Along with the increasing complexity of the business world, auditing services in India are increasingly needed to improve the effectiveness of risk management, control, and governance processes within an organization.
To be able to contribute to these three aspects, Internal Audit must be effective. However, several reports indicate doubts about the effectiveness of Internal audits, so this issue needs to be investigated further. The complexity of the business world poses opportunities as well as risks for organizations.
Nowadays, the internal processes are often very complex, especially in larger and internationally operating companies. Numerous company processes must be merged so that the desired goals can be achieved. Often, external, or internal circumstances can arise that can cause risks or problems. An internal audit can support companies in uncovering and eliminating inefficient processes and risks.
An internal audit is a function by which company processes are checked. In companies, she reports directly to the management. With the help of an independent and objective review, the company is to be supported in achieving its goals. The internal audit can perform the check through processes such as planning, organization, or monitoring. The “actual state” is compared, so to speak, so that a “target state” can be achieved. The internal audit is thus also a monitoring instrument of the management at the level of the compliance structure.
Internal audit: tasks
The scope of the internal auditing tasks depends on the size and structure of a company. In principle, a concept must be created and implemented during internal auditing, through which audit processes in the company are carried out. Reports should also be drawn up on the tests carried out. In addition, compliance with the internal control system and its functionality should be ensured. In principle, internal auditing can include the following tasks:
- Management audit: an examination of the performance of the management staff,
- Compliance Audit: Compliance with the applicable guidelines and regulations,
- Prevention: Corruption prevention, internal investigation if criminal acts are suspected.
Development of the internal audit plan
Developing a plan requires knowledge of the industry, the risks involved, and the stakeholders in the audit process. The experts will be able to help you gather the relevant information and develop a plan that will maximize your resources.
Optimal management process. Peace of mind
The internal audit performed by experienced top 10 audit companies in India with the appropriate skills and capabilities enables companies to meet the high expectations of managing the internal audit function in today’s business environment.
Internal audit is also a dynamic management tool that allows you to add value to your business, even if this activity has no direct link with customer satisfaction.
Auditors can help improve the results and value of your company’s internal audit so that it can achieve its objectives and implement effective and efficient risk management, control, and governance processes.
This content is meant for information only and should not be considered as an advice or legal opinion, or otherwise. AKGVG & Associates does not intend to advertise its services through this.
Posted by:
CA Aman Aggarwal
AKGVG & Associates