INTERNAL AUDIT DEPARTMENT
Internal Audit Department is committed to providing independent and objective quality assurance and consulting services designed to add value and improve the Board’s operations. It will assist the Board accomplish its strategic objectives by evaluating and improving the effectiveness of risk management, control and governance processes.
The Commitee to be appointed by the board shall comprise at least three directors with the Head of Internal Audit Department acting as secretary. All directors on the commitee shall be non-executive directors who are independent of the Kenya Sugar Board's management and operations.
The Board of Directors shall appoint the audit committee annually and any changes in its composition will require prior approval of the Board of Directors.
The Board of Directors shall appoint one of the nominated Non-executive Directors as Chairperson of the Commitee.
The composition of the committee will be disclosed in the Board's Annual Report.
DUTIES AND RESPONSIBILITIES OF THE COMMITTEE:
- The Committee shall provide assistance to the Board in fulfilling its responsibilities to its stakeholders.
- Maintain free and oopen avenues of communication between the directors, the external auditors, the head of Internal Auidt and the Executive Management of the Board.
- Assist the Board in adapting to the changing financial and economic environment
- The committe should have a discussion with external auditors, at least once a year, preferably before the finalization of the annual audit to ensure that there are no unresolved issues of concern.
- Improve the quality of financial reporting by reviewing the financial statements on behalf of the Board.
- Among other responsibilities.
QUALITY OBJECTIVES OF THE INTERNAL AUDIT:
- Ascertain and advice management on the extent of the Board’s compliance with laws, regulations, contracts and standards by conducting two systems audits every quarter on specific departmental operations.
- Provide assurance to stakeholders on utilization of SDF loans and grants by conducting quarterly audits of two SDF funded projects in the sugar industry.
- Identify the level of risk exposure and provide assurance to management and the Board on the effectiveness and efficiency of risk management by conducting semi-annual risk-based audits of two selected operational areas.
- The IAD will comprise of the Head of Department and as such other staff as may be required from time to time to carry out its duties and assignments
- The IAD through its Head will report directly to the Audit Committee
- All reports emanating from any assignments carried out by the IAD will be addressed to the Chairperson of the Audit Committee and copied to the Chief Executive and the Head of the concerned operating Unit.
Kenya Sugar Board is ISO 9001:2008 Certified