The IIA Introduces New Topical Requirement for Organizational Behavior Audits

On December 15, 2025, the Institute of Internal Auditors (IIA) announced the release of the Organizational Behavior Topical Requirement. This initiative marks the third installment in a series aimed at refining audit practices and is particularly significant as it addresses the intricate relationship between organizational behavior, risk management, and overall performance.

The decision to create this new requirement stems from extensive feedback gathered from industry practitioners and stakeholders worldwide. The newly released guidance redefines the approach to auditing organizational culture by presenting it as a structured assessment of behavior-related risks. This serves as a baseline for integrating behavioral insights across audit functions, ultimately enhancing the effectiveness of internal audits.

Importance of Organizational Behavior in Auditing

In the realm of auditing, organizational behavior is increasingly recognized as a pivotal aspect that influences risk identification and management, decision-making processes, and strategy execution. As stated by Anthony Pugliese, President and CEO of The IIA, "Organizational behavior is increasingly recognized as a key driver of performance and resilience." He emphasized that the actions and interactions of people within an organization significantly affect how objectives are met and barriers are navigated.

The new requirement outlines clear expectations and practical steps for internal auditors to evaluate how behavior is governed within their organizations. It enables auditors to assess the systems and structures that promote desired behaviors aligned with organizational goals, such as controls, incentives, and accountability measures.

A Comprehensive Approach to Risk Assessment

The Organizational Behavior Topical Requirement encourages a holistic view of organizational culture, pushing internal audits beyond traditional compliance checks towards a dynamic assessment of the behavior that shapes outcomes. By identifying behavior-related risks, auditors can better advise management on fostering a culture that supports strategic initiatives and improves resilience to various challenges.

For organizations to achieve sustainable success, it is vital to have a thorough understanding of the human elements influencing outcomes. The new guiding principles provide a foundational framework to help auditors evaluate relevant behaviors, recognize risk areas, and recommend actionable improvements.

Additionally, the IIA's Topical Requirements are part of the broader International Professional Practices Framework (IPPF), which includes Global Internal Audit Standards and Global Guidance. This framework ensures consistency and sets a baseline for auditing across diverse sectors, addressing risks that are prevalent on a global scale.

What’s Next?

Looking ahead, the IIA plans to introduce a subsequent Topical Requirement focusing on Organizational Resilience. This initiative will delve into risks that could significantly disrupt an organization’s ability to deliver on its core products and services, maintain stakeholder trust, or achieve strategic objectives. Potential areas of focus include natural disasters, public health emergencies, and other disruptive events that can severely impact organizational function.

In summary, the release of the Organizational Behavior Topical Requirement signifies a transformative step for internal auditing practices, emphasizing the analysis of behavior within organizations as a critical aspect of risk management and organizational success. As auditors embrace these new standards, organizations can look forward to stronger frameworks that support better decision-making, ultimately enhancing their resilience and performance in today's complex business landscape.

About The Institute of Internal Auditors

Founded in 1941, The Institute of Internal Auditors has grown to represent over 270,000 members globally, leading the charge in standards, certifications, education, research, and technical guidance for the internal audit profession. With more than 200,000 Certified Internal Auditor (CIA) certifications awarded worldwide, the IIA stands as a critical resource for enhancing the role of auditing in organizations. For more information on their initiatives and resources, visit theiia.org.