Organizational operation of internal audit

Organizational operation of internal audit

Internal audit is an independent unit directly under the board of directors. Its main responsibility is to assist the management in establishing and implementing an internal control system to improve company operations and reasonably ensure the achievement of the following goals: 1. Operational effectiveness and efficiency. 2. The report is reliable, timely, transparent and in compliance with relevant regulations. 3. Compliance with relevant laws and regulations. In addition to the regular meetings of the board of directors, they should also report to the chairman and independent directors every month or when necessary.
The internal audit unit prepares an annual audit plan based on the results of the risk assessment every year, and the auditors implement the audit plan approved by the board of directors, conduct the evaluation of business performance and execution from a detached standpoint, and compile the audit findings and conclusions The audit report is submitted to the chairman of the board and independent directors for review. For any deficiencies and abnormalities discovered, suggestions for improvement are provided in a timely manner, and continuous tracking until improvement is provided to provide the management with constructive improvement measures.
The internal audit reviews the self-assessment performed by each unit, including evaluating whether the operation is performed and reviewing documents to ensure the quality of the implementation, and comprehensively reporting the results of the self-assessment to the board of directors and senior management for the effectiveness and issue of the internal control system The main basis for the declaration of the internal control system.

Appointment and removal of internal auditors

The appointment, dismissal, evaluation, and remuneration of the company's internal auditors are handled in accordance with the "Personnel Recruitment Procedures", "Wage Payment Management Measures", "Performance Evaluation Management Measures" and "Resignation Management Measures". The evaluation is carried out twice a year. Second, the above-mentioned appointment and dismissal, evaluation and salary remuneration are signed and reported to the chairman of the board for approval according to the sign-off process. The above-mentioned relevant measures have been disclosed in the company's internal regulations area.