Whistleblowing, Corporate Governance, and Machiavellian Traits: A Trio Influencing Fraud Deterrence

Whistleblowing provisions, corporate governance culture, and individual personality traits like Machiavellianism play critical roles in shaping responses to potential fraudulent activities within organizations. A recent study in the journal Behavioral Research in Accounting explores how these elements interact to influence the deterrence of unethical behavior in corporate settings. The study, conducted by D. Jordan Lowe […]

Advancing Robotic Process Automation Governance: Insights from a New Framework

Robotic process automation (RPA) is reshaping the landscape of accounting practices, yet concerns regarding internal controls and governance surrounding RPA are becoming increasingly apparent. In a groundbreaking research article published in the Journal of Information Systems, Marc Eulerich, Nathan Waddoups, Martin Wagener, and David A. Wood present a pioneering framework aimed at addressing these concerns […]

Using AI and Machine Learning for Effective Risk Management

In the ever-evolving landscape of finance, risk management stands as a cornerstone for stability and growth. With the advent of artificial intelligence (AI) and machine learning, traditional approaches to risk management are undergoing a profound transformation. A recent working paper by Saqib Aziz from Rennes School of Business and Michael M. Dowling from Dublin City […]

Auditors Respond to Non-Financial Misconduct with Higher Fees and Increased Scrutiny

Recent research by Bidisha Chakrabarty, Michael Hyman, and Gopal V. Krishnan has shed light on how auditors react to non-financial misconduct within corporations. Their study, published in the International Journal of Auditing, utilizes a novel database to track penalties from federal, state, and local agencies for violations not directly related to financial reporting. The findings […]

Navigating AltData: A Risk and Opportunity for Organizations

In a world where data proliferates at an unprecedented rate, understanding and managing alternative data, or ‚altdata‘, is becoming increasingly critical for organizations. Altdata encompasses information that exists outside of traditional financial and regulatory reporting channels—ranging from social media insights to geolocation data and beyond. As the digital landscape expands, so does the scope and […]

Empowering Change: How Boardroom Gender Diversity Reforms Shape Institutional Monitoring and Corporate Governance

As the corporate world increasingly recognizes the importance of diversity and inclusion, boardroom gender diversity has emerged as a critical area for reform and institutional monitoring. In their groundbreaking study published in the „Review of Accounting Studies,“ Larry Fauver, Mingyi Hung, Alvaro G. Taboada, and Emily Jing Wang explore the global impact of boardroom gender […]

AI Risks Unveiled: How to Safeguard Your Business in the Age of Generative AI

Artificial Intelligence (AI) has taken a front seat, steering innovation and operational efficiencies across industries. However, with great power comes great responsibility, and the rapid adoption of generative AI (GenAI) is no exception. A recent survey conducted by Gartner, Inc. reveals a significant shift in the audit landscape, spotlighting AI-related risks as the area seeing […]

AI Governance: The New Frontier for Audit Committees

In the digital age, artificial intelligence (AI) has evolved from a futuristic vision to a core component of business strategy. This transition, especially with the advent of Generative AI, places AI at the heart of business technology, compelling businesses to reassess its potential impact critically. The latest insights from the National Association of Corporate Directors’ […]

Unveiling the Iceberg: The Hidden Scale of Corporate Fraud and Its Global Financial Impact

In a revealing study that illuminates the shadowy depths of corporate fraud, Alexander Dyck, Adair Morse, and Luigi Zingales explore the real magnitude of corporate misconduct and its financial implications on a global scale. Published in the „Review of Accounting Studies,“ their research employs a novel approach by leveraging the fallout from Arthur Andersen’s demise […]

Who’s to Blame? Unraveling AI’s Moral Dilemmas

In the era of artificial intelligence (AI), the question of moral responsibility in the face of harm caused by AI systems becomes increasingly pertinent. As AI continues to permeate various sectors—marketing, healthcare, finance, and beyond—its autonomy and decision-making capabilities raise significant ethical concerns. Yulia W. Sullivan and Samuel Fosso Wamba’s research, „Moral Judgments in the […]

Navigating the Future: The SEC’s New Climate-Related Disclosure Rules

In a significant move that could reshape the landscape of corporate reporting, the Securities and Exchange Commission (SEC) has adopted new rules aimed at enhancing and standardizing climate-related disclosures for investors. Announced on March 6, 2024, these rules mark a pivotal step in the SEC’s ongoing efforts to provide investors with more consistent, comparable, and […]

The Dark Side of Performance Targets: When Employee Effort Leads to Counterproductive Behaviors

In the dynamic landscape of organizational management, the strategies employed to motivate employees and enhance performance have always been a subject of extensive research and debate. A recent study conducted by D. Kip Holderness, Kari Joseph Olsen, and Todd A. Thornock, and published in Behavioral Research in Accounting, takes a closer look at the nuanced […]

Unlocking Secrets to Better Fraud Detection: Strategies That Work

In the intricate world of auditing, the stakes are high when it comes to detecting fraud. Auditors, tasked with ensuring the financial integrity of organizations, must navigate a landscape where the mere mention of „fraud“ can tighten lips and close doors. Recent research led by Jared Eutsler from the University of North Texas, along with […]

„Should I Stay or Should I Go?“ Navigating Ethical Dilemmas and Turnover Intentions in the Auditing World

