DOMAIN EXPERTISE IN INTERNAL AUDIT FOR ROBUST INTERNAL CONTROL MECHANISM OF CONSTRUCTION FIRMS

There are many construction firms in India which are run by the big business houses. They are being operated on a very large scale, thereby leaving for very less scope of any disorganization in the management. With the increase in scale of operations, increases the scope of fraud or any flaw that may have an adverse effect on the company as well as the investors. Effective internal audit provides a tool to ease out all the complexities, ensures that systems and processes are adequate to support the growth and are adapted to the changes in various applicable regulations, thereby ensuring sustained growth and development. For effectiveness of internal audit, it is necessary for the auditor to understand the business and operations of the construction firms. Hence it is necessary that the audit team should comprise of qualified technical engineers to understand nitigrities of construction business. This paper discusses the detailed methodology adopted for the effective internal control of the construction firms as well as help the top level management to observe overall progress of their firm and the role of domain expertise in internal audit