A company has established its environmental audit activity as part of its legal department rather than part of its internal audit activity, which reports to the audit committee. The board has requested that the chief audit executive (CAE) provide an annual opinion on whether environmental risks are being properly addressed.
In these circumstances, the CAE should recommend to the audit committee that the internal audit activity:
The chief audit executive (CAE) should recommend that the internal audit activity periodically carry out a quality assessment of the environmental audit activity. This approach enables the internal audit to ensure that the environmental audit function is performing its duties effectively and in accordance with standards. In doing so, it provides the CAE with the assurance needed to form an opinion on whether environmental risks are being properly addressed.
Why C?