Anna Okon
The 2019 Audit Committee Pulse Survey has shown that as companies and their boards wrestle with a fast-changing digital world, they are subjected to greater risk management and internal control pressure.
The survey published by KPMG recently, noted that data analytics, artificial intelligence, automation and blockchain mounted pressure on firms’ finances, internal audit and enterprise risk management.
It said while assessing risks in these firms, the audit committee is usually confronted with the question of the capacity of the leaders to handle the situation.
They ask questions such as, “Is the tone at the top clear? Does leadership walk the talk? What is the mood in the middle and the buzz at the bottom? Does the company’s culture make it safe for employees to do the right thing?” the study noted.
According to the survey which covered more than 1,300 audit committee members, technological innovation, digital disruption and the complexity of business are exerting greater pressure on firms and sharpening their focus on risk management and the internal control environment.
It pointed out that the situation had made many audit committees to continue to…
