Internal Auditing states the fundamental purpose, nature, and scope of internal auditing."Internal auditing is an independent, objective assurance and consulting activity designed to add value and improve an organization's operation. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control and governance processes."
- "Internal Audit" is an independent examination of a policies, procedures, systems and overall efficiency and effectiveness of internal control in organization.
- It measures the effectiveness if an organization's quality management system.
- It is a documented and systematic tool.
- It should be done periodically by independent and qualifies people.
- "Audit" itself is a checking system, NOT a quality assessment.