Poor internal auditing, a threat to sustainability

The Institute of Internal Auditors (AII), has identified listed poor internal auditing as a major threat to companies’ sustainability in Nigeria.

The professional body stated this in Lagos, on Tuesday, during a news conference to announce its yearly conference.

According to the Institute, if auditors improved their oversight functions especially in the areas of internal control processes, it will go a long way to reduce risks associated with companies collapse to the barest minimum.

It also pointed out that instituting a strong internal auditing process and control is crucial to the survival of every aspect of business.

Specifically, the Chief Executive Officer of the institute, Mr. Humphery Okorie, said: “A major function of an internal auditor is to look at the whole internal control structure and how effective they work to guarantee sustainability.

Locally, a lot of internal auditors do not know that they have answers to their questions, as well as the resources on how to audit various processes.

There are so many answers also, but there is a gap on the awareness that these answers exist on the local level.

“Since the beginning of mankind, there has not been a time in history that the concept of organisational, business, and even individual disruption has manifested as in a per second basis than in this age and time.

It is no more a question of whether there will be a disruption, rather it is either you are disrupting others or you are already being disrupted.”

Furthermore, he added: “As part of IIA’s initiative for promoting the internal audit profession in Nigeria via world-class services and programmes, this conference will provide cutting edge and up-to-date insights that participants can implement to position their internal audit functions, as truly trusted and indispensable advisers to their organisations.”

Citing technology innovations as a catalyst for disruption in companies operations, he said the institute has gathered international and local experts to discuss the theme of its 2018 conference, titled: “Advancing Internal Audit in a Disruptive Landscape.”

According to him, this year’s conference, slated for September 27-28, in Lagos, will have in attendance the African Federation of Institute of Internal Auditors President Mr. Eric Yankah, member IIA Global Board, Mrs. Shirley Machaba, the Chairman of GTB, Mrs. Osaretin Demuren, DG Financial Reporting Council Nigeria, Mr. Daniel Asapokhai, among others.

Also speaking, a member of the board of the institute, Prof. Nat Ofo, said: “The modern internal auditor has been so placed in a position of playing pivotal role in assisting his or her organisation to continuously navigate through the wind of disruption.