Page 14 - IAT_April_2025_Magazine
P. 14
The Ethics of Internal Audit Reporting:
How transparent auditors should be?
responsibilities, and best practices that define the
role of internal auditors today.
The following conversation delves into key aspects
of internal auditing, transparency, and the ethical
dilemmas auditors face in their reporting. At the
outset, we would like to thank Mr. Sudhir Dalvi
and appreciate his time with us. Let’s look forward
to some rich insights about Internal auditing.
Mr. Sudhir Dalvi Understanding Internal Audit and Its
Corporate Audit Function at ABMCPL Role
sudhir.dalvi@adityabirla.com Q: In this modern age, how do you define
internal audit, and what role does it play in an
Introduction organization?
Transparency and discretion—two essential yet A: Internal audit is an independent management
sometimes conflicting elements of internal audit function that provides the Board and Management
reporting—pose a critical ethical dilemma for
auditors worldwide. Should auditors disclose a. Objective assurance on effectiveness of the
everything they find, or should they exercise internal control and risk management processes
discretion in their reporting? b. Provides value added suggestions to strengthen
the overall governance mechanism of the
To delve deeper into this issue, we had an organisation
insightful conversation with Mr. Sudhir Dalvi,
Head of Corporate Audit at ABMCPL (Aditya The Purpose of Internal Audit Reporting
Birla Management Corporation Limited), who is
an industry stalwart with more than 3.5 decades Q: What according to you, is the primary
of enriched experience in Finance, Governance, objective of internal audit reporting?
and Business operations across diverse industries.
He has a proven track record in developing and A: According to me, some of the main objectives
implementing financial controls, policies & of Internal Audit Reporting are
processes in addition to productivity improvements
and change management. His perspectives provide • Timely communication of the results to the
invaluable lessons for auditors navigating the Board and Management.
fine line between ethical integrity and pragmatic • Factual, relevant and easily understandable
decision-making. results.
• Actionable insights that enable the
To explore the complexities of ethical decision- Management to take informed decisions to
making in internal audit reporting, Punam Sharma, make processes, systems and controls robust,
Chief Editor of IA Today, reached out to Mr. Sudhir ensure compliance to regulation or law.
Dalvi for an exclusive interactive discussion. With • Partnering with th e Business to enable
his vast experience, he sheds light on the challenges, business achieve its objectives
11 INTERNAL AUDIT TODAY
