The Research On Expansion Of Internal Audit Function Based On The Perspective Of Value Added

With the rapid development of economic globalization and information technology, the clientgradually increase the requirements for the responsibility of fiduciary principal, and managers alsohave started to take a series of measures such as operation diversification, business-processreengineering and enterprise risk management to maximize the value of the organization. It can beclearly seen that the macro and micro environment of internal audit have changed substantially, andthus internal audit must be adjusted accordingly, including positive self-reflection,self-development and self-improvement: mainly showed in the improvement of audit objectives,transformation of audit concept, scale-up of audit scope and expansion of the audit function. At thesame time, the IIA definition of internal audit also clearly pointed out: modern internal audit shouldaim to increase organizational value and improve organizational efficiency. The organization canbe helped to achieve its goal by evaluating and making better the implementation results of riskmanagement, internal control and corporate governance. Therefore, we can see the target of internalaudit has transformed from early "avoid harm and raise benefit" to "increase organizational valueand improve efficiency". To achieve this goal, the original supervision, evaluation and functionscontrolling for internal audit have been far from meeting their requirements so the internal auditfunction needs to be expanded urgently. Based on this, this paper is a research for the related issuesabout expansion of internal audit function. This not only can perfect internal audit theory, but alsoincrease its efficiency, improve its effect, to achieve the organization's value-added target, whichhas very important theoretical and practical significance.In research methodology, this paper mainly takes normative research, combined with data andcharts for assistant. In research line, the guiding ideology is "adding value" which goes through thewhole text in this paper. Firstly, through the current situation analysis and motivation analysis, weconcludes that the internal audit function expansion has the necessity; then six restrictive factorsthat influence our country's internal audit function expansion are found and the ways to removethese restrictions are identified one by one, thus the internal audit function development will satisfythe essential implementation requirements; later, the internal audit function expansion approach isanalyzed. The author thinks the internal audit can be expanded from corporate governance, internalcontrol and risk management three areas, and introduces different function expansion methodsrespectively; and finally, a conclusion is drawn: to better realize the goal of enterprise's addedvalue, the expansion for internal audit's function is necessary and also can be achieved.