In the ever-evolving landscape of the auditing profession, ethical conflicts (ECs) emerge as formidable challenges that auditors grapple with daily. These conflicts arise when auditors find themselves at a crossroads, torn between their personal values, professional obligations, and the actions they are compelled to take. The essence of such dilemmas is not only the struggle […]

SEC Charges Founder of American Bitcoin Academy Online Crypto Course with Fraud Targeting Students

In a recent development, the U.S. Securities and Exchange Commission (SEC) has taken action against Brian Sewell and his company, Rockwell Capital Management, in connection with a fraudulent scheme that targeted students enrolled in Sewell’s online crypto trading course, the American Bitcoin Academy. This scheme has left 15 students out of pocket by a staggering […]

„Time is Money. Time is Risk“ – SEC Chair Gary Gensler Addresses the Importance of Shortening the Settlement Cycle

On January 25, 2024, Securities and Exchange Commission (SEC) Chair Gary Gensler delivered a speech highlighting the significance of shortening the settlement cycle in financial markets. In his address, Chair Gensler emphasized the impact of this move on market efficiency, risk reduction, and investor benefits. The GameStop Events: A Reminder of Market Plumbing Chair Gensler […]

Rebuilding Trust: How CSR Disclosure Can Restore Reputation Post-Financial Restatement

In the realm of corporate finance and reputation management, the question of how to effectively repair a company’s image after a financial restatement is a critical one. Lei Dong and Y. Ken Wang address this issue in their study, „Reputation Repair after a Restatement: The Role of Corporate Social Responsibility Disclosure,“ published in the Journal […]

AI and the Changing Landscape of Accounting: Insights from Industry and Academia

The adoption of artificial intelligence (AI) in the field of accounting is rapidly changing the dynamics of the profession. A recent workshop, hosted by the Journal of Information Systems, brought together industry experts and academics to discuss the implications of AI for accounting. The key question on everyone’s mind: will accountants with AI replace accountants? […]

Unraveling the Dynamics of Fraud Punishment: Insights from the Latest Forensic Accounting Research

In the intricate world of occupational fraud, the decisions victim organizations make about punishing perpetrators are as varied as they are complex. A recent study published in the Journal of Forensic Accounting Research by Erlina Papakroni, Marie Rice, and Lisa M. Dilks delves deep into this subject. The research, utilizing data from the Association of […]

Reflecting on the 54th Annual Meeting of the World Economic Forum: Navigating a World in Crisis

In the picturesque town of Davos, Switzerland, the 54th Annual Meeting of the World Economic Forum recently convened, bringing together a diverse array of global leaders against a backdrop of mounting geo-political tensions and emerging global challenges. Davos, known for its serene landscapes, transformed into a bustling hub of global discourse as over 60 heads […]

Navigating Contemporary Challenges in Controlling

In a rapidly changing financial landscape, controllers play a crucial role in maintaining an organization’s financial health. A recent research article, „Current Issues Faced by Controllers“ by Anthony C. Bucaro, T. Jeffrey Wilks, and Christopher G. Yust, delves into the current challenges encountered by controllers, shedding light on key issues and their implications. The study […]

Boosting Accounting Careers: Overcoming Stereotype Threat and Enhancing Belongingness

In the rapidly evolving world of accounting, a recent study sheds light on two crucial factors influencing accounting students‘ commitment to the profession: the sense of belonging and the impact of stereotype threat. Cristina Bailey, Serena Loftus, and Sarah Shonka McCoy delve into this topic in their article, „Do I Belong? The Impact of Belongingness […]

Bridging the Gap: Promoting Organizational Inclusion for Neurodivergent Accountants

In a world where diversity and inclusion are becoming increasingly important in the workplace, a recent research article titled „Perceived Organizational Inclusion: Evidence from Neurodivergent Accountants in the U.S.“ by Loreal Jiles, Qi Duong (Susie), and Roopa Venkatesh explores the intersection of neurodiversity and the accounting profession. This study sheds light on the challenges faced […]

Do Firms Mimic Industry Leaders’ Accounting? New Research about Financial Statement Comparability

Drawing on organizational legitimacy theories, a recent research paper suggests that managers may adopt similar accounting practices as industry leaders to gain credibility and legitimacy. Especially for newly appointed CEOs, mirroring the accounting behaviors of industry leaders can serve as a signal of trustworthiness in an environment where stakeholders might be uncertain about their capabilities. […]

Remote Audit Revolution: Quality, Efficiency, and Job Satisfaction in the New Era

In their recent study, Yueqi Li, Sanjay Goel, and Kevin Williams delve into the profound impact of remote auditing on the audit profession. First published in February 2023, their research provides a comprehensive analysis of how the shift from traditional on-site audits to remote audits has affected audit quality, efficiency, and auditors‘ job satisfaction. Key […]

Linking Pay to Planet: How Executive Compensation Influences Carbon Assurance in UK Firms

In their recent research article, Stefan Simic, Le Luo, and Rina Datt provide intriguing insights into how compensation strategies within companies influence their decision to engage in carbon assurance. Published in September 2023, their study, titled „Compensation and carbon assurance: Evidence from the United Kingdom,“ explores a significant and timely topic given the growing urgency […]

