President’s Message

Chapter Officers and Board

Congratulations & Welcome

51st Annual Seminar

Internal Audit Spotlight

IIA Chicago Chapter Online

Chapter Awards

DePaul University

Internship Program

January 2011 • Volume 67 • Number 1

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trainingCareer Assistance Program

January, February & March

2011 Training Sessions

Chapter Achievement Program

Training Session Photos

IIA Chicago Chapter 51st Annual SeminarDonald E. Stephens Convention Center 5555 North River Road Rosemont, IL 60018If you are interested in volunteering on the day of event please contact:

Alex.Williams@gt.com

If you are interested in becoming a sponsor please contact: YuliaGurman@officemax.com

SAvE thE DAtE:MoNDAy, ApRIL 4, 2011

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pRESIDENt’S MESSAgEI hope that you have had a fun summer and fall and are enjoying the winter. The IIA Chicago Chapter Board of Governors, Officers and I have been busy doing our best to develop some great chapter and member initiatives for the 2010/2011 fiscal year.

For those that do not yet know me, my name is Matt Briesch. I am currently serving as your 2010/2011 Chicago Chapter President. There’s a lot of work that goes into making it one of the best in the IIA. This year I have the plea-sure and honor of working with an outstanding team of Officers and their committees; Katie Witt – Senior VP, Cathlynn Nigh – VP of Education, Kristi McGowan – Secretary, Andrew Schweik – VP of Operations, Nick Saracco – Treasurer, and Rebecca Nilson – AVP of Education. Their volun-teer efforts and support during the first few months of this year’s administra-tion has helped set us on a “Platinum” course once again this year.

Our current fiscal year initiatives continue to be focused on you and your fellow chapter members and the internal audit profession as a whole. We will continue to offer discounts for those in transition to attend all monthly training sessions in order to help maintain their professional networks and sharpen audit skills. We are into year two of our career assistance initiative and will offer networking events and communication regarding job opportunities. This year we will strive to also accomplish the following:

Work toward providing relevant monthly training lead by subject matter experts to our members •at a fair cost

Expand our college scholarship awards from two to three Chicagoland universities•

Increase our advocacy efforts to provide more visibility about the internal audit profession to •companies and university students

Offer a two day training course in the area of Fraud in February•

Continue to communicate to and obtain information from our members through various channels •including our weekly chapter emails, our website, LinkedIn accounts, newsletter, and surveys

Improve the format and content of our chapter newsletter•

Identify and encourage our members to serve as volunteers in order to develop the next generation •of chapter leaders

Advocate the profession by reaching out to local professionals not previously engaged in the IIA•

Identify new individuals for internal auditing by participating in student activities•

Bring another outstanding annual seminar to our members with some of the nation’s premier •speakers and professional networking

Please continue to monitor your email, our website, and the Innovator for more details on these great opportunities available to all Chicago members. I would encourage you to attend one of our excellent monthly training sessions or networking events. Feel free to take the opportunity to meet one of our chapter leadership – we look forward to seeing you and appreciate all of your suggestions and support.

The Board of Governors, Officers and I look forward to having another great year with you!

Matt Briesch, President IIA Chicago Chapter

Matthew Briesch PresidentIIA Chicago Chapter

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CoNgRAtuLAtIoNS & WELCoMEPlease join us in congratulating the following members who have recently obtained certifications:

The Chicago Chapter would like to extend a warm welcome to our new members who recently joined the Chapter:

Join us in congratulating the following individuals celebrating significant milestones as members of the Chicago Chapter:

Chapter officers & Board2010-2011 Chapter Officers

President Matt Briesch,

McMaster-Carr Supply Company

Senior Vice President Katherine Witt,

Inner Workings, Inc.

Vice President of Education Cathlynn Nigh,

The Marmon Group

Vice President of Operations Andrew Schweik,

Ernst & Young LLP

Treasurer Nick Saracco,

Grant Thornton LLP

Secretary Kristi McGowan,

Blue Cross Blue Shield Illinois

Board of Governors

Term expiring May 31, 2011:

Rick Kokoszka Darcy Morowitz Craig Youngberg

Tonya Ferrill Stacy Davis Ken Clow

Term expiring May 31, 2012:

Ed Gozdecki Peg Koenigs Tim Makris

John McGaw Justin Naples

Term expiring May 31, 2013:

John Mickevice John Covell

J. Michael Joyce Jr. Jeff Perkins

Larry Brown Laura Koelzer

CIAs

Ama AcquahAliraza AshiqaliHeidie CoteyMarie GoldbergMarta Gomez CanovasJoseph GriglioneMarko HlibchukAdeel KhulsaiKrzysztof KrakowiakGang LingWilliam Mele

