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Explore the evolution of technology and its impact on opportunities, risks, and internal audit coverage. Discover actions you can take to adapt to these changes.
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IT Auditing and the Challenge of New Technologies June 16, 2011 Presented by: Jay Bowman, CISA, CISM
This Morning’s Topics • Evolution of technology and its applications • What this means in terms of opportunities • What this means in terms of risks • What this means in terms of providing internal audit coverage. • Actions you and your institution can take 2
Evolution of Technology • The rapid changes in technology during our lifetimes has made possible services our parents couldn’t even dream of. • Building Blocks • Computers • Telephones • Technology-Based Services 3
Computers 10
Computers 11
Computers 12
Computers 13
Computers 14
Computers 15
Computers 16
Computers 17
Computers 18
Telephones 19
Telephones 20
Telephones 21
Telephones 22
Telephones 23
Telephones 24
Telephones 25
Telephones 26
Telephones 27
Telephones 28
Telephones 29
Telephones 30
Telephones 31
Technology-Based Services The Atlanta Payments Project 32
Technology-Based Services • The Atlanta Payments Project • Electronic Payments Services • Implementation Considerations and Obstacles 33
Technology-Based Services • The Atlanta Payments Project • Electronic Payments Services • Check Authorization • Telephone Banking • Point-of-Sale Transactions • Automated Clearinghouse (ACH) • Check Truncation 34
Technology-Based Services • The Atlanta Payments Project • Implementation Considerations & Obstacles • Technology • Storage Limitations and Costs • Communications Speeds and Costs • Processor Speeds and Costs • Consumer Acceptance 35
Considerations and Obstacles • Storage Limitations and Costs 36
Considerations and Obstacles • Communications Speeds and Costs 37
Considerations and Obstacles • Processor Speeds and Costs 38
Considerations and Obstacles • Consumer Acceptance 39
Considerations and Obstacles • Consumer Acceptance • Older consumers are generally much slower to adopt new technology/services. 40
Considerations and Obstacles • Consumer Acceptance 41
Technology-Based Services • The Atlanta Payments Project • Electronic Payments Services • Check Authorization • Telephone Banking • Point-of-Sale Transactions • Automated Clearinghouse (ACH) • Check Truncation 42
Technology-Based Services • Check Authorization 43
Technology-Based Services • Check Authorization 44
Technology-Based Services • Telephone Banking 45
Technology-Based Services • Point-of-Sale Transactions 46
Technology-Based Services • Automated Clearinghouse (ACH) 47
Technology-Based Services • Check Truncation 48
_____________ What does all this mean in terms of IT internal audit? 49
_____________ What does all this mean in terms of IT internal audit? 50