Corporate Social Irresponsibility in the Media: Steering Through Audit Fee Challenges

Tracie Frost, Liwei Shan, Albert Tsang, and Miao Yu’s research, published in July 2022, examines the relationship between media coverage of corporate social irresponsibility (CSI) and audit fees on a global scale. Their study, using data from 35 countries, found a significant positive correlation between media exposure of CSI and increased audit fees. This relationship, […]

RPA Revealed: Navigating the Complexities and Challenges in Accounting Automation

Robotic Process Automation (RPA) has emerged as a popular tool among auditors and corporate accountants, aiding in various accounting tasks. While the benefits of RPA are often highlighted, its potential risks and challenges are less frequently discussed. In a revealing article by Marc Eulerich, Nathan Waddoups, Martin Wagener, and David A. Wood, titled „The Dark […]

Surprise! How Unexpected Internal Control Weakness Disclosures Influence Shareholder Trust

In the realm of corporate finance and accounting, the impact of internal control weaknesses (MWs) on shareholder trust and perceptions is a topic of ongoing interest and importance. A recent article by Hambisa Belina, K. Raghunandan, and Dasaratha V. Rama, titled „Do Shareholders Care about ‚Surprise‘ Internal Control Weakness Disclosures?“ published in Current Issues in […]

CAEs are Adding Value Through Data Analytics

The internal Audit Foundation in collaboration with Grant Thornton recently released a report in which over 200 chief audit executives (CAEs) and directors shared their perspectives on leveraging data analytics to generate and elevate value. The majority of internal auditing teams are already prioritizing data analytics and automation as a tool to add value to […]

LinkedIn Insights: How Internal Audit Expertise Influences Financial Reporting Accuracy

The world of financial reporting has seen significant transformations in the past few decades, with evolving regulatory standards and changing business environments. Amid these changes, one area that has continually held significance is the internal audit function (IAF). Despite its importance, the IAF has remained an area with limited data availability, constraining further research and […]

Firm Affiliation and Knowledge Sharing in Accounting: Effects on Error Communication

Recent developments in the accounting industry have led to increased collaboration between professionals from different accounting firms. This collaboration involves firms providing various services, such as audit and tax, to client organizations. While this trend offers many benefits, it also raises questions about how information is shared among these professionals and its potential impact on […]

Companies switching auditors after just missing earnings forecasts exhibit lower levels of earnings quality

Earnings management has long been a concern in the corporate world, with companies striving to meet or beat analysts‘ earnings forecasts through various accounting tactics. External auditors play a critical role in curbing opportunistic earnings management behavior and providing financial statement reliability. However, recent research by Eric Lohwasser and Yaou Zhou explores how companies that […]

Beyond Automation: McKinsey’s Vision of a Generative AI-Driven Economy

Generative AI, a technology with the capability to drive vast economic transformation, is on the brink of reshaping our future. McKinsey’s recent research underlines the sheer magnitude of this shift, suggesting generative AI could add a staggering $2.6 to $4.4 trillion annually across numerous use cases. To put this in perspective, this is akin to […]

Whistleblowing in the Classroom: How Professor-Based Policies Enhance Student Reporting of Misconduct

Whistleblower programs have undoubtedly made their mark in the corporate sector, acting as a formidable tool in the fight against unethical behavior. Yet, when we pivot our attention to the academic realm, especially where student policies for reporting peer misconduct are concerned, a glaring gap emerges. F. Todd DeZoort’s enlightening research, published in the esteemed […]

Examining Market Misinterpretation: How Critical Audit Matter Disclosures Impact Market’s and Investor’s Risk Perception

The Public Company Accounting Oversight Board (PCAOB) has introduced critical audit matters (CAMs) to expand audit reports to provide external users with more information regarding potential risks of material misstatements. While the intention of CAM disclosures is to highlight the risk of material misstatement and the corresponding audit procedures, early studies suggest that investors may […]

Frequent Auditor Switching and the Impact on Audit Quality

A newly published paper in Accounting Horizons highlights the implications of frequent auditor switching for the audit quality. The paper is particularly significant for regulators, practitioners, and academics to inform policy discussions, audit committee disclosure requirements, risk models, investment decisions, and future research on auditor switching. Existing accounting research primarily focuses on single-instance auditor changes […]

Changing Ecosystem of Enterprise Risk Governance

A newly released paper emphasizes the significance of risk governance in organizations and its susceptibility to internal and external influences. It underscores the importance of executives and boards in setting a strong tone at the top regarding risk governance in their organizations. This tone should prioritize and highlight the value and role of risk governance […]

Shaping the Future of Sustainability Reporting: ISSB Seeks Stakeholder Feedback and Enhances SASB Standards

The International Sustainability Standards Board (ISSB) has recently issued its first Request for Information (RFI) on May 4, 2023. The purpose of this Request for Information (RFI) is to gather input and shape the ISSB’s work plan for the next two years. The ISSB is currently seeking feedback on its priorities during this period. You […]

Breaking the Silence: SEC Unveils Record-Breaking $279 Million Whistleblower Award

The Securities and Exchange Commission (SEC) has issued thelargest-ever whistleblower award of nearly $279 million. The award was granted to a whistleblower whose information and assistance led to successful enforcement actions by the SEC. This award surpasses the previous record of $114 million given in October 2020. The SEC’s whistleblower program has been highly successful […]

