The Audit Podcast - Ep 274: Managing the Hell Out of Your Audit w/ William Englehaupt (Autophagy)
Date: February 17, 2026
Host: Trent Russell
Guest: William Englehaupt (CEO & Founder, Auditology LLC; author; former KPMG/PwC director)
Overview
This episode centers on driving operational discipline, efficiency, and innovation in audit management—drawing from William Englehaupt’s real-world experience in integrating Lean, Six Sigma, and Agile concepts into audit. The lively dialogue covers hands-on strategies for standardizing processes, the importance of disciplined execution, lessons learned from leading-edge client engagements, and insights from Englehaupt’s practical “no BS” approach to audit leadership. There are also fun side-notes on Englehaupt’s role as an award-winning competitive barbecue judge.
Key Discussion Points & Insights
1. The Barbecue Backstory (02:52–06:30)
- Bill’s Dive into Barbecue Culture: As former president of the Southern Barbecue Network, Englehaupt reveals the meticulous and competitive world of BBQ judging.
- “You gotta like eatin’. But they, they train you, right? So there’s various criteria ... flavors, tenderness, texture, how it looks.” — Bill Englehaupt (03:36)
- Distinguishes between competition versus restaurant barbecue: competitions are hyper-bespoke, using premium ingredients and meticulous presentation, making it cost-prohibitive for restaurants.
2. Real-World AI Use & “The Professor” Prompt (07:20–10:14)
- Innovating with AI for Small Business Mentoring: Bill volunteers with SCORE, using a custom-designed AI “Professor” to coach budding entrepreneurs.
- Outlines how detailed, guided AI prompts can coach, offer guardrails, and support even those who find human mentors intimidating.
- “It can go on. I mean, I’ve had some of these up to an hour and generate almost a plan that you can then send the individual …”—Bill (08:17)
- Internal Audit Application: Trent suggests such “mentoring AI” is equally valuable in audit training, especially for rotational or new team members.
3. Modern Audit Methodologies: Lean, Six Sigma, and Agile in Audit (10:14–14:52)
- Bill describes the application of Lean and Six Sigma—methods typically reserved for manufacturing or operations—into the service-oriented world of audits:
- “The idea around these techniques are bringing the world of lean and lean six sigma and applying them to service processes that are inside an audit function …”—Bill (10:48)
- These methods standardize and optimize, focusing on repeatable processes and root cause analysis of inefficiencies.
4. Success Stories: Tangible Audit Improvements (12:08–17:23)
- PwC Implementation: Audit leadership brought in consultants from manufacturing backgrounds; their “factory-like” approach to auditing yielded higher productivity and replicability across engagements.
- KPMG Proof of Concept: Initially skeptical audit partner converted into a champion after notable efficiency gains in a massive engagement (“tens of thousands of hours … 40, 50 people in the audit team”—Bill (13:18)).
- Internal Audit and External Partnership: Streamlining “walkthroughs” with standardized protocols led to audits going from slow, painful processes to seven-day turnarounds.
- “They realized how much extra work was going into this and how much delays were slowing the process down. So that was a big win for this group.”—Bill (15:55)
5. The No BS System: Discipline, Urgency, and Control (17:23–19:51)
- Bill’s approach: Manage audits with explicit discipline and urgency—not by accident or wishful thinking.
- “There’s discipline around things like planning, … review notes … But the big thing that we talk about really is discipline around the planning and then building in those prototypes, protocols, or the standard work.”—Bill (18:41)
- Trent’s reflection: Even as an audit veteran, he wishes he’d learned and practiced disciplined project management earlier.
6. Training, Apprenticeship, and Upfront Coaching (19:51–27:08)
- Skill Gaps in Audit Training: Many auditors learn from predecessors without formal project management education, perpetuating inefficiencies. Bill critiques the “apprenticeship model” for transmitting ineffective workarounds.
- The Book’s Central Theme: Managing the Hell Out of Your Audit
- The playbook comes from years of applying Lean/Agile concepts at PwC and KPMG, now codified for broader use.
The One Key Takeaway: Upfront Certification & Coaching
- “Upfront coaching”—not just telling, but certifying the performer before work begins—leads to less rework and frustration.
- “The goal … is to certify the performer. … We typically say it takes two steps … set the work up … Then … the employee … actually explain[s] to the manager how they want to do the work …”—Bill (24:18)
- This method reverses the standard model—focusing on preparedness, clarity, and dialogue before tasks begin, enabling autonomy and reducing later review notes or rework.
7. Final Thoughts & Key Message (27:22–28:12)
- Rethinking the Status Quo:
- “We keep trying the same things over and over again and expect different results. … There are other ways that can get you what you want from the audit: fewer hours, more satisfaction from the work, better client relationships. … There is indeed another path to go down …”—Bill (27:22)
Notable Quotes & Memorable Moments
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On Discipline in Auditing:
- “How do you execute this audit in a standard way that you can then replicate it week after week after week … discipline around … planning, … review notes, … building in … protocols or the standard work …”—Bill (18:41)
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On Coaching Approach:
- “The coaching model … was pretty defective. It was usually in a rush. It was usually just a dump. … By the person [who] gets in, they actually start digging into it, they got questions, they got problems. … work rework starts coming out of the system, review notes start flying, and the person gets really frustrated.”—Bill (24:05)
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On Not Repeating Mistakes:
- “We keep trying the same things over and over again and expect different results. … There are other ways … through reading the book or working with us later.”—Bill (27:22)
Timestamps for Key Segments
- [02:52–06:30] – Barbecue judging background; competition vs. restaurant BBQ nuances
- [07:20–10:14] – AI “Professor” prompt and applications for staff training/mentoring
- [10:14–14:52] – Lean, Six Sigma, and Agile adaptation for audit; client success highlights
- [14:54–17:23] – Audit process improvements and internal/external team collaboration
- [17:23–19:51] – Standardized audit work, need for strong discipline, avoiding “magical thinking”
- [19:51–21:25] – Skill gaps and learning by (sometimes flawed) example
- [21:25–27:08] – Genesis and thrust of the book; the “upfront certification” coaching model
- [27:22–28:12] – Closing thoughts and challenge to “try another path”
Takeaways for Auditors and Audit Leaders
- Disciplined, standardized processes consistently outperform ad hoc or legacy methods.
- Borrowing proven methodologies from other industries (Lean, Six Sigma, Agile) can radically improve audit performance.
- Transformative change is driven by clear protocols, upfront coaching, and a management mindset.
- New technology—AI prompts, digital mentors—has untapped potential in training and onboarding auditors.
- There is always another, better way—don’t settle for the way it’s always been done.
For further details and practical application guides, check out Bill Englehaupt’s book “Managing the Hell Out of Your Audit.”—available on Amazon and referenced in the show notes.