Rachel MikrutWyatt MilsteinRobert NelsonJohn PetraitisTomas RitterAaron SandlerJeffrey SchumakerAleksandra StojanovaTracy WangDavid WendelnChristopher YottAndrea Zimmerman

CGAPs

Steven GorskiAmelita Mapagu

CFSAs

Mariela AmbrizMatt Stukenberg

CCSAs

Steven Swanson

Michael DavidsonBrandi WolfingerMichael ThorntonMarie SalamancaSamantha GoudreauEric CimbalaKellen CannJohn HaldrupJustine KawaKevin Smith

Allison McIntoshBrent BanashKathleen FerrellRyan JohnsonPaul GerberMark SheahenDominick AdolfoEric SimagaLisa EricksonJorge Cerda

Elizabeta StojanovskiRudy JovanovicMike MarbackTimir PatelCandice MoschellSteve SabinRaimondas LapinasTony NenaAngela KleinAnna Peterson

25 years

Edward J. KroegerMichael F. PryalRobert S. Roussey

20 years

Edgar M. DionisioGlen GustafsonDavid L. CraigRobert C. FlanneryBruce J. PattersonLinda M. FloresMartin A. Strzelczyk

15 years

Raymond W. ZhangMarie T. McWardDavid DoneyHelen E. ShankKeith Stanley WrobelMarianne MontefineseMichael J. WardKim Marie FugielDaniel J. Gaffney

10 years

Jaime L. HoltKeir JonesKathleen J. AbbottDavid SinasonMark J. SchafferWilliam John CarrollLaura Kay KoelzerJacqueline D. BlessentDebra Marie CagneyAlexander KimMichelle LichtenwalterRobert E. Pierce

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51St ANNuAL SEMINARgeneral InformationThe 51st IIA Annual Seminar will take place on Monday, April 4, 2011.

This one day seminar is attended by approximately 1,000 internal audit, finance and risk professionals. Attendees will have the option to customize their learning experience by attending tracks covering a va-riety of topics including:

CAE Best Practices Fraud Information Technology Auditing Professional Development Emerging Issues and Trends Future of Audit CIA Preview

Location:Donald E. Stephens Convention Center 5555 North River Road Rosemont, IL 60018If you are interested in volunteering on the day of event please contact:

Alex Williams, Alex.Williams@gt.com

If you are interested in becoming at sponsor at the 51st Annual Seminar please contact:

Yulia Gurman, OfficeMax, YuliaGurman@officemax.com

INtERNAL AuDIt SpotLIghtIn each issue, the Innovator will profile a current Chapter member. The goal is to find out why they chose their profession, what they do for fun (besides audit), and what has made them successful.

This issue’s spotlight is on Richard Kokoszka, Managing Director of Internal Audit for CME Group. Richard was recipient of the Chicago Chapter’s 2010 William C. Anderson award. This is our chapter’s highest award and it recog-nizes the individual who has made the most outstanding contribu-tion to the chapter over the current year.

How did you become an internal auditor?

In my junior year at DePaul University, I started an internship in public accounting with a medium size local firm. After graduation, I continued in public accounting working for one of the Big 8, Coopers & Lybrand. In my fourth year of public accounting, I was ready to move to industry. I knew very little about Internal Audit-ing back then as only a couple of my clients had Internal Audit Departments. A few of my colleagues who left public accounting talked about the travel and variety of internal audits that they were performing at a conglomerate called Beatrice Company. I decided

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JoIN thE IIA ChICAgo ChAptER oNLINECatch the latest chapter and industry news and win prizes including Starbucks gift cards, great IIA books and free event registration.

Richard Kokoszka Managing Director of Internal AuditCME Group

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to interview and found their Internal Audit department very profes-sional and an integral part of corporate governance. It was my first taste of internal auditing and found it a very exciting with a variety of experiences. I traveled quite a bit being out of town over 150 nights a year. After a couple of years of traveling, I was ready to cut back and spend more time at home and took an internal audit manager job at a telecommunications company, Centel. During my time at Centel, I got involved in the Institute of Internal Auditors both at the local chapter and international committee level. Well, 30 years later, I am still in Internal Auditing and an active member of the Board of Governors for over 25 years.

Any particular skills or experiences you are proud of as an internal auditor?

Wow, there are quite a few as I have spent many years in this profession.

Institute of Internal Auditors:

• IhaveheldvariousrolesinthelastthreeInstituteofInternalAu-ditors International Conferences held in Chicago (’85, ’93, ’05). At each of these conferences, we held a world class event for internal auditors from all corners of the world.

• IleadtheChicagoChapterin1989/1990whenIwaselect-ed President of the Chicago Chapter of the Institute of Internal Auditors.

