The latest insights and developments regarding the audit committee’s roles.
KPMG’s survey of more than 800 audit committee members worldwide offers insights that audit committees around the globe can use to sharpen their focus, benchmark responsibilities and practices, and strengthen oversight.
Drawing on insights from our recent Audit Committee Institute (ACI) pulse survey work and interactions with audit committees and business leaders over the past 12 months, we have highlighted seven items that, in our opinion, audit committees should keep in mind as they consider and carry out their 2017 agendas.
Prioritizing a heavy audit committee agenda is never easy, and 2016 will be particularly challenging given the level of global volatility and uncertainty – e.g. the geopolitical environment, commodity prices, interest rates, currency fluctuations, slowing growth in emerging markets – as well as technology advances disrupting established industries and business models. Drawing on insights from interactions with audit committees and business leaders over the past year, we flag 10 items for audit committees to keep in mind as they consider and carry out their 2016 agendas.
We surveyed 32 FTSE350 audit committee chairs who had changed auditors as a result of a tender during the last 3 years. We asked questions about the transition process, handover from one auditor to another, impact on the business, the degree to which tender ‘promises’ had been delivered and the challenges of transition.
Regular audit tendering and rotation is now a reality. During our recent series of ACI Technical Updates we took the opportunity to explore the perceived risks and benefits of changing the external auditor with around 150 audit committee members.
Corporate boards are deepening their involvement in company strategy and refining their oversight of the critical risks facing the company, according to a recent global survey from KPMG.
The survey responses - from more than 1,000 directors and senior executives in 28 countries - suggest that while many boards are clearly stepping up their game, significant challenges remain, including linking strategy and risk, and addressing growing cyber security risks.
To help identify the key challenges and concerns facing audit committees, boards, and their companies today, KPMG’s Audit Committee Institute surveyed around 1,500 audit committee members in 36 countries.
Our survey identifies broad international trends and provides detailed country data on audit committee challenges and concerns in different geographies.
A range of timely issues were explored including: