Why not make this standard the minimum requirements expected of audit committees?
Why not use the standard to anticipate the wider authority ARGA will have?
The proposed standard is minimalist. It limits focus on just some aspects – tendering, oversight of auditors and audits, and reporting.
There are other responsibilities such as reviewing the company’s internal financial controls, and monitoring and reviewing the effectiveness of the company’s internal audit function. These are absolute musts to ensure we can have an effective audit.
We recommend that the proposed standard is ‘Part 1’ and that more follows. The Financial Reporting Council has published lots of guidance to assist audit committees in carrying out their role. Time to turn them into standards?
See our ideas here.
