The Role of Internal Audit from New Enterprise Risk Management Frameworks Perspective: Research in Turkey

Abstract

Enterprise Risk Management (ERM) has emerged as a paradigm aimed at enabling organizations to respond to ever-changing risk factors. Since the publication of the COSO Risk Management Framework and IIA report in 2004, internal audit functions have assumed a variety of roles in organizations' ERM operations. The main purpose of this study is to determine the extent to which internal auditors' activities have changed over time in relation to ERM activities and to what extent these tasks are undertaken in practice. In the first part, literature and new risk frameworks related to the role of internal audit in ERM are examined. In the study, data collected from 245 internal auditors working in organizations operating in Turkey were analyzed by t-test and analysis of variance (ANOVA). From the findings, it was determined that the opinions of internal auditors regarding ideal situations in terms of ERM tasks assumed under certain conditions differed from those in practice. The analyses showed that some of the internal auditors' opinions differed statistically according to demographic variables. It has been determined that the opinions of internal auditors differ according to age, professional experience and enterprise sector in which they worked. The results were compared with studies on different samples. Thus, internal auditors' opinions and the current situation in Turkey, can be compared to different regions. In our study, different results were obtained from the results of studies conducted in different countries.