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Internal control consultancy is a comprehensive service that includes evaluating the effectiveness and efficiency of a company's internal control systems, establishing internal control departments, improving internal controls, and reporting processes. Our internal control systems aim to ensure the accuracy of financial reports, enhance operational efficiency, safeguard assets, and ensure compliance. Within this scope, the services we provide are:
ESTABLISHMENT OF INTERNAL CONTROL DEPARTMENT
The internal control system should be designed in accordance with the company's objectives and needs. This process should be shaped by the company's industry, management structure, business processes, strategies, goals, risks, and control requirements. Establishing internal control systems involves the following steps:
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Determining control strategies that align with the control environment and corporate culture.
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Defining the roles and responsibilities of the board of directors, senior management, and department heads.
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Establishing policies and procedures related to the internal control system.
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Preparation of risk and control matrice.
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Identifying risk responses and determining control activities.
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Determining the frequency of internal controls.
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Preparation of internal control documents.
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Establishing continuous auditing and continuous monitoring systems.
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Providing training and information to personnel regarding internal controls.
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Establishment of reporting and communication lines.
EVALUATION OF THE EFFECTIVENESS AND EFFICIENCY OF INTERNAL CONTROLS
The evaluation of internal controls is conducted at three fundamental levels.
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In the first stage, the effectiveness and efficiency of the internal controls design are assessed. The design of controls is reviewed and rated based on criteria such as ensuring the segregation of duties, aligning controls with identified risks, determining the adequacy of who, when, and how the control will be performed, and ensuring that the effort spent on controls is proportional to the relative benefit.
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In the second stage, the effectiveness and efficiency of internal control activities are evaluated. Criteria specific to the quality of the complated internal controls are examined, such as the alignment of control documentation with risks, the timely completion of controls, and the communication of findings to the relevant individuals within the reporting line.
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In the final stage, the effectiveness and efficiency of internal controls are enhanced by benchmarking against sectoral best practices and national and international databases.
CONTROL SELF ASSESSMENT (CSA) CONSULTING
Control self-assessment is a process in which an organization evaluates its own internal control systems, procedures, and business processes. Typically conducted annually, this activity is carried out by the organization's employees or managers under the coordination of Loba Partners internal control consulting team.
The control self-assessment process identifies the strengths within the internal control systems while also uncovering deficiencies and areas for improvement. Another key focus of the process is to enhance awareness of internal controls within the company by actively involving process stakeholders.
For your consultancy and audit requests, you can contact us via the communication channels below.