Embracing the Revised Auditing Standard ISA [DE] 315 (Revised 2019) for IT Auditing

As of December 15th, 2022, the IDW has introduced ISA [DE] 315 (Revised 2019), an auditing standard that has been fundamentally revised by the IAASB to identify and assess the risks of material misstatement. Due to the changing audit scope resulting from ongoing digitization, the increasing use of new automated tools and techniques, and other […]

Managing Financial Risks in the Current Economic Landscape: Insights for Internal Auditors from The Wall Street Journal

The global economy has consistently been subject to a variety of financial risks and the  COVID-19 pandemic has brought new challenges that require careful consideration. In a recent article, The Wall Street Journal highlighted twelve areas of financial risk in the current economic landscape. The charts presented in the article show the increasing levels of […]

Balancing Act: Unveiling Cybersecurity Risks and Investor Disclosure after Data Breaches

The US Securities and Exchange Commission (SEC) requires all firms to include a risk factor section in their periodic filings, but doubts remain about the informativeness of these disclosures. Cybersecurity risk disclosures are particularly important due to the increasing number of data breaches, and firms have a responsibility to inform investors about changes in their […]

COSO has published additional guidance on how to attain efficient „Internal Control Over Sustainability Reporting“ (ICSR)

COSO has released additional guidance „Achieving Effective Internal Control of Sustainability Reporting“ using the globally recognized COSO Internal Control-Integrated Framework as its basis. The guidance includes references to the role of internal audit function in sustainability reporting and key themes to consider while establishing and maintaining an effective system of internal control over sustainable business […]

Benchmark for Internal Audit Leaders: New Pulse of Internal Audit Report

The Pulse of Internal Audit report is a primary data source for leaders in internal audit. It offers valuable information on various topics such as internal audit budgets, staff, audit plans, risks, and more important topics. The 2023 edition includes timely data on audit frequency for critical risk areas. The report serves as a benchmarking […]

Assessment of sustainability risk management in financial services institutions

Disclosing Environmental, Social, and Governance (ESG) information is crucial in today’s business environment because it allows investors, stakeholders, and consumers to make informed decisions about a company’s impact on the environment, society, and governance practices. Furthermore, ESG information has been linked to better long-term financial performance and it is increasingly used by investors as a […]

Internal Audit in a Post-COVID World, Part 2: Supply Chain

In its second report on “Internal Audit in a Post-COVID World”, the Institute of Internal Auditors (IIA) deals with global supply chains, which were severely hit by pandemic challenges and uncertainties, being only 2% of global supply chains prepared for such an event according to surveys of the US branch of the consulting firm Ernst […]

EFRAG: consultation on the Draft European Sustainability reporting Standards (ESRS) Exposure Drafts

In its reaction to the European Financial Reporting Advisory Group (EFRAG) consultation on the Draft of European Sustainability Reporting Standards (ESRS), the European Confederation of Institutes of Internal Auditing (ECIIA) is strongly advocating that the EFRAG provides necessary clarity on the role of Internal Audit has in light of ESG matters. To be precise, since […]

Esfera Consejeros – Cyber security, a systemic risk to watch over

Increasingly common risks in the cybersecurity perimeter are considered particularly dangerous for businesses. Therefore, this report by the Institute of Internal Auditors of Spain is aimed at audit committee members to raise awareness for such risks, and to point out ways to monitor these. For this purpose, key questions are introduced to help explain the […]

EFRAG: consultation on the Draft European Sustainability reporting Standards (ESRS) Exposure Drafts

The European Commission’s proposal for a Corporate Sustainability Reporting Directive (CSRD) provides for the adoption of EU Sustainability Reporting Standards (ESRS). EFRAG was invited in a letter from Commissioner McGuinness to provide technical advice and assistance to the European Commission in the form of fully developed draft standards and/or draft amendments to the sustainability reporting […]

What implications the new SEC proposals have for cybersecurity reporting, and how this affects internal audit

The IIA’s Global Knowledge Brief series on cybersecurity presents an overview of the new SEC proposals, including the implications they have for cybersecurity reporting regulation in the U.S. as well as abroad. It also explores how internal auditors can play an essentiel role in helping their organizations manage an altered compliance plan that new regulations […]

European Commission: Directive on corporate sustainability due diligence

The European Commission has introduced a proposal for a directive on corporate due diligence in the field of sustainability. First, it has completed an impact assessment. The proposed directive will require companies to integrate due diligence into their policies and decision-making identify, prevent, mitigate and minimise actual or potential adverse impacts on human rights and […]

The Internal Audit Ambition Model

The IIA Netherlands presented the Internal Audit Ambition Model in October 2018. The approach has convinced the representatives of internal audit. With the help of the model, they can define the audit functions, check whether they comply with the standards of the IPPF. In addition, the model supports communication with the audit committee by providing […]

Compliance Priorities for 2022 in the Financial Services Industry

In terms of the compliance challenges that will be central to financial institution compliance officers in 2022, evidence shows that they will play a key role in addressing risk. A new report, „Compliance Priorities for 2022 in the Financial Services Industry,“ from Protiviti identified several compliance priorities. These fall into three categories: the broader risk […]

