Strategic implementation of the audit committee and of the internal audit function

Author:Nadir ALI, PwC

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Keywords:need, competitive advantage, responsibilities, external audit, ethical regulation

Abstract:
The author, starting from studying the requirements and the international practice and also based on his own professional experience, makes a synthesis of the internal audit functioning in a modern entity, in which context the audit committee plays an important role. \r\n\r\nThe audit committee responsibilities are relevant including in the financial reporting area and enduring the integrity of the internal controls systems within the entity and also its relationships with the external audit. \r\n\r\nIn context are approached pragmatic issues on audit committee structure, on strategic implementation of the internal audit function, risk assessment and audit planning, budget development, starting the work in the field, necessary experience assessment, establishing the communication protocols and performance assessment. \r\n\r\nAn important issue is that related to the fact that in order to successfully implement an internal audit function, it is essential to have a strategic approach having in view the long-term performance in comparison with a rapid implementation made only in order to observe the minimum legal requirements.

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