An internal audit in a company is the conscience keeper of the board and has to prove that he is the conscience keeper of the board. This is the challenge. The role is unlimited. The challenges are largely internal and not external, said K Shankaran, Director, TTK Prestige Ltd, while addressing The Institute of Internal Auditors India National Summit 2022 on ‘Emerging Challenges and Opportunities in Internal Audit’.
“As an auditee, I have to ensure that I have a proper framework in the company, to oversee everything. But, it does not stop with me. I got a team of people with whom internal auditors interact. Inspite of several years of finding that audit is very important, there is always a certain amount of conflict and contradictions between the internal auditing and below the level of auditing. It is for the internal auditor to convince the auditee that I am not trying to find the mistake with you,” he said at the summit organised by Women’s Forum, IIA India.
“Many times, internal auditors come to the management with complaints. As an auditee, I have to ensure that I get the best out of the auditing,” he said.
Auditing is nothing but power conscience. In the current business world, there are statutory auditors who have liabilities, risks and also have disclaimers. Their report is based on the internal controls and does rely on internal auditors. It all depends upon the way the internal auditor proves to the company. This is very important. “There is a risk audit; an ESG audit and other kinds of audits,” Shankaran said.