Statistical Process Control What Is the Correct Essay

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Statistical Process Control

What is the correct relationship of internal audit to senior management?

The correct relationship of internal audit to senior management is a supportive relationship. It is imperative that senior management makes it known, through is ways and actions, that it supports internal audit. One piece of evidence consists of senior management granting internal audit easy access to senior management and the audit committee. The process of senior management providing easy access for internal audit guarantees the correct relationship of internal audit to senior management.

How should conflict be managed? Is conflict inevitable?

Conflict is always inevitable between internal audit and senior management. When internal audit interact with senior management, there is always a potential for conflict. In fact, it is virtually impossible for people with diverse background skills and norms to work together; make decisions, and try to meet project goals and objectives without conflict.

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Internal audit and senior management must come together and compromise anytime conflict arises. Evaluations must be made to manage conflict in order to see where improvements can be made to better the relationship between the two. Both groups must use conflict to their advantage to strengthen their cohesion. Conflict does not always lead to negative outcomes; instead, it can lead to beneficial outcomes for internal audit and senior management.

What types of relationships would compromise independence?

Relationships can compromise independence when the internal auditor does not report to the following groups: audit committee, board of directors, or the appropriate governing committee.

Was audit independence compromised in the WorldCom study?

In the WorldCom study, audit independence was compromised because the CAE did not follow protocol. The CAE were to report….....

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