Ongoing internal evaluations of the internal audit activities are combined with periodic reviews and/or self-evaluations to determine the quality of internal audits. To remain in compliance with the IIA Standards, an internal audit activity needs to have an external assessment performed by an impartial reviewer or review team at least once every five years. Periodic self-evaluation in addition to continuous monitoring should be part of internal assessments. External evaluations might be self-assessed and independently validated, or they can be comprehensive external evaluations.
We will help you evaluate the internal audit activity’s conformance with the definition of internal auditing and the International Standard for the Professional Practice of Internal Auditing (Standards) and an evaluation of whether the internal auditors apply the Code of Ethics.
As per the Executive Bylaws issued by the Capital Market Authority “CMA” Module 15 – Corporate Governance, Article 6-9 which states “An independent audit firm shall be engaged to evaluate and review the internal control systems and prepare a report in this regard (Internal Control Report “ICR”), which shall be submitted to the CMA on an annual basis. Furthermore, another audit firm shall review and assess the performance of the internal audit department/office/unit periodically every three years; provided that a copy of the such report shall be submitted to the audit committee and the board of directors.
The core management, monitoring, and control functions in an organization are represented by corporate governance, risk management, and many other types of assurance providers, such as internal auditing. Because of this, they are continually the subject of examination from a variety of stakeholders, including the Audit Committee, Top Management, and the Board of Directors. It is not just a matter of whether the outcomes of their labor meet the needs of stakeholders; it is also an issue of how well and quickly these services are provided. The following are the main inquiries concerning the scope of internal auditing:
- What added value do stakeholders receive from Internal Audit’s services?
- How successful is internal auditing in serving as a stand-alone safeguard within the corporate governance framework of the organization?
- How does the Company’s internal audit stack up against best practices and comparable businesses?
- Our Internal Audit Quality Assurance concentrates on these problems and develops suggestions to assist align the existing situation with real requirements.
