Mitigating Risk Before It Happens: The Strategic Value of Pre and Post-Implementation Review

In the fast-paced world of business, implementing new systems and processes is a critical component of growth and innovation. However, these implementations often come with significant risks. Too frequently, these risks are identified only after a system or process has gone live, resulting in costlier fixes and greater impact. To mitigate these risks, high-growth companies must adopt a proactive approach through structured pre- and post-implementation reviews. This approach strengthens internal controls, accelerates time to value, and ensures alignment with business objectives.

Be Proactive

Internal controls are most effective when developed and applied before or during implementation. Identifying risks early allows for cost-effective fixes and better outcomes. Embedding pre-implementation reviews into the implementation schedule can catch design issues and misalignments in requirements and quantify risk exposures, leveraging system configurations to support control objectives.

Post-Implementation Reviews

While pre-implementation reviews are ideal, post-implementation reviews during a planned stabilization period can also be effective. As systems and processes become operational, teams can identify areas for enhancement or risk that may not have been uncovered during design. Structured post-implementation reviews create a feedback loop that continuously improves execution.

Dual Review – Pre & Post Reviews

Combining pre- and post-implementation reviews ensures that risks identified during implementation are addressed and any remaining gaps are closed. This dual approach enhances the effectiveness of internal controls and supports sustainable growth.

Efficiency

Catching issues early through pre-implementation reviews avoids rework, reduces scrambling for fixes, and accelerates time to value. Addressing missteps before they become critical ensures smoother implementations and better outcomes.

Ongoing Feedback Loops

Structured post-implementation reviews foster a culture of continuous improvement. Regular discussions on issues and risks, developing roadmaps to address them, and maximizing return on investment by leveraging system features create a highly effective feedback loop. This approach ensures long-term viability and builds a culture of compliance.

Integrating Internal Audit Insights

According to Altum’s white paper on internal audit’s role in pre- and post-implementation reviews, internal auditors play a crucial role in digital transformation projects. Their involvement helps identify potential risks early, ensuring that new systems align with business objectives and regulatory requirements. Pre-implementation reviews provide an independent assessment of project governance, system design, and control frameworks, minimizing the chances of project delays and budget overruns.

Post-implementation reviews evaluate the overall performance of the implementation program, ensuring that new systems meet the organization’s requirements and expectations. These reviews help optimize processes, improve governance, and manage risks throughout the transformation process. By conducting both pre- and post-implementation reviews, internal auditors provide valuable insights that drive better outcomes for future projects.

Internal auditors are essential in both pre- and post-implementation reviews. Their expertise ensures that risks are identified and mitigated early, aligning new systems with business objectives and regulatory requirements. During pre-implementation reviews, auditors assess project governance, system design, and control frameworks, helping to prevent delays and budget overruns.

In post-implementation reviews, auditors evaluate the performance of the new systems, ensuring they meet organizational requirements and expectations. This continuous evaluation helps optimize processes, improve governance, and manage risks effectively. By integrating internal audit insights, organizations can enhance the effectiveness of their implementation reviews, ensuring long-term success and compliance.

By embedding these structured reviews into the governance model, organizations can catch gaps early, ensure alignment with business objectives, and create a feedback loop that continuously improves execution. This proactive approach to risk management supports agility and innovation and ensures long-term success and compliance.