Audit committee effectiveness comes from members understanding their roles

The workload of the audit committee has experienced a steady rise over the years – particularly for listed companies or those in the regulated sector.

This comes amid a growing realization by firms that accountability is one of the keys to success.

Among publicly listed companies, the discussion about good governance began with the publication of the Cadbury Report in the UK in 1992, the first governance code internationally. In many countries, specific codes and regulations for governance followed. Today, nearly all countries have a governance code, but these are mainly for publicly listed companies.

Regulatory agencies worldwide and in the Middle East acknowledge that risk management and compliance are integral features of a successful business model and have turned their full attentions toward raising the standards across the financial services industry for corporate governance and risk management systems. Read more

The audit committee had burdened over the years about workload specially for listed companies and prioritizing issues is a battle given the constantly changing developments in global risk, regulation and political environments. But now this adoption must be proof useful to the auditors in UAE.