1. The audit fails to ensure that all the risks that matter now and will matter in the near future are getting the appropriate level of attention from internal audit.
2. The audit committee should challenge any audit activity that is not designed to address a risk that matters.
3. The audit fails to take a strong stance that internal audit reports to them and serves their needs first, not those of management.
4. The audit committee should challenge internal audit on how they work with the risk management activity. Where it exists, are they assessing its effectiveness, risk and management of risk appropriately?
5. The audit is bereft of objectivity and independence from undue management influence.
6. Finally, but in many ways most importantly, the audit committee should require that the CAE provide them with a formal assessment of the company’s management of risks and the effectiveness of related internal controls.
The publication make
Burchris answered the question on July 6, 2019 at 19:04
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