• IhavebeenontheBoardofGovernorsoftheInstituteofInternalAuditors – Chicago Chapter since 1985.

Internal Auditing:

• In2003/2004,thebiggestachievementofmycareerwasensuringthat CME complied with Sarbanes-Oxley’s Section 404.

• IammostproudofpeoplethatIhavehiredandworkedwithwhere they have gone on to successful careers. These people now are leading Internal Audit departments at other companies. Oth-ers have left the internal audit profession and gone on to become CEO’s, Presidents, and CFO’s.

• Ienjoyfraudinvestigations,gettingintothedetailandinterview-ing people. I hate when people cheat the company and I love get-ting the answers to the questions raised in the fraud triangle and rec-ommending controls to detect/prevent the fraud.

Your passions/hobbies (outside of work)

• Ienjoywatchingmyfourchildrengrowupandattendingtheirvarious sports events. For example, we travel to various hockey rinks and baseball parks across Chicagoland, the Midwest and Can-ada with the kids.

• Iplayedbaseballmostofmylifeandhavebeeninvolvedinbase-ball my entire life. I coached all of my boys in baseball and contin-ue to be a baseball manager and coach for my youngest boy. Base-ball has been a big part of my entire life as my father played in the major leagues.

• FortheInstituteofInternalAuditorsChicagoChapter,Iloveplanning our monthly meetings, annual seminar and the golf out-ing. The joy of meeting or exceeding my customer requirements is my paycheck. Meeting and working with facility, catering, and au-dio/visual staffs at various venues are a lot of fun.

• IlovegolfandwishIhadmoretimetoplay.

Any words of advice to fellow internal auditors? Key success factors?

• Getactiveinyourprofessionbyvolunteeringtoworkoncom-mittees in the professional organization that you belong to. Get in-volved by speaking at seminars or conferences on topics that you love. This opens the networking door to people that you would have never met. These people become a part of your professional life. The benefits include friendships and sources of information, ideas and advice while you progress and grow during your career.

• Maintainingyourskillsasaninternalauditorinthisvolatileworld of changing risk is very important. Make sure you get your annual CPE. Prepare for, sit and obtain certifications related to your profession. If you don’t have your MBA, start.

• FormrelationshipsatyourcompanyatalllevelsfromstafftoSe-nior Executive Management. Find ways to get people to know you and what you do. Get involved in Company social and professional events. These relationships are vitally important to be successful in your job and career.

• Treateveryonewiththedignityandrespect.

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DEpAuL uNIvERSIty INtERNShIp pRogRAM AND Co-op INtERNShIp pRogRAMInterested in hiring a Depaul university intern? DePaul invites you to hire some of its best and brightest students. Internships and Co-ops enable you to share in the educational process of students, who will work from 10 weeks to three years at your organization. The length of work is determined by your needs and interns must work a minimum of 10 hours per week.

To learn more about the process of recruiting DePaul interns, please contact:

Carrie McAteer-Fournier Associate Director University Internship Program DePaul University Career Center 312.362.5364

cmcateer@depaul.edu careercenter.depaul.edu

For more information about the University Internship Program, please visit the link below:

http://www.careercenter.depaul.edu/recruit/internshipscoops.aspx

AND thE WINNER IS…Many members spend countless hours dedicated to the continuous improvement of the Chicago Chapter. Each year, Chicago Chap-ter members recognize fellow members for outstanding contribu-tions to the Chapter. At the annual Chapter luncheon, the Chicago Chapter recognized six members with the following awards:

Rick KokoszkaWilliam C. Anderson – Member of the Year

This is our chapter’s highest award and it recognizes the individu-al who has made the most outstanding contribution to the chapter over the current year. Candidates who have demonstrated truly ex-ceptional work for our chapter are considered.

Stacy DavisSpecial Recognition

This award is given to the member who has either made a significant contribution over the current year or who has provided significant and consistent service over a number of years.

Randy EmeryAuditor of the Year

This award is unique in that it is not related to volunteer work. This award focuses on the day-to-day performance working as an Inter-nal Auditor. This award celebrates the value our profession brings to

organizations and is awarded to an auditor who contributed recom-mendations to their organizations such as fraud discovery or fraud prevention control improvements, new risk assessment methodolo-gies, revenue leakage controls, expense savings, continuous monitor-ing processes, compliance and regulation controls, etc. Obviously the list is almost endless! Please note that this award has not received very many candidates in the last few years and the chapter has a pri-ority to ensure we recognize extraordinary audit efforts. Please con-sider this award for your outstanding audit co-workers!

Rebecca Nilson tonya FerrillOutstanding Committee Chairperson of the Year

As you can imagine, there are a large number of volunteers working in our chapter in a structured format with Chairpersons overseeing each committee. This is a valuable role within our chapter and this award serves to recognize the highest performing Chairperson over the current year.

