Internal auditors’ roles: From watchdogs to helpers and protectors of the top manager

Manifold Conceptions of the Internal Auditing of Risk Culture in the Financial Sector

“…Furthermore, longitudinal research could inform whether the differences in the IA approaches to risk culture elaborated in this study will continue to exist or whether a new dominant approach will prevail over all other approaches. Third, since many studies provide evidence on IA being an ethically compromised governance practice (Everett and Tremblay 2014;Ferry et al 2017;Roussy 2013;Roussy and Rodrigue 2016), it could be important to understand how an ethically compromised IA could assure and consult on risk culture and ethical issues. Consequently, we also promote further studies on the ethical dilemma faced by internal auditors in carrying out risk culture or ethics audit.…”

“…Commentators in this stream blamed the non-objectivity and non-independence of internal auditors on their role conflicts (Morgan 1980) and inter-role conflict in negotiations (Cohen et al 2002;Roussy 2015;Roussy and Brivot 2016). For example, Roussy (2013) and Roussy and Rodrigue (2016) find that internal auditors team up with the auditee managers instead of with the audit committees and the boards. This siding with the auditee managers makes it comfortable for internal auditors in accessing data and information from the auditees (Fanning and David Piercey 2014;Goodwin and Yeo 2001).…”

Role Conflict and Role Ambiguity on Local Government Internal Auditors: The Determinant and Impacts

“…The occurrence of role conflict is divided into four types based on the source of the conflict, namely intrasender conflict, intersender conflict, interrole conflict, and intrarole conflict (Roussy, 2013;Rahim, 2001). Role theory also states that when an individual does not have sufficient information to produce effective performance in a certain role then he/she will experience role ambiguity (Kahn et al, 1964as cited Senatra, 1980.…”

The effects of tone at the top and coordination with external auditors on internal auditors’ fraud risk assessments

“…Prior studies of internal auditors' attitudes towards management or client suggest that maintaining a true objective view may not be possible for internal auditors because internal auditors tend to advocate for management (Brody and Lowe, 2000;Ahlawat and Lowe, 2004;Messier et al, 2011;Burton et al, 2015). When internal auditors act as advocates for management, they will be more likely to make judgements that align with management expectations (Harrell et al, 1989;Mason and Levy, 2001;Roussy, 2013). However, despite their roles in the organisation as employees, internal auditors are also part of the auditing profession with professional and ethical responsibilities to the rest of society (Gaa, 1992).…”