Top Risks for 2022

Through a recent survey of C-level executives and directors worldwide, Protiviti identified 10 top risks for 2022. The top three are presented below. The risk in third place relates to pandemic-influenced market conditions. Especially due to new variants there is uncertainty at this point. Rank two of the major risks relates to the succession problem […]

The key findings of OnRisk 2022

We wish you a happy new year! A new article in Internal Auditor magazine summarizes the key findings of the OnRisk Report for 2022. The report surveyed 30 board members, 30 C-suite executives and 30 chief audit executives from 90 different North American companies. It shows that this year risks are being prioritized that have […]

AI Risk Management Framework

Essential to business success and strategic decision making is effective risk identification and monitoring. A new article from Protiviti will address perspectives on establishing and maintaining leading practices in the context of identifying, assessing, mitigating, and monitoring risks arising from artificial intelligence (AI). Specific actions that organizations can take to mitigate risks during the AI lifecycle […]

Agile Risk Management

Getting people interested in the concept of risk management is difficult, partly because it is not seen as a core business and therefore does not get the attention it needs. While risk management should be a dynamic activity that can respond quickly to changing circumstances, in practice it rarely is. In its new white paper, […]

Risk Management – from stabilization to transformation

A survey of 120 risk executives from around the world conducted by EY shows that risk teams are still struggling to turn risks into opportunities and manage emerging threats. In comparison, CEOs‘ priorities are increasingly shifting from a survival and stabilization mode back to growth and transformation. To support these growth plans in the future, […]

The new Three Lines Model

Companies face the challenge of positioning and aligning various governance functions. In this context, redundancies should be avoided and coordinated management should take place. In an article by Prof. Dr. Marc Eulerich, Joel Behrend and Benjamin Fligge titled „The New Three Lines Model: Positioning Risk Management“, the Three Lines Model is discussed as well as […]

Coso Framework to help implement and scale Artificial Intelligence

Artificial intelligence (AI) changes business strategies, solutions and processes. Not to be neglected at this point are the risks that can come with AI. To create integrated governance for AI, manage risks, and improve performance, applying enterprise risk management (ERM) principles can be purposeful. The COSO ERM Framework provides an overarching and comprehensive framework that […]

Organizational cyber maturity

A major issue for companies worldwide is cybersecurity. In a new study, McKinsey assesses the cybersecurity maturity of more than 100 companies and institutions from various industries. It shows that some companies in banking and healthcare are quite advanced, but most companies still have a high need to protect their data from threats and attacks. The […]

Deloitte Cyber Security Report 2021

Cyber security is a key issue in the age of digitalization. For this reason, Deloitte conducted a trend study together with the Allensbach Institute for Public Opinion Research. The aim of the Deloitte Cyber Security Report 2021 is to survey players from politics and business and to compare their positions. One result is, for example, […]

The role of the Supervisory Board in the Covid 19 crisis

Supervisory bodies also have to face new questions and challenges in the context of the Corona pandemic. A whitepaper from Deloitte takes a closer look at the role of the supervisory board in times of Covid-19. It shows that the main work currently is on the executive. The supervisory board should take a supporting internal […]

Reporting on environmental, social and governance risks and initiatives.

Companies need to face and address environmental, social and governance (ESG) issues. For example, climate change and the reduction of greenhouse gases in business is a major issue in today’s world. Companies have to deal with various risks in this context. Consequently, this also has an impact on the internal audit function. For example, the […]

Cybersecurity risk in the new normal

Cybersecurity is certainly one of the most persistent risks of the 21st century, and it has been particularly exacerbated by the pandemic. Organizations had to balance competing priorities and disruptions while making sure their networks were secure. At the same time, criminals have tried to capitalize on the crisis by increasing the pace and complexity of […]

The risky six

How and why do boards get a distorted picture of their organisations‘ ability to protect themselves against cyber-related risks? This is the question addressed in the report „The Risky Six: Key questions to expose gaps in board understanding of organisational cyber resiliency“ by IIA and EY. They identified a total of 6 key questions which, […]

Five new Apps for Process Optimization and Monitoring

Celonis, the world’s leading provider of Execution Management Systems (EMS), and PwC Germany are launching five new apps that can be used to analyze and improve important business processes. The aim of the apps is to achieve process optimization in the energy industry as well as in purchasing, in shared service centers and in customs […]

Forward-looking innovations: Episode about Tech Trends 2021

The COVID-19 pandemic has hit the global economy hard. But at the same time, the fundamental disruption of established ways of working has accelerated numerous digital trends, increased the spread of innovations and made newly developed technologies a reality more quickly. In the coming 18-24 months, groundbreaking trends such as the digitization of strategy development, […]

Key issues being discussed in the boardroom and C-suite

Companies have to deal with various challenges. These include the ubiquitous Corona pandemic, growing social unrest, new technologies, digitalization innovations, and new strategies and business models. The multitude of issues and the complexity associated with them does not make it any easier for companies. Protiviti’s new report presents the top risks currently facing boards and […]

Eine Reise in Richtung Aligned Risk Governance

Eine Vielzahl von Funktionen in Unternehmen, wie z. B. das Risikomanagement, die Compliance-Abteilung oder die interne Revision, beschäftigen sich mit Risiken. Es zeigt sich, dass einerseits die einzelnen Funktionen zumeist methodisch und personell gut aufgestellt sind, jedoch andererseits eine mangelnde Abstimmung zwischen den Funktionen besteht. Aufgrund von z. B. Überschneidungen oder häufigen Wiederholungen stellt sich […]

