Responsibilities in governance audit

Governance Auditor
The Governance Auditor shall be responsible for:
(a) Overall quality of each Governance Audit assignment.
(b) Direction, supervision and performance of the Governance Audit assignment.
(c) Compliance with professional standards, legal and regulatory requirements.
(d) Adopting an approach that provides sufficient and relevant evidence to support the Governance Audit opinion.
(e) Maintaining an attitude of professional skepticism.
(f) Understanding the industry in which the Organization operates.
(g) Performing Governance Audit assignment.

Where more than one Governance Auditor is involved, the responsibilities shall be clearly defined.

The specific responsibilities at each stage of the Governance Audit include:
a) Preliminary engagement activities
(i) Ensuring that the engagement acceptance and continuation procedures have been complied with.
(ii) Agreeing on the terms of engagement in writing with the Organization.
(iii) Ensuring compliance with the ethical and independence requirements.
(iv) Ensuring compliance with quality control procedures.

b) Planning
(i) Maintaining contact with the Organization specifically those officers charged with governance.
(ii) Setting the overall objectives for the assignment.
(iii) Reviewing the time lines and budgets.
(iv) Organizing and attending a pre-Governance Audit meeting with the organization.
(v) Following-up with the Organization on issues identified in the previous year’s management letter.
(vi) Signing-off on the Governance Audit strategy and plan.

c) Execution
(i) Overseeing that the Governance Audit is proceeding according to plan.
(ii) Conducting timely reviews at appropriate stages to track progress.

d) Review
(i) Reviewing Governance Audit information relating to judgment, contentious matters and significant risks identified during the Governance Audit.
(ii) Using checklists, schedules, standard letters and other customized materials to ensure the quality of work and achieve efficiency.

e) Reporting
(i) Ensuring that discussions have been documented, any contentious issues are fully resolved and conclusions are clearly identified.
(ii) Ensuring that the work has been performed in accordance with professional standards, legal and regulatory requirements.
(iii) Discussing Governance Audit issues and management letter with the Organization.
(iv) Signing and dating the Governance Audit report.
(v) Reviewing and approving any post-Governance Audit action plan.

Governance Audit Peer Reviewer
The role of the reviewer includes:
a) Discussing the scope of the assignment with the Governance Auditor;
b) Conducting Governance Audit peer review in a timely manner and at appropriate stages;
c) Reviewing the independence of the Governance Auditor;
d) Ensuring that the working papers selected for review reflect the work performed;
e) Reviewing significant risks identified during the assignment and the responses to those risks;
f) Reviewing judgments made with respect to materiality and significant risks;
g) Ensuring that appropriate consultations have taken place on matters involving differences of opinion or on difficult and contentious matters, and that the matters have been satisfactorily concluded;
h) Ensuring that any matters to be communicated to the Institute have been done; and
i) Reviewing the appropriateness and completeness of the Governance Auditor’s report to be issued.

Client Organization
The Board shall ensure:
a) That its Organization is subjected to an annual Governance Audit by a member of the Institute accredited for that purpose;
b) Timely execution of the Self-Assessment Tool;
c) Timely and accurate preparation of the Self-Assessment Governance Report in accordance with the reporting framework issued by the Institute. The Corporate Secretary shall assist in coordinating and preparation of the Self-Assessment Report;
d) That the duly signed Self-Assessment Governance Report, Tool and any other relevant governance documents are availed to the Governance Auditor on time;
e) That a summary of the Governance Audit Report forms part of the Board’s annual report to the stakeholders;
f) That a summary of the Governance Audit Report is presented by the Governance Auditor at the next General Meeting;
g) That where applicable, the Governance Audit Report is filed with the relevant industry regulators or other stakeholders or oversight bodies in a timely manner; and

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