The Changing Role of Audit Committee

The incidence of fraud and financial scandals has led to more attention to corporate governance over the past decade than the company and its component in management systems. Today, audit committees have specific and determined responsibilities that have changed over time and have become a progressive and influential role in the traditional role. Since the formation of audit committees, for the first time, it has been several decades and they have been assigned various tasks and responsibilities in each period. Events such as McKesson and Robbins , and also the formation of committees such as Blue Ribbon Committee , as well as the establishment of certain laws, such as the Sarbanes-Oxley Act, significantly changed the objectives and responsibilities of this committee. Today, these kinds of committees have an important roles in improving the quality of financial reporting, internal auditing, protection of shareholders' rights as well as engagement and oversight of auditors. All of these tasks are due to the various events that have taken place. Hence, it is expected that in the future and over time, a special focus will be placed on the status of this committee and new changes in its tasks will be observed.