Evaluation of activity of internal audit: theoretical features and practical priorities

Elena Gheorghe Petreanu
2021 Problemi Teorìï ta Metodologìï Buhgaltersʹkogo Oblìku, Kontrolû ì Analìzu  
Internal audit is a crucial constituent in supporting the management of the prosperous entity in the circumstances of the competitive economy. The significant structural variations that have taken place in recent years both in the Republic of Moldova and in the world, the determination of new priorities in economic development, the formation of a new management system within the economic entity have contributed to the development of internal audit in several countries. A keen interest in the
more » ... lementation of internal audit also belongs to the owners, who are interested in monitoring the effectiveness of material, financial and human resources within the entity. The internal audit is actively implemented in the entity's activity, such as in the preparation of economic and financial information, its analysis and evaluation, control over the quality and efficiency of the entity's subdivisions, also on the safety of assets and efficiency of their use, etc. On these grounds, the role of quality assurance of the internal audit activity is currently on the rise, which is in line with its performance. In this context, the author approaches the study of the basic aspects of the internal audit evaluation process in terms of identifying the evaluation method, establishing and interpreting the indicators used in the evaluation, as well as determining the evaluation principles. As a method of evaluation of the quality of the internal audit activity, the author uses the dashboard, determines the basic steps in its use and suggests a list of indicators, which can be applied in the evaluation process. At the same time, the basic functions of using the dashboard in the process of evaluating the work of internal audit are identified.
doi:10.26642/pbo-2021-2(49)-40-47 fatcat:hjzcjgeitbgr3ilfk53iy7vgfa