Implementing and Auditing
the Internal Control System
With globalization,
deregulation and the advent of derivatives, credit institutions and the treasury
operations of manufacturing, merchandizing and service companies are finding that their
traditional tools for management control no longer suffice. They must develop more
efficient processes able to measure and monitor their risks in real time. Internal control
is a dynamic system covering all types of risk, addressing fraud, assuring transparency
and making possible reliable financial reporting within such organizations.
In Implementing and
Auditing the Internal Control System, Dimitris N. Chorafas defines both auditing and
internal control, and explains the value of internal control, why it must be audited, and
how it can be most effectively achieved. He addresses top management's accountability for
internal control, and uses case studies to demonstrate the application of such systems,
and the importance of sound and well-informed analysis of the information gathered.
Internal control systems
are examined within the context of the globalization of financial markets, under the
impact of the growth of information technology, and from the viewpoint of new regulations
by supervisory authorities in Group of Ten countries as well as by the Basle Committee on
Banking Supervision.
Based on an extensive
research project in the UK, the USA, Germany, France, Austria, Switzerland and Sweden,
this book is an invaluable source of practical advice for implementing internal control
systems and making existing systems more efficient. It provides managers and professionals
with guidelines for the interpretation and use of the resulting internal control
intelligence.
Dimitris N. Chorafas is an
internationally renowned independent consultant. He regularly gives seminars for banking,
industrial and government executives. Dr Chorafas is the author of over 120 books on
financial and industrial enterprises.
364 pages