4 main Benefits of Internal Audit
(1) Internal audit feeds the managers with a perennial source of information for exercising effective control. By measuring performance, evaluating results and recommending suggestions for remedial actions, internal audit may be instrumental for forcing events to conform to plans.
(2) The plan itself may be put to a critical study under an internal auditing programme so as to find out its appropriateness and effectiveness in the organisation. Particularly, policies and procedures are appraised to see their relevancy and continuation towards the attainment of enterprise objectives. Briefly, internal audit may be utilised as the keeper of managerial conscience in the organisation.
(3) The introduction of an internal auditing programme tones up the morale and working efforts of all members of the organisation. The risk of being exposed before the eyes of- managers- induces persons to keep within the track and to avoid errors of omission or commission.
(4) Internal audit scrutinizes accounting and financial data to screen facts from the heaps of figures and statistics. Thus accounting for management information can be made to prevail under a programme for internal audit.