‘Historically, internal audit has been viewed as a monitoring function, the "organizational policeman and watchdog" (Morgan, 1979, p. 161), tolerated as a necessary component of organizational control but deemed subservient to the achievement of major corporate objectives. An examination of the pressures on internal audit in recent years reveals the struggle to demonstrate that the function can add value.’

Spira, L. and Page, M.(2003)Risk management: The reinvention of internal control and the changing role of internal audit Accounting, Auditing &Accountability Journal, Vol 16, No 4, pp 640-661

 

Drawing upon suitable theories, frameworks and evidence from literature to support your argument/s, critically evaluate and discuss whether or not internal audit does indeed add value to an organisation.

 

Your submission should be properly referenced (Harvard System) using academic sources and should be 4,000 words (excluding reference list and any appendices).

• Critically evaluate the nature, purpose and scope of internal control audit processes within business organisations as tools to reduce business risks.
• Explain and evaluate accounting and internal control risks and systems.
• Appraise and critically review control risks and procedures necessary to mitigate such risks.
• Explain and evaluate internal control procedures.
• Explain and evaluate internal audit procedures.
• Explain and be aware of the extending internal audit horizons.
• Use both quantitative and qualitative techniques in order to analyse and evaluate issues relating to internal controls and audit.