IFC is a preventive audit where each process owner validates each control time and again and establishes the faith within the management that he is reasonable in performing his activities and risks are mitigated by him. If not, it gets automatically highlighted rather than waiting for the internal audit or statutory audit to highlight.
IFC is a process designed to provide reasonable assurance regarding:
The institute of Chartered Accountants of India has issued a Guidance note on the said matter in September 2015
Business Process Re-engineering (BPR) examines the efficiency and effectiveness of a company's most critical processes. It is a key enabler to deliver the highest-quality of service, in the most productive way, at the most competitive cost and time to output.
We work with each client to prioritize key processes based on the value at stake. For each priority process we develop a view of the current state based on operational data, using detailed process maps and analysis to help identify major gaps
We work very closely with our clients in this type of project, enlisting a team from all the functional areas impacted at the leadership and the solution generation level. This allows us to eliminate waste, unnecessary wait times, reports, handovers and sign-offs, while ensuring the integrity of the process
Organizations may enter large number of contracts with suppliers, contractors, and or any other contracts. This may be an effective way of managing the resources of the organizations and outsourcing the work / activity to the outsiders who are better equipped to perform the activity / service.
However this cost saving / productivity improving proposal is many a times marred by few problems like no control on the volumes of contract, poor risk management, improper statutory compliances, over reliance on contract copies, revenue leakages, missed opportunities of cost savings and many more to quote.
Similarly an organization may outsource the production / processing work to a contracted manufacturer who is bound to certain terms and conditions – material controls, safety guidelines, regulatory compliances. These conditions are however not reviewed and any possibilities of discrepancies or possibilities of cost savings and profit optimization needs to be done.
Organizations that have reached maturity in the management of contracts have the opportunity to avoid or mitigate many of these challenges. We can help the organizations conduct these contract management Services.
With the pace at which changes occur globally, with the advent of newer technologies at various domains of business, increased compliance requirements and with the varied cultures in which the company operates, a company is exposed to higher amount of risks than it used to be earlier.
The role of internal audit is to provide independent assurance that an organization’s risk management, governance and internal control processes are operating effectively. Thus it is a professional service offered to add value and improve organizations operations. Internal auditors deal with issues that are fundamentally important to the survival and prosperity of any organization. Unlike external auditors, they look beyond financial risks and statements to consider wider issues such as the organization’s reputation, growth, its impact on the environment and the way it treats its employees. It can help an organization accomplish its strategic objectives by bringing a systematic, disciplined approach to evaluating and improving the effectiveness of risk management, control, and governance processes.
The pace at which the things are changing have a significant impact in Internal audit function. Internal Audit has to help organization address the risks it faces, anticipate risks and mitigate them.
Internal Audit has been mandated in Companies Act 2013 for companies beyond threshold limits. As a result it is prerogative for these companies to lay down a structured internal audit approach and execute the same. However the need for internal audit should be taken as being partners for improvements. Internal Audit function should be drivers or catalysts for change
Today’s organizations face an increasingly complex set of risks. In the pursuit of a global growth, new technological and competitive forces; increased regulatory scrutiny and complexity; extended business models; increasing reliance on third-parties Risk have increased to a large extent.
As a result, key internal and external stakeholders have increased their scrutiny of and expectations for risk management, raising significant questions around risk and how it is addressed.
Enterprise risk management (ERM) is a structured, consistent, and continuous risk management process applied across an entire organization that allows companies to better understand and address material risks. ERM enhances organizational resiliency by improving decision making, strengthening governance and supporting a risk intelligent culture.
We can help your organization apply an integrated approach to identifying and assessing business-critical risks, evaluating existing risk management infrastructure elements, and constructing continuous, in-depth ERM processes
The cycle of Enterprise risk management looks like following
In July 2002 the U.S. Congress approved the Sarbanes-Oxley Act to establish standards affecting corporate governance, financial disclosure and the practice of public accounting for SEC-registered companies.
Today, public companies and their subsidiaries, as well as management and internal audit functions demand knowledge of the Sarbanes-Oxley (SOX) legislation and of Public Company Accounting Oversight Board (PCAOB) regulations to better understand stakeholder and investor expectations and their business impact.