice President Membership

CHAPTER OFFICERS

Connie Khawaja

ABM Industries, Inc.

President

Wilson Van Tine

Phillips 66

Vice President Administration

Eric Murray

Deloitte

Vice President Communications

Leadership

Thank you to our volunteers!

Edward Tucker

BlueLine Rental

Vice President Finance

Greg Bone

Marathon Oil Corporation

Vice President Seminars

Radha Ahya

Plains All American

Secretary

BOARD OF GOVERNORS

LARA CHALMERS

Sabre

BOB HERRIN

Transocean

JIM GARCIA

JG International Audit Services

KEVIN CANTRELL

Plains All American

MELISSA FRAZIER

Comfort Systems USA

RANDY FERNANDEZ

Houston Community College System

DAVID BRAY

Freeport McMoRan Oil & Gas

LARRY ABSTON

Anadarko

LYN BEATY

Halliburton

RUMY JALEEL-KHAN

Deloitte

BOARD OF GOVERNORS

LARA CHALMERS

Sabre

BOB HERRIN

Transocean

JIM GARCIA

JG International Audit Services

KEVIN CANTRELL

Plains All American

MELISSA FRAZIER

Comfort Systems USA

RANDY FERNANDEZ

Houston Community College System

DAVID BRAY

Freeport McMoRan Oil & Gas

LARRY ABSTON

Anadarko

LYN BEATY

Halliburton

RUMY JALEEL-KHAN

Deloitte

BOARD OF GOVERNORS

LARA CHALMERS

Sabre

BOB HERRIN

Transocean

JIM GARCIA

JG International Audit Services

KEVIN CANTRELL

Plains All American

MELISSA FRAZIER

Comfort Systems USA

RANDY FERNANDEZ

Houston Community College System

DAVID BRAY

Freeport McMoRan Oil & Gas

LARRY ABSTON

Anadarko

LYN BEATY

Halliburton

RUMY JALEEL-KHAN

Deloitte

BOARD OF GOVERNORS

Leadership

ESI AKINOSHO

Ernst & Young LLP

JOHN SORRELLS

Horn Solutions

LYNNE RENSHAW

Bristow Group, Inc.

SHAWN KILCHRIST

Deloitte

PAUL PETTIT

Protiviti

PAUL VANEK

The Vanek Consultancy Group

KEITH KAHL

Lyondell Chemical Company Leadership

Houston Chapter