76 . MOPAN 2017-18 ASSESSMENTS . UNITED NATIONS RELIEF AND WORKS AGENCY FOR PALESTINE REFUGEES IN THE NEAR EAST UNRWA has a system of internal controls that are intended to safeguard assets, ensure adherence to regulations and rules, including management policies and procedures, and prevent fraud. The Assurance and Advisory Services Division (AAS) of DIOS carries out regular internal audits of UNRWA’s programmes and functions (17 audits in 2017) and the rationale for the selection of audit subjects and the audit objective is detailed. DIOS prepares its work plan in line with the work done by other oversight bodies such as the United Nations Board of Auditors, the Joint Inspection Unit, the Office of Internal Oversight Services of the Secretariat of the United Nations, and work commissioned by donors. . Audits are conducted in accordance with DIOS standards which are designed to conform to the International Standards for the Professional Practice of Internal Auditing. Assessment on conformity 1, 6, 21, 24, 36 to IIA standards has not yet been conducted. Upon audit completion, the AAS team closely monitors the status of the implementation of the recommendations in accordance with internally established procedures for recommendation follow up. AAS is working to incrementally develop an enabling infrastructure that supports the AAS Division in providing assurance and advisory services that meets international internal auditing standards. Internal audit capacity is being built through increased staff training. Results of internal audits conducted during the year are summarized in the relevant DIOS annual reports which are shared with the donors at the AdCom as well as publicly available on the UNRWA website. MI 4.4 Evidence confidence MI 4.5: Issues or concerns raised by internal control mechanisms (operational and financial risk management, internal audit, safeguards etc.) adequately addressed High confidence Score Overall MI Rating Satisfactory Overall MI score 3 Element 1: A clear policy or organisational statement exists on how any issues identified through internal control mechanisms will be addressed Element 2: Management guidelines or rules provide clear guidance on the procedures for addressing any identified issues, including timelines Element 3: Clear guidelines are available for staff on reporting any issues identified Element 4: A tracking system is available which records responses and actions taken to address any identified issues 4 3 3 3 Element 5: Governing Body or management documents indicate that relevant procedures have been followed/action taken in response to identified issues, including recommendations from audits 3 (internal and external) Element 6: Timelines for taking action follow guidelines/ensure the addressing of the issue within twelve months following its reporting MI 4.5 Analysis 2 Source document In the MTS 2016-21 UNRWA commits to ensuring that accepted recommendations of audits, evaluations and inspections, as well as decisions relating to fraud, corruption and other financial irregularities, are promptly followed up and implemented. The Department of Internal Oversight Services remains responsible for tracking, following up and quality checking the implementation of recommendations from Internal Oversight. Follow-up mechanisms are in place to systematically track the implementation of recommendations. These mechanisms serve to monitor recommendation compliance, evaluate the timeliness of interventions, assess performance, and identify any gaps and challenges that affect progress. 1, 2, 3, 6, 8, 15, 17, 24, 29, 31, 43, 79, 80, 81, 134