Vorbereiten auf außergewöhnliche Risiken

Unternehmen müssen sich die Frage stellen, auf welche Risiken sie sich vorbereiten wollen. Allerdings unterliegen die Entscheidungsträger hierbei einem Dilemma. Dieses lässt sich besonders auf Basis der aktuellen Covid-19-Pandemie veranschaulichen. Die Wahrscheinlichkeit für Ereignisse wie die Corona-19-Pandemie ist gering, aber niemals Null und die Konsequenzen sind enorm. Diese Kombination aus relativer Unwahrscheinlichkeit und hohen Konsequenzen begründet das […]

The time has come

„Die Studienergebnisse zeigen: Nachhaltigkeit ist in den Unternehmen angekommen!“ Aktuell veröffentlichte KPMG die 11. Ausgabe ihrer Studie zur Nachhaltigkeitsberichterstattung. Die Ergebnisse der 2020-Studie zeigen: Unternehmen achten bei ihren Strategien und Zielsetzungen vermehrt auf Nachhaltigkeit. In Deutschland stieg so beispielsweise der Anteil veröffentlichter Nachhaltigkeitsberichte um knapp 20 % seit 2017. Die Umfrage unter 5.200 großen Unternehmen aus […]

Key risk areas 2021

„Sind Sie sich der Risiken bewusst, denen die Interne Revision heute und in der nahen Zukunft ausgesetzt ist?“ Interne Revisionsfunktionen bauen innerhalb von Organisationen weltweit ihre Wirkung und ihren Einfluss aus, indem sie Beratungsdienste anbieten und Assurance-Dienste rund um die wichtigsten Risiken für die Organisation übernehmen. Hohe Relevanz für die Interne Revisionsfunktion haben die Risiken, denen die […]

Dynamisches Risikomanagement für unsichere Zeiten

Unternehmen unterstehen einem starken Druck verschiedener Einflüsse. Zum einen hat die digitale Revolution die Verfügbarkeit von Daten, den Grad der Konnektivität und die Entscheidungsgeschwindigkeit erhöht. Des Weiteren müssen sich Unternehmen mit dem wandelnden Klima auseinandersetzten und auch die Erwartungen der Stakeholder an das Unternehmensverhalten sind höher denn je. So erwarten z.B. die Verbraucher, dass Unternehmen in sozialen […]

PWC-Umfrage: Digital Trust Insights 2021

COVID-19 hat die Digitalisierung beschleunigt und folglich auch die Angriffsfläche für Cyberattacken erweitert. Die PWC-Ausgabe „Digital Trust Insights 2021“, bei der weltweit über 3.000 Führungskräfte aus Wirtschaft und Technologie zum Thema Cyber Security befragt wurden, zeigt, dass mehr als die Hälfte der Befragten Angriffe auf Cloud-Dienste und Randsomware-Angriffe für sehr wahrscheinlich halten und auch mit […]

Eine starke Risiko- und Integritätskultur ist wichtiger denn je!

Führungskräfte und Vorstände müssen sich in Zeiten der Corona-Pandemie bestehenden aber auch neuen Herausforderungen stellen. Sie müssen schnell handeln, um Bedrohungen anzugehen und Chancen zu ergreifen, und gleichzeitig den Schutz der Gesundheit und Sicherheit von Mitarbeitern und Kunden aufrechterhalten und weiterentwickeln. Es reicht nicht mehr aus, sich auf bestehende Strukturen und Mechanismen zu verlassen. Wesentlich für die institutionelle […]

Welche Risiken für Unternehmen ergeben sich aus der US-Wahl?

Während die US-Wahl immer näher rückt, steigt die Unsicherheit in den Unternehmen. Darüber, welche Auswirkungen das Ergebnis auf die globale Wirtschaft hat und darüber, welche Risiken es für die einzelnen Unternehmen mit sich zieht. PwC hat daher zwischen dem 30. September und dem 6. Oktober 537 US-Führungskräfte über potenzielle Risiken, die sich aus den US-Wahlen […]

Business Continuity-Planung in Zeiten von COVID-19

Die Coronavirus-Pandemie testet derzeit jegliche Unternehmen weltweit. Wesentliche Themen in den Sitzungssälen sind Geschäftskontinuität und Widerstandsfähigkeit. Unternehmen müssen ihre Business-Continuity-Planung (BCP) und die bestehende Einbettung von BCP-Praktiken überdenken. Während die Coronavirus-Pandemie aktuell im Mittelpunkt steht, dürfen Unternehmen jedoch bei der Betrachtung der veränderten Landschaft andere Geschäftsrisiken nicht vergessen, wie beispielsweise Naturkatastrophen oder technologische Risiken. Es stellt […]

Skepsis als eine Schlüsselkomponente

Eine Schlüsselkomponente, die das Betrugsrisiko-Management-Programm einer Organisation stärken kann, ist Skepsis. Wesentlich ist dabei, dass Skepsis konsequent berücksichtigt und angewendet wird. Dies ist besonders im Zusammenhang mit der Finanzberichterstattung wichtig, da die beteiligten Personen eine Verantwortung für die Förderung der Integrität tragen. Das fehlen von Skepsis kann schwerwiegende Auswirkungen haben, zum Beispiel wenn Abweichungen bei […]

