In the company where the ethical management system is established, we have wondered why the fraud / corruption occurs repeatedly and how to respond effectively to the irregularities / incidents.
Based on these concerns, I interviewed corporate audit teams of various sizes. As a result, I noticed that the members of the audit team are working in a harsh environment, and that only the audit team has difficulties in maintaining their independence.
"Lack of Audit Personnel"Even companies with sales of a trillion-won have only a few auditors. It is hard to expect effective audits due to heavy workloads of the organization. In addition, depending on departments, they underwent audits only in every few years, and it is only limited to conventional interviews. The staff of the audit office knew this limits, however, it was inevitable because of lack of personnel.
"Limitations of Auditing Techniques"Recently, fraud/corruption techniques have been specialized and advanced, therefore, general audit techniques have been limited. For effective auditing, a new type of auditing technique that uses the digital forensic-based investigation method used by the investigation agencies such as the prosecution became necessary. However, auditors do not have opportunities to learn new auditing techniques.
"Non-Independence of Audit"The staff of the audit office is in charge of circulation as well as the staff of other departments. For this reason, the audit office staff can not ignore their relationship with other departments, and there are practical difficulties that can only be subject to tangible and intangible pressure from the target.
HM attaches importance to 3 core values to solve realistic difficulties of auditing team.