Internal Auditing

Fast-gro­wing com­pa­nies, for­eign sub­si­dia­ries, the need to stan­dar­dize pro­ces­ses and ap­ply the best bench­marks com­pany-wide – the in­ten­si­fy­ing re­qui­re­ments of the mar­ket and com­pe­ti­tion are also ha­ving an ef­fect on cor­po­rate or­ga­niza­tio­nal struc­tures. You can’t con­sider stra­tegy wi­thout a wor­ka­ble risk ma­nage­ment sys­tem. Which me­ans that a pro­perly ope­ra­ting in­ter­nal au­diting de­part­ment is the foun­da­tion for ef­fi­ci­ent core busi­ness pro­ces­ses.

Alongs­ide its pre­ven­tive func­tion, in­ter­nal au­diting is be­com­ing more and more im­port­ant as an ex­ten­ded arm of cor­po­rate ma­nage­ment. In­ter­nal au­diting ope­ra­tes in a broad and di­verse field that long ago be­gan to re­ach beyond con­ven­tio­nal mo­ni­to­ring func­tions. To­day, ef­fec­tive in­ter­nal au­diting also ma­kes a va­luable contri­bu­tion toward enhan­cing the ef­fi­ci­ency of or­ga­niza­tio­nal pro­ce­du­res.

It’s of­ten more cost-ef­fec­tive for me­dium-si­zed en­ter­pri­ses to out­source their in­ter­nal au­diting to an out­side pro­vi­der. The cost is ea­sier to bud­get for, and they can be sure of ha­ving the ser­vices of ex­pe­ri­en­ced spe­cia­lists. An out­sider’s in­de­pen­dent, ob­jec­tive view­point can as­sess an or­ga­niza­tion wi­thout bias. High le­vels of pro­fes­sio­na­lism en­sure ef­fi­ci­ent au­dits, to­ge­ther with prompt in­for­ma­tion of just the kind ma­nage­ment needs. Ac­cess to bench­marks and best prac­tices, as well as the syn­er­gies pro­vi­ded by our ex­perts’ ex­pe­ri­ence, ex­clu­des risks be­fore they can be­come se­rious and si­gni­fi­cantly im­pro­ves pro­ces­ses.

And if emer­gen­cies arise and there’s a need for ad hoc au­diting, we’re avail­able quickly and fle­xi­bly. You can rely on us here, too.

In­ter­nal au­diting is a com­plex is­sue, and not al­ways free from con­tro­versy. But thanks to our neu­tra­lity and pro­fes­sio­na­lism, we can al­ways of­fer a healthy sense of pro­por­tion. When in­ter­na­tio­nal ques­ti­ons arise, we con­sult our col­lea­gues in our in­ter­na­tio­nal net­work wi­thout get­ting bog­ged down in bu­reau­cracy.

Our services at a glance

  • As­sis­tance with set­ting up your in­ter­nal au­diting de­part­ment
    • Or­ga­ni­zing struc­tures and pro­ce­du­res
    • Au­diting con­cept
    • Au­diting ma­nual as a gui­de­line for con­duc­ting au­dits
  • In­ter­nal au­diting of equity in­te­rests in Ger­many and ab­road
  • Qua­lity as­surance at exis­ting au­diting de­part­ments
  • Misap­pro­pria­tion au­dits

If a busi­ness crime ever oc­curs, the goal is to mi­ni­mize the da­mage.  First, it’s es­sen­tial to de­ter­mine the spe­ci­fic na­ture and ex­tent of what’s hap­pened. Then we can work with you to de­ve­lop and im­ple­ment spe­ci­fic stra­te­gies to keep it from hap­pe­ning again.

  • In­ter­nal con­trol sys­tem un­der the Sar­ba­nes Ox­ley Act (SOX 404)

Com­pa­nies that are lis­ted on U.S. stock ex­chan­ges and have sub­si­dia­ries in Ger­many, and Ger­man com­pa­nies lis­ted on U.S. ex­chan­ges, must set up and main­tain an ap­pro­priate in­ter­nal con­trol sys­tem. Ma­nage­ment must au­dit and do­cu­ment the sys­tem’s ef­fi­cacy every year.

A re­port on the ef­fi­cacy of the com­pany’s in­ter­nal con­trol sys­tem for fi­nan­cial re­por­ting must be at­ta­ched to the an­nual fi­nan­cial state­ments, and cer­ti­fied by the au­di­tor. We can as­sist you by

  • Set­ting up and im­ple­men­ting an ap­pro­priate, ef­fec­tive in­ter­nal con­trol sys­tem to­ge­ther with stan­dar­di­zed con­trol me­cha­nisms
  • En­su­ring im­pro­ved ma­nage­ment con­trol
  • As­sis­ting with the func­tio­nal tes­ting of your in­ter­nal con­trol sys­tem in ad­vance of a “SOX au­dit.”
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