Neue Studie „Risk in Focus 2021: Hot topics for internal auditors“

Das neuartige Coronavirus hat als das größte globale Risikoereignis der jüngsten Vergangenheit die Aussichten für 2021 geprägt und bestehende Risiken verschärft. Unter anderem hat z.B. das zunehmende Home-Office dazu geführt, dass die Bedeutung von Cybersicherheit weiter zunimmt. In der Studie „Risk in Focus 2021“ hat das DIIR gemeinsam mit neun anderen nationalen Revisionsinstituten in Europa verschiedene […]

Funktionierende Corporate Governance ist wichtiger denn je….

„Die aktuelle Corona-Pandemie kostet nicht nur viele Menschenleben, sie deckt auch gnadenlos unzählige Missstände in Unternehmen auf. So waren nur wenige Risikomanagementsysteme in der Lage, auch im Pandemiefall operative Risiken für die Lieferkette oder die Aufrechterhaltung des Geschäftsbetriebs als Ganzes effektiv zu steuern.“ (Jens C. LaueHead of Governance & Assurance Services KPMG AG Wirtschaftsprüfungsgesellschaft) Die […]

Langfristige Auswirkungen von COVID-19: KPMG-Umfrage

Neben den kurzfristigen Auswirkungen von COVID-19, die akut die Wirtschaft betreffen, hat KPMG sich nun auch den langfristigen Änderungen im Bezug auf spezifische Themengebiete gewidmet. Dabei im Blickfeld: Board Oversight, die Geschäftstätigkeit, Strategien und das Setzen bestimmter Prioritäten. Um einen möglichst großen Überblick zu erhalten befragte KPMG dazu mehr als 300 Directors. Im Ergebnis stechen […]

Interne Revision & Fraud: Umfrageergebnisse

Die neuste Publikation der Internal Audit Foundation gemeinsam mit Kroll veröffentlicht globale Umfrageergebnisse mit der Erkenntnis, dass ein erhöhtes Engagement der IRF zu einem stärkeren und insgesamt robusteren Fraud-Risiko- Management-Programm führen würde. Mit strategischen Analysen und Entscheidungen könnte die IRF demnach eine immer wichtigere Rolle einnehmen. Insgesamt bietet der Bericht die Möglichkeit, auf globaler Ebene […]

FERMA-Umfrage zur Risikolandschaft 2020 VOR Covid-19

FERMA (Federation of European Risk Management Associations) veröffentichte die Ergebnisse ihrer „euroriskmanager“-Umfrage für die Risikolandschaft im Jahr 2020 VOR der Covid-19-Krise. Risikomanager wurden zu diesem Zweck gebeten, die größten Bedrohungen für das Wachstum der eigenen Organisation in verschiedenen Zeithorizonen auszuwählen und einzustufen. Im Anschluss wurden die jeweiligen Daten mit den Ergebnissen selbiger Erhebungen der Jahre […]

Blockchain & Interne Kontrollen – Die COSO-Perspektive

Blockchain – eine Technologie, die immer alltäglicher zu werden scheint, hat etliche Überschneidungspunkte mit dem System der Internen Kontrollen von Unternehmen. Zumeist können Integration und Implementierung von Blockchain-Technologien dabei helfen, sowohl Risiken besser zu managen als auch wirksamere Kontrollen zu errichten und bieten daher etliche Vorteile im alltäglichen Gebrauch. Um diese Zusammenhänge und auch sich […]

„Soft Stuff“ und seine Bedeutung für die Interne Revision

Das Auditieren von Kultur, Subkultur und Verhalten, dem sog. „soft stuff“, sollte mehr an Bedeutung gewinnen, so ein neuer Artikel auf accaglobal.com. Prüfungskultur und Prüfungsverhalten müssen sich auch dem soft stuff nähern, um sowohl ein effektives Risikomanagement als auch die Aufrechterhaltung ethischen Verhaltens bewirken zu können. Der Grundgedanke hinter der gesteigerten Bedeutung: Auf dem Papier […]

Benchmarkbericht zu Trends in Risiko- und Compliancebranche

Innerhalb eines neuen Benchmark-Berichtes analysieren Experten von NAVEX Global, dem weltweit führenden Anbieter von Software und Dienstleistungen für integriertes Risiko- und Compliance-Management, Trends, die sowohl die Risiko- als auch Compliance-Branche beeinflussen. Präsentiert werden die wichtigsten Ergebnisse in Bezug auf Programmprioritäten, den Einsatz von Technologien, die Übernahme von Führungskräften, andere Programmelemente sowie Auswirkungen dieser auf Leistung […]

COVID-19: Fakten und neue Einblicke von McKinsey & Company

Nach unterschiedlichen Arten des Lockdowns, ausgelöst durch COVID-19, öffnen sich die Volkswirtschaften weltweit wieder vorsichtig. Hierzu sind die Unternehmen sehr wohl auf den momentanen Zustand bedacht, schauen aber auch bereits in die Zukunft und das, was sich nach COVID-19 entwickeln könnte. Um auch innerhalb der Krise und über diese hinaus in wirtschaftlich schlechteren Zeiten erfolgreich […]