Ryan MurphyEducator of the Year

This award is given to an educator who has made significant re-search or internal audit classroom contributions to the Chicago Chapter over the current year.

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CAREER ASSIStANCE pRogRAMThe Career Assistance Program was established to assist IIA Chicago Chapter members during career transitions by providing access to training and networking events and communicating available job op-portunities. A key objective is to facilitate the placement of available individuals with organizations where resources are needed.

2010-2011 Objectives

• CommunicateemploymentopportunitiesonanongoingbasisthroughLinkedInandtheIIAwebsite. • Coordinateajobfairforpotentialemployerstointeractwithindividualsseekingemployment. • Provideandcommunicatetrainingopportunitiesatadiscountedpricetomaintaincurrentskills. • Facilitateeducationalandnetworkingopportunities.

Key Activities

• Discountedpricestounemployedmembersforchaptersponsoredtrainingandevents • LinkedIngroup(IIA–ChicagoChapter)hasbeenestablishedtofacilitatenetworkinganddiscussions - 423 current members - 13 jobs posted since September

Next Steps

• Networkingandmemberappreciationevents • JobFair(inconjunctionwith2011ChapterSeminar) • MonitoreffectivenessofProgram

For additional information, contact Peg Koenigs at margaret.koenigs@chi.frb.org

JANuARy 2011 tRAININg SESSIoNLeadership and Rock & Roll: Integrating Leadership into every area of your life. SAVE THE DATE for a morning training session at the Gleacher Center on Monday, January 10, 2011!

This half day seminar, which will be led by Beth Bratkovic of KIS Virtual Training, is highly interactive and meant to create a foundation to help auditors become more aware of what being a leader means to them personally as well as to increase professional leadership skills.

The objectives of this session are to 1). Gain a better understanding of your personal goals as a lead-er; 2). Begin to create a leadership mission statement; 3). Identify ways in which you can improve your leadership skills; and 4). Create an individual leadership philosophy.

Click the following link to register today:

https://www.123signup.com/register?id=vzfny

More Images From the training Sessions Can Be Found on Flickr: http://www.flickr.com/ photos/iiachicago/

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FEBRuARy/MARCh 2011 tRAININg SESSIoNFraud Seminar SAVE THE DATE for this two day training seminar at the Gleacher Center on Monday, February 28, 2011 and Tuesday, March 1, 2011.

This event is an exciting new training opportunity for our membership. The two day seminar will fo-cus on the current fraud topics, and how to identify and handle potential fraud. There will be detailed examples, presentations and discussion that will make you the most current and up-to-date member of your team on the subject matter of FRAUD.

Look for more details coming soon!

ChAptER AChIEvEMENt pRogRAM (CAp) The Chicago Chapter participates in an IIA Headquarters sponsored program, called the Chapter Achievement Program (better known as CAP). CAP is designed to promote a minimum level of per-formance by the Chapter and bring awareness about the profession to the community. Chapters earn CAP points based on all chapter activities and are able to benchmark success against more than 150 chapters in Canada, the Caribbean, and US. At the end of the year, chapters are recognized for their achievement. The Chicago Chapter is working on its 10th year as a “Platinum” Chapter, the highest achievement in the CAP Program.

Reporting of all speaking engagements and publications earns the Chapter points.

If you have submitted articles to a trade publication or spoken on an internal audit topic at a meet-ing, seminar, or CPE class, please report your activities so we can earn Chapter Achievement Program (CAP) points:

• EachspeakingengagementoninternalauditingthataChaptermembercompleteswillearn1 credit per CPE hour. This includes members who speak at their own Chapter’s monthly meetings.

• Eachfullarticle,Roundtablearticle,FraudFinding,Computers&Auditing,etc.submittedthat meets basic editorial guidelines earns 5 credits.

• ForeachfullarticlepublishedintheInternalAuditorMagazine,20creditsareearned.

• ForeachChapterwhosubmitsover10Roundtablearticlesduringayear,5additionalcredits are earned.

• Eachinternalauditrelatedarticlepublishedinanyothertradeorprofessionaljournalthatis authored by a chapter member is 5 credits.

• WritingexamquestionsfortheIIAcertificationexamswillprovide10pointseach.

CAP points are also earned for participating in Junior Achievement.

What Else Can I Do?

Keep participating in all of the educational and social events we provide – from the luncheons to the seminars to the roundtable discussions. Points are earned for each member and nonmember who attends.

Please contact Kenneth Clow at kclow@csu.edu to provide information on your events.

More Images From the training Sessions Can Be Found on Flickr: http://www.flickr.com/ photos/iiachicago/