The Chief Audit Executive Can Bridge The Gap Essay

786 Words Oct 13th, 2016 4 Pages
The Chief Audit Executive can bridge the gap and provide enhanced value to stakeholders is by developing the audit universe, which is generated through consultation with senior management and other stakeholders. Therefore, the Chief Audit Executive can begin to bridge the gap and include the stakeholders in the process of what needs to be audited by incorporating issues identified through an enterprise-wide risk assessment or enterprise risk management program. For this reason, ERM allows the internal auditor to facilitate discussions with stakeholders to identify what represents the most significant risks to shareholder value by identifying risk assessment process areas. In addition the internal auditor can focus on vital risks that are of more concern to stakeholders than trivial risks that create a more efficient ERM implementation or execution. Furthermore, the internal auditor can continuously monitor and assess stakeholders expectations on risk and how they can better reduce the stakeholders risk appetite is well suited for an internal auditor to perform. For that reason, the internal auditor can assist stakeholders in defining risk tolerances where there are currently none that have been identified and creating a tailored internal audit plan to test the compliance goals and strategic objectives set forth by the board of directors. Next the three performance measures that the Chief Audit Executive can utilize to monitor and report against are security, efficiency and…

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