How Eurobank used data analytics for internal audit

Amid the challenging backdrop of the pandemic, Eurobank’s internal audit team seized the opportunity to enhance its data literacy as the pressures to deliver results mounted. Over this period, the team examined how remote work had influenced the bank’s risk monitoring framework and control environment, alongside the customary risks inherent to an organization of its scale and sector. Dimitris Kaskantanis, Head of Internal Audit Data Analytics at Eurobank, noted the imperative to bolster their data literacy. While analytics had been available in some form within the internal audit sphere for years, the escalating data volumes, continuous development of new tools, and the advent of artificial intelligence and machine learning had revolutionized the data landscape. Data analytics presented an avenue to attain a more precise and comprehensive understanding of organizational dynamics, and Eurobank’s internal audit team recognized the potential, provided they acquired the necessary expertise. Expanding datasets, the proliferation of machine learning algorithms, and the widespread use of low or no-code tools had introduced fresh possibilities for valuable insights, but also necessitated the acquisition of new tools and languages, according to Kaskantanis. To implement their plan, the internal audit team committed to integrating analytics across all phases of the auditing process, from planning to execution and risk assessment. The team, comprising around 70 individuals with varying degrees of data literacy, required a tailored strategy to cultivate the requisite expertise. As a first step, Kaskantanis and his team conducted a comprehensive gap analysis to identify existing skill levels, organizational demands, and areas of weakness. Subsequently, they developed customized learning paths tailored to diverse skill levels, with the ICAEW Data Analytics Certificate included in their educational materials. “The data analytics certificate offered a pretty holistic view of the skills required, so it helped many people at different levels to see the big picture,” Kaskantanis remarked. As individuals gained a deeper grasp of analytics, their overall comprehension of the broader context improved. For internal auditors, this translated into acquiring the information needed to formulate more incisive inquiries for the business and engage in more substantive dialogues with technical stakeholders within the organization. Kaskantanis emphasized that this initiative delivered both a cultural benefit and heightened awareness.

Remarkably, the internal audit team at Eurobank embraced the opportunity to drive change and enhance their skills, contrary to typical trends. Kaskantanis noted the enthusiasm among team members for the chance to grow and expand their capabilities, bolstered by the bank’s support. Nonetheless, the primary challenges were of a technical nature. Kaskantanis and his team established recurring meetings to facilitate discussions on use cases, address any encountered issues, and share lessons learned. “We encourage the exchange of ideas and concerns,” Kaskantanis explained. “We have this forum to assist with technical issues. And of course, we’re always open and eager to offer support and assistance to people when needed.” The team also employed alternative channels, such as recurring newsletters and an internal communication platform, to educate a broader audience. “If we find something interesting to communicate, we may push it through our internal newsletter.” Simultaneously, the team is exploring new tools and technologies. Eurobank is undergoing a broader transformation program alongside internal audit activities, including a gradual transition to cloud technology. Kaskantanis emphasized the importance of having the appropriate analytic tools and skills to manage this transition. In addition to other tools, the team is investigating the use of the Python programming language, given its versatility. Python aligns well with Eurobank’s overall transformation project, especially considering its compatibility with diverse datasets. “In internal audit, we try to deploy new tools that will help us move forward. For example, we are experimenting with identifying anomalies using machine learning algorithms. Python is a good match for this. The certificate was quite extensive in examining Python,” Kaskantanis noted. Furthermore, the team is evaluating options for data visualization, an essential communication tool that enables auditors to present multifaceted data dimensions in a single visual format. Kaskantanis underscored the critical importance of being data literate in the contemporary landscape. Internal auditors are increasingly tasked with processing larger volumes of information. Learning these skills is an ongoing endeavor, and the team must continually enhance their capabilities to adapt to evolving requirements. “We have to be able to cope with that, so the sooner we upskill, the better,” Kaskantanis concluded.

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