Internal auditing is an independent process, objective assurance, and consulting activity designed to add value to the organization’s operations. It is a holistic activity as it brings a systematic and disciplined approach to the company’s operations. IA improves the complete health of the organization, the effectiveness of risk management, control, and governance processes.
Since internal auditing is an impartial process, it is best to look for the most transparent Internal Audit Firms in UAE.
Scope of Internal Auditing
Our Internal Auditing services in UAE encompasses potential organization’s governance, risk management, and control process. Furthermore, an internal audit helps the organization in –
- Analyzing the risk involved and securing assets
- Reliability of financial and management reporting
- Facilitating authorities in the assessment of internal functions
- Accomplishing organizational objectives by steadily monitoring the company’s operations.
- Operating in line with laws and regulations
- Evaluating process performance and managing risk effectively
- Providing insights/ suggestions for improvement and elevating the performance.
- Sufficing the business requirements and ensuring the meticulous functioning of the firm.
Phases in Internal Auditing
Internal Auditing process starts with the planning phase. A meeting is scheduled with the prime organization contact for the audit to discuss the audit process, scope, objectives, risk factors and so on. In this phase, the clientele elucidates the requirements and other details to the auditor. All the details are documented and planned to proceed further.
This phase follows the steps identified in the planning phase, such as conducting interviews, reviewing law policies, best practices, and verifying sample transactions. The internal auditor performs transaction testing on the information obtained about the company’s operations. Testing validates the functioning of controls discerned during the preliminary review to be working accordingly.
The system is analyzed and evaluated for any risks. The auditor discusses the significant findings during this phase with the customer for appraisal. Both client and the auditor will have a steady contact throughout this phase.
Internal Auditors prepare a draft audit report after the fieldwork phase. The draft report comprising findings, opinions, and recommendations, is reviewed by the clientele. The audit customer studies the report and shares insights, corrective plans, or other modifications along with a timeline for working on the updates. All these responses are recorded in the end and presented to the respective officials.
A follow-up is done by the auditor to confirm whether the recommendations have been executed as intended. Unimplemented plans are reported annually to the higher authority.
Advantages of Internal Auditing in Dubai
- Helps to establish effective management in the organization by improving the performance and in-line control of operations.
- This is a continuous review system that helps in recognizing and rectifying any errors in the company.
- It helps to identify risks through a systematic risk assessment and conceals the gap in the business.
- Enhances the performance of employees in the organization as any mistakes committed is immediately revised.
- Acts as an efficient tool for optimum utilization of resources and cost minimization.
- Makes the final auditing process easier by correcting errors and frauds found in the books of accounts (if any).
Significance of hiring Internal Auditors in Dubai
The Internal Auditing Services should be unbiasedly carried out by an impartial internal auditor. Therefore it is always preferable to go for an independent auditor/firm providing internal auditing services. Internal auditors are responsible for evaluating and managing the risk involved by analyzing the information obtained about a firm’s controls.
The auditor ensures the smooth functioning and strengthening of the firm. Any fraud within the organization is easily detected as internal auditing is a continuous process, conducted within small intervals throughout the year.