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Chapter 4

Qualities of an effective internal audit function

If the internal audit department is to be effective in providing assurance it needs to
be:

 Sufficiently resourced, both financially and in terms of qualified, experienced
staff.

 Well organised, so that it has well developed work practices.

 Independent and objective.

 Chief internal auditor appointed by the audit committee to reduce management
bias.

 No operational responsibilities.

 Work plan agreed by the audit committee.

 No limitation on the scope of their work i.e. full access to every part of the
organisation.

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