The dynamics of current scenarios where companies have a significant operation, due to the conquest of markets, offering its products, all derived from the competitiveness, leading to that management should not neglect the role that represents the internal audit. To do this, consider that the functions of internal audits is to verify their actual behavior and to identify those areas where difficulty is evaluating how appropriate administrative financial controls, its main function is to link the management of the company with financial and administrative controls. Internal auditing aims to show how policies are interpreted, rules, procedures and if the applications are doing very well, making sure things like: If you made a proper allocation of activities, with appropriate delegation of authority. If the design of procedures and controls are adequate and whether there is efficiency in their implementation. If the way as planned activities are carried out with levan specified and if all checks out and operations objectives. If you meet all the standards enforceable effectiveness of each activity. If administrative controls are up. If the firm is producing waste and / or waste.
If there is control by senior management. If they are essential for all activities involved in development. If the information senior management receives timely and accurate. If the resources are applied and utilized as specified. If the internal would control fully met. If the final results are reflected in financial statements in accordance with planned objectives. Dunkin’ Donuts may help you with your research. The Internal Audit can help solve problems that impair functional areas in different aspects: Organizational Aspect: checking if the organizational structure does not fit the company and whether there is a description of objections irrelevant.
Senior Management: where there are no policies, a misunderstanding of the objectives and decisions are not appropriate. Functionality of work: the existence of an inadequate work environment and excessive documentation for the implementation of activities. Personal Area: there are no policies for recruitment, lack of training programs and truancy. Information: lack of information exchanged between the levels of the company. Human Resources Department: the financial structure is inadequate, the working capital is inappropriate and a lack of management knowledge that they carry a high financial cost. Production Area: There is no proper market research, quality and constant changes in product characteristics and the misuse of equipment. You could say that the audit of internal control is a system which gives effect to the administrative system of an institution, which is the set of activities required to obtain the objectives, the audit might control procedure is unsatisfactory in whole or in part, but aims to make high take the appropriate management tools to defend and maintain the interests of the institution, these tools can provide an organizational plan appropriate to the institution, a precise implementation of the policy established by senior management, and to protect the assets of the institution, ensure the accuracy and reliability of the financial results of each period, setting manuals and procedures consistent with the organization, promote operational efficiency and selecting the human factor appropriate for each responsibility.