Abstract
Internal auditing plays an important part in the management of corporations, but it has also proved necessary in the more general framework of public interest entities, especially listed entities, given the importance of their activity in society. The different activities that internal auditors perform lead to the creation of added value in the entity in which they operate. In Romania, this activity is relatively recent and it involves certain organising and exercising particularities. The internal auditor profession has globally faced the same challenges all the other professions face in regards to the digitalization of the economy.
Highlights
In Romania, internal auditing appeared 20 years ago and it is still in a process of assimilation and transition
In case the complaint is made by the shareholders representing, individually or together, at least 5% of the share capital or a lower quota, if provided by the constitutive act, the internal auditors shall be bound to check the facts complained about, and in case they are confirmed, they shall be written down in a report that shall be communicated to the board of directors, or to the supervisory board, respectively, and made available to the general meeting; in this case, the board of directors or the supervisory board, respectively, shall be bound to convene the general meeting
Another legal reference is G.E.O 75/1999 on financial audit activity, which in its current form provides the following: Art. 3 (3) The financial audit is performed by financial auditors or audit firms that are authorized according to the provisions of the law and that are members of the Romanian Chamber of Financial Auditors, hereinafter referred to as the Chamber, and consists mainly of the following activities: (...) e) internal audit, other than public internal audit
Summary
In Romania, internal auditing appeared 20 years ago and it is still in a process of assimilation and transition. The entity's board of directors is responsible for organizing the internal audit activity This activity emerged and developed as a necessity because managers needed their own tool for direct and independent information. By assimilating tasks that are usually the responsibility of the auditors, the legislator has established responsibilities for internal auditors that go beyond the standardized professional framework Another legal reference is G.E.O 75/1999 on financial audit activity, which in its current form provides the following: Art. 3 (3) The financial audit is performed by financial auditors or audit firms that are authorized according to the provisions of the law and that are members of the Romanian Chamber of Financial Auditors, hereinafter referred to as the Chamber, and consists mainly of the following activities: (...) e) internal audit, other than public internal audit. In order to respond to the new challenges, KPMG has established a series of directionsthat highlight the areas on which internal auditing should focus so that it can effectively add value throughout the organization and maximize its influence on the company (Table 1 )
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