How is the internal audit function staffed?

Internal auditing activities can be conducted by:

In-house resources The organization may assign responsibility
for audit activities to a corporate internal audit department or
include some audit activities in the responsibilities of line functions
(for risks such as safety, environment, etc.). The internal audit
department may include staff from other departments as part of
audit teams.
A fully outsourced internal audit function reporting to a designated
executive The organization engages an external firm to perform
the entire internal audit function. Some companies may be
prohibited by statute or regulation from outsourcing internal audit
work to their external auditors. Professional accounting standards
may also restrict this activity.