Leandro Pontes of Tide Embraces Innovation and Flexibility in Internal Audit

Join Richard Chambers for a new episode of his Agents of Change video series, featuring conversations with internal audit leaders from some of the world’s most prominent organizations about innovation in the profession.

In this episode, Richard sits down with Leandro Pontes, Head of Internal Audit at Tide, to discuss the evolving role of internal audit, navigating talent challenges, and fostering innovation in a rapidly changing environment, including:

• Why solving problems, not just adopting new technologies, should be the true focus of innovation in internal audit.
• How to foster a collaborative approach between the board and internal audit to drive organizational improvement.
• How understanding individual career aspirations is key to motivating and retaining top internal audit talent.
• The critical need for internal auditors to be flexible, curious, and continuously learning to drive innovation and solve problems effectively.

Watch the full conversation, and read the can’t-miss highlights below.

Internal Audit as a Catalyst for Organizational Change

Richard Chambers: Leandro, in my book “Agents of Change,” I emphasize that internal auditors need to be catalysts, bringing great ideas forward to help organizations transform. How do you feel about this role for internal auditors?

Leandro Pontes: I fully agree. One of the most beautiful aspects of internal audit, especially in our volatile and dynamic world, is the ability to provide value beyond just being a value-protecting function. Being objective-centric is key – there’s no way an audit function remains relevant without looking at what the company is trying to achieve and how internal audit can fit into this wider arrangement.

Building Strong Relationships With the Board to Navigate Uncertainty

Richard Chambers: In this era of ‘permacrisis’ – how does internal audit help organizations navigate uncertainty and risk?

Leandro Pontes: Internal audit should be part of the high-level strategic conversations — then it’s best-placed to define its own strategy. The board should seek to understand the value internal audit can bring and support the function without overly steering its activities. It’s about collaboration, bringing value together, and making the most of limited resources in uncertain times.

Richard Chambers: Have your boards and executive management supported the idea of internal audit being a change agent?

Leandro Pontes: I’ve been fortunate to work with supportive and open-minded boards. At my current company, the board is willing to hear our ideas on better integrating with the first and second lines. However, it’s often necessary to educate boards about internal audit’s potential. Regardless of the board’s profile, it’s very important to keep collaborating, working together, and defining the next steps. There is a lot of uncertainty. We have to make the most with the limited resources that we have.

Addressing Talent Challenges in Internal Audit

Richard Chambers: Chief Audit Executives often cite talent as their number one challenge. What strategies do you use when looking for new team members?

Leandro Pontes: Finding the right candidates with the necessary technical and soft skills is indeed challenging. We focus on identifying key aspects we want to bring to the team and remain flexible in our hiring process. For retention, it’s important to understand what it means for each individual, especially for professionals with an entrepreneurial mindset. We try to understand their career aspirations and enable their growth. If we can work with them, they’re going to remain motivated, they’re going to be very happy doing what they’re doing, and they’re going to do the best work — even if it’s for not that long — you’ll get the best value you can from that team member.  

The Key Attributes of an Agent of Change

Richard Chambers: In addition to strong business acumen, relationship-building skills, strategic thinking, and innovation, what other qualities do you think it takes to be a change agent?

Leandro Pontes: Those four attributes cover most aspects, but I would add the importance of remaining flexible and continuously being curious and open to learning new things. It’s crucial to adapt how we work to add value. 

Regarding innovation, it’s important to remember that new technologies are tools to solve problems – solving problems is the real innovation. The role of internal audit is to understand the problem they’re trying to solve and how technology can help, rather than adopting new technologies as an end goal.

Check out more audit leader interviews with Richard Chambers on our Agents of Change video series channel.