Internal audit organization and operation
The design, implementation, and internal auditing of the company’s internal control system are based on the establishment of internal control system processing guidelines and related laws and regulations by the public issuing company.
Internal auditing aims to assist the board of directors of the Company and the senior management to independently and objectively assess the completeness, effectiveness and implementation of the Group’s internal control system, and to provide timely improvement suggestions to ensure that the internal control system continues to be effective. Implementation and review as a basis for reviewing the internal control system to promote the sound operation of the company.
The appointment and removal of the internal audit supervisor shall be subject to the approval of the board of directors and shall be submitted for reference before the 10th of the month passed by the board of directors.
The audit room of the company is attached to the board of directors and has one audit supervisor. It manages and performs the audit work of the audit room. According to the company’s scale, business conditions, management needs and other relevant laws and regulations, it is equipped with the appropriate and appropriate number of internal staff. The audit staff is responsible for the implementation of auditing matters such as regular and irregular audits and project audits within the company.
The appointment and removal of the internal audit supervisor of the company shall be subject to the approval of the board of directors and shall be submitted for reference before the 10th of the next month.
(1) Annual audit assignment:
The audit office of the Company prepares an annual audit plan based on the identified risks, and specifies the audit items, time, procedures and methods. The annual audit plan is executed after the approval of the board of directors. The full-time audit staff conducts auditing matters on a regular basis, and the audit results are attached to the working papers and related materials to make an audit report to ensure that the internal control system of the company is continuously and effectively implemented. In addition, depending on the company’s operational and management needs, it conducts irregular audits or project audits, and provides management in a timely manner to resolve additional pipelines that already exist or potentially control weaknesses.
(2) Internal Control Self Assessment:
Coordinating the effectiveness of the internal control system on a regular basis by each department within the group. According to the internal control risk assessment, high-risk projects are carried out by the heads of various departments to carry out self-inspection of the internal control degree design and implementation effectiveness evaluation. In the audit room of the company, the self-inspection reports of the departments within the company are reviewed and found according to the review. The internal control execution status is issued as an evaluation report, which is used as the main basis for evaluating the effectiveness of the overall internal control system and issuing an internal control system statement.
According to the annual audit plan, the company conducts regular audit operations for the group’s subsidiaries, effectively evaluates the internal control system to be implemented continuously and effectively, and regards the operation and management needs of the group’s subsidiaries. Perform non-scheduled audits or project audits to provide management in a timely manner to resolve additional pipelines that already exist or potentially control weaknesses.
(4) Improve operational effectiveness:
The Company’s Audit Office provides management consulting services for operational process efficiency improvement and internal control design to assist the Group’s operational departments to improve efficiency and effectiveness.
(5)Reporting and Announcement:
The audit office of the company handles related matters in accordance with the relevant laws and regulations of the public issuance company, and performs or assists in various declarations and announcements.