Discussion On The Construction Of Value-added Internal Audit Of Commercial Banks

As the types of business in commercial banks have increased tremendously and the environment is more competitive. The approach of management and the way of operating of national commercial banks is quite different from the past times. In the commercial banks, it is urgent to provide a complete and scientific management system, and internal audit is widely used as an important tool of the governing the commercial banks. In 2013, The IIA made a new definition of internal audit "Internal auditing is an independent, objective assurance and consulting activity designed to add value and improve an organization's operations. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes." This definition has expanded the function of internal audit from inspecting and supervising the bank to creating value to the bank. The value-added internal audit is one part of link of the audit activity, a method activity to ensure the value added during the bank operation, and it is also the new tendency of audit development.Internal audit is the guarantee and consulting service activities for implementing the effective internal management. It use systematic and standardized ways to evaluate and facilitate the internal control, risk management and governance of commercial bank, it also helps the commercial Banks to reach the management goal consistently and profitably. As the change of international and domestic situation and development of commercial Banks, it puts forward higher requirements on internal audit. Internal audit is not only to help comereial Banks to realize the control target, but also to provide value-added services to commercial Banks.Based on the above backgrounds, this paper use normative research ways and case study ways to expound the development strategy of commercial banks.In theory, the first part, the article o introduces the research status at home and abroad, and also introduces the research background and writing ideas. The second part and the third part, the paper introduces what are the main way of value-added internal auditing to most of the current commercial Banks, and how the value-added internal help commercial Banks to increase value;In addition, this part also describes the theoretical framework of the whole thesis and give the definitions of dependent variable, independent variable and control variable.In practice, on the basis of the above theoretical analysis, the fourth part of this paper take 16 listed banks as the research object, introduces the present situation of the internal audit work of commercial bank, and the main contribution to value added in the commercial banks, and ways that still needs to be improved.In the last part, this paper try to build commercial banks value-added internal audit evaluation index from multiple aspects such as the audit system construction, the talent team construction and the information technology development. Eventually, this paper proposes an effective way to evaluate the index of the commercial banks value-added internal audit.This article is able to fulfill a certain level of novelty and feasibility. The paper of constructing the index of the value-added internal audit is relatively less than the paper of analyzing the path to achieve it from the past times. In this paper, commercial banks were selected as the research object which has a significant meaning of reality. This paper provides the reference value of how to construct and analvze the commercial banks value-added internal audit.