Internal audit evaluates a company’s internal controls, including its corporate governance and accounting processes. They ensure compliance with laws and regulations and accurate and timely financial reporting and data collection, as well as helping to maintain operational efficiency by identifying problems and correcting lapses before they are discovered in an external audit.
Internal audits play a critical role in a company’s operations and corporate governance. Besides making sure that a company is complying with laws and regulations, internal audits monitor operating results and verify the accuracy of its accounting and audit trails. They also safeguard against potential fraud, waste or abuse, and seek to identify breakdowns in internal controls. Internal audits provide management and the board of directors with value-added advice, suggesting improvements to current processes and practices which may include information technology systems as well as supply-chain management if they are not functioning as intended.
Spectrum provides internal audits either on a daily, weekly, monthly or annual basis. We also take into consideration of specific requirements where some departments may be audited more frequently than others.
We generally issue reports at the end of each audit that summarize the findings, recommendations, and any responses or action plans from management. An audit report shall have an executive summary; a body that includes the specific issues or findings identified and related recommendations or action plans; and appendix information such as detailed graphs and charts or process information.