The Schwan Food Company's external auditor performed an analysis of the initial staffing level requirements for the IAD. Based on auditor recommendations, the audit committee and senior management decided to staff the department with 10 internal auditors supported by an annual budget allocation of approximately $1.63 million, although the size of the function is expected to increase as the company grows. Ideally, the CAE wanted people at the senior and manager level with public accounting experience, as well as internal auditing work in industry. At the entry staff level, the CAE recognized that it was not possible to find people with that combination of experience. As a result, the IAD was staffed with a fairly broad-based assortment of expertise in financial, operational, compliance, and information systems auditing.