How to: Vertrauen wiederaufbauen nach COVID-19

Vertrauen ist die Grundlage, auf der unsere Erwartungen und Handlungen vielfach beruhen und ist somit unabdingbar. Mit COVID-19 brach jedoch eine Pandemie über die Welt, die sowohl ein Schock für kollektive Systeme als auch ein Katalysator für den Wiederaufbau von Vertrauen ist. In Zeiten wie diesen ist Vertrauen wichtiger denn je, da eine Erholung ohne […]

Risk & Compliance – Ausgabe –> Juli-September

Die neuste Ausgabe „Risk and Compliance“ berichtet, auch im Zusammenhang mit COVID-19, u.a. über Vorbereitungen und Rekationen der Unternehmen auf eine weltweite Rezession, das Zeitalter der ständigen Krise, Argumente für die Einhaltung der Vorschriften in Krisenzeiten, den wachsenden Einfluss der RegTech, Koordination und praktische Herausforderungen bei Untersuchungen mit mehreren Rechtsprechungen, betriebliche Belastbarkeit, die Stellung kritischer […]

Welche Faktoren fördern Vertrauen in Künstliche Intelligenz!? Neue Studie

Während die einen in künstlicher Intelligenz unmäßiges Potenzial sehen, das viele der bestehenden Probleme der Geschäftswelt aus dem Weg räumen könnte, betrachten andere die ihnen nicht geläufige Unterstützung nach wie vor als nicht vertrauenswürdig und versuchen daher, die flächendeckende Einführung Künstlicher Intelligenz zu verhindern. Wie kann dies Vertrauen nun aber aufgebaut werden?! : Bei der […]

Whistleblowing – aktueller Stand und Verbesserungsmöglichkeiten

„Transparency International Nederland“ hat ihren neusten Forschungsbericht „Whistleblowing Frameworks 2019“ veröffentlicht. Untersucht wurden 68 Unternehmen bzgl. ihrer Whistleblowing-Programme, wobei sich die Forschung auf die Bereiche des Schutzes vor Beeinträchtigung, Berichts- und Untersuchungsverfahren sowie die Unternehmenskultur konzentriert. Gerade im letzteren Bereich scheint es dabei noch viel Verbesserungspotenzial zu geben. Neben einem Ranking, welches Einblicke in die […]

Neue Studie zu Fraud, Auswirkungen und Möglichkeiten der Bekämpfung

Welche Auswirkungen hat Fraud am Arbeitsplatz? Innerhalb der bislang 11. Studie bzgl. Kosten und Auswirkungen von Fraud untersucht die Association of Certified Fraud Examiners 2504 Fälle in 23 verschiedenen Branchenkategorien in insgesamt 125 Ländern. Die Association selbst  gibt als Motivation ihrer Bemühungen dabei die folgenden zwei Begebenheiten an: Betrug am Arbeitsplatz verursacht enorme Kosten, stellt […]

Strategien im Umgang mit COVID-19

  Wie können Audit-Teams ihre Organisation während der Pandemie konkret unterstützen, um die Kontinuität des Geschäftsbetriebes und die Sicherheit von Mitarbeitern, Lieferanten und Kunden zu gewährleisten ?! AUDITBOARD veröffentlichte im April ein Whitepaper, welches sich genau mit diesen Fragen beschäftigt: Welche Rolle dabei der Internen Revision sowie den anderen Stufen des Three Lines of Defense-Modells […]

Aufkommende Risiken bei der Prüfung von Finanzdienstleistungen

Wolters Kluwer, in Deutschland einer der führenden Anbieter von Fachinformationen, Software und Services im Bereich Recht, Wirtschaft und Steuern, zeigt innerhalb einer neuen Veröffentlichung unterschiedliche Risiken auf, die insbesondere bei Finanzdienstleistern auftreten können. Solche Risiken zeichnen sich dadurch aus, dass sie unmittelbar entstehen oder kurzfristig ein höheres Niveau als zuvor erreichen und somit viele Unternehmen […]

Risk & Compliance – Neue Ausgabe (April-Juni) veröffentlicht

Die dreißigste Online-Ausgabe des Risk & Compliance Magazins (April-Juni) stellt u. a. Features zum Risikomanagement innerhalb der Lieferkette und zum NIST Cybersecurity Framework vor. Weiterhin befasst sich die Ausgabe mit folgenden Themen: Schulung und Bewusstsein für Ethik und Compliance Aktionärsaktivismus in Kanada Herausforderungen des General Counsel bei der Navigation durch die Proxy-Saison Automatisierung bei der […]

Cyberkriminalität und Pandemien – IIA Bulletin

Ganz nach dem Motto: Jede Krise bedingt weitere Problemfelder ist Cyberkriminalität im Zuge von COVID-19 wieder in den Vordergrund getreten. Die Pandemie zwingt die Wirtschaftswelt zum Umdenken – aufgrund sozialer Distanzierung werden vielfach Lösungen durch IT-Unterstützung gesucht und genutzt. Telearbeit, Videokonferenzen oder der aufkommende Online-Handel sind dabei nur einige der unterstüteznden IT-Ressourcen. IT-Fachleute könnten aufgrund […]