Internal Audit and its Role in Evaluating Financial and Administrative Deviations

Hadeel bint Othman bin Mohammed Sa'eed Al-Sabahi presented at the Gate Academy celebration on internal auditing and its role in evaluating financial and administrative deviations as follows:

 

Introduction:

Internal auditing undertakes the task of auditing the implementation of plans and policies set to achieve the objectives of the economic unit, due to its direct and supportive connection to senior management. Internal auditing is characterized by comprehensiveness in all administrative, financial, and technical aspects, aiming to verify compliance with instructions, regulations, and laws, ensuring maximum utilization of time and money. Therefore, internal auditing is considered a means to detect deviations, including corrupt practices that do not comply with the systems and laws governing banking operations, thereby significantly affecting trust.

As a result of the role and importance of internal auditing in evaluating and ensuring the accuracy of data, information, reports, and financial statements generated by the accounting information system, and enhancing their credibility and reliability, as well as ensuring that policies and procedures are free from violations and errors, safeguarding organizations' assets from manipulation and embezzlement, and ensuring the continuity of organizational work. This study will address the topic of internal auditing and its role in evaluating financial and administrative deviations.

 

Research Problem:

Internal auditing is one of the topics that should remain a subject of research in the current era for department heads, supervisors, and managers in all organizations, and in developing management in the workplace, for several reasons. Weaknesses in internal auditing procedures in banks affected by cases of administrative and financial corruption lead to the inability to detect or diagnose these cases for confrontation or minimization. The main research question for this study can be formulated as follows:

What is the role of internal auditing in evaluating financial and administrative deviations?

 

To answer this question, several sub-questions can be formulated as follows:

- What is internal auditing?

- What are the main internal auditing methods?

- What is the importance of internal auditing?

- What are the main internal auditing tools?

- What are the objectives of internal auditing?

- What are the main types of internal auditing?

- What are financial and administrative deviations?

 

Research Importance:

Scientific Importance of the Study: The scientific importance of this study lies in attempting to familiarize oneself with all the theoretical mechanisms and approaches that address the topic of internal auditing and its role in evaluating financial and administrative deviations. Internal auditing is one of the most vital and contemporary topics that must be addressed particularly in academia as a fundamental requirement in the administrative process.

Practical Importance of the Study: The importance of the study at the practical level lies in its potential to open the field for administrators and those interested in developing administrative work. This study contributes to raising awareness of the nature of the concept of internal auditing, its various dimensions, and the nature of its effects and importance, which will significantly contribute to evaluating deviations at the financial and administrative levels.