Complaince - Role of today's internal auditor
In today's changed and ever complex , technology driven business environment , there is an abundance of regulations . This is perhaps due to the fact that government policy makers around the globe making an attempt to constrain risky activities , restore consumer and inventor confidence ,protect environment and change the way the business needs to be done by engaging the community .
The added challenge of staying ahead of new regulation as it is enacted may challenge internal audit and auditors capability . The complexity , diversity and global reach of regulatory change have caused internal audit organisations to think creatively and objectively about how they address these compliance risk and how they assess the response of management to the changing environment .
Leading internal audit fucntion use organisation's internal legal and complaince resource as well as specfic outsourced expertise to address complex compliance issues .
According to one of the leading consultants survey , the focus on regulatory compliance will increase by almost 60% in next 3 to 4 years.
Internal Auditors' role in regulatory complaince - Best practice
Todays internal auditors should ask themselves about their extent of invlovement in following pressing regulatory compalince areas
Areas
a. Anti-corruption
b.Data privacy laws e.g information Technology Act 2000
c.Environment Laws
d.Financial & commercial regulation Laws
f. Import & Export regulatory laws
g.Sustainability or social responsibility laws
h. Labor welfare laws
i. Taxation laws
Extent of invlovent
1. Routine testing at operating Units
2.Program evaluation at corporate or BU level
3.Contribute to program development /modification/enhancement
4.Develop complaiance self audit programs ( best practice)
