An internal assessment covering multiple points of business.
Today, Boards and CEOs are looking at their IAF as a key strategic tool and expecting more out of IA. In a joint survey by KPMG’s Audit Committee Institute (ACI) with the National Association of Corporate Directors (NACD) in the United States, it was found that only 46 percent of audit committee members were very satisfied with their company’s IAF.
Audit committees and CEOs today are interested in knowing how they can position their IAFs to add value to the business that goes beyond regulatory compliance and assurance on internal controls. IA is also expected to lead the way in linking risk monitoring, compliance activities, continuing regulatory changes and the C – level agenda.
An internal auditor is a person who performs internal audit. It can be an individual, partnership firm or a body corporate. An internal auditor can be a Chartered Accountant or Cost Accountant (whether in practice or not) or such other professional which the boards appoints to conduct internal audit of the functions and activities of the company.
An employee of a company can be appointed as an internal auditor provided he possess requisite qualification and abilities to perform internal audit.
Generally an internal audit involves following activities: