The purpose of this study was to indentify collective skills and background that audit committee members must have in order to be effective. In addition, the study examined the extent of prevalence of each skill indentified, which can then be deduced into model to work out the right combination of audit members according to qualifications, experience and skills that they posses. The model can thus be used in selecting candidates to serve in audit committees. Two categories of samples selected from a list of the top 100 companies for 2008 to 2010 and a combined list of the bottom 20 companies for the 2005 to 2009 and the bottom 20 companies for 2010, compiled by Inet Bridge and published by Business Times, were used in the study. Profiles of audit committee members of companies selected in the samples, which were published in the annual reports of the respective companies in which they were serving as audit committee members were consolidated with those published on Bloomberg Business week website, http:investing.businessweek.com/research /stocks/people/ person, and thereafter summarized. The profiles indicated qualifications, professional background, business management experience and a list of companies that each member was serving or had served as a member of board of directors. Skills categories adopted in Audit Committee Institute (2006) were used in analysing expertise, experience and background of audit committee members, namely financial, business management, corporate director, legal and industry specific background. The variables were statistically tested using t-test and chi-square. The results of the study revealed that finance, corporate director and business management were necessary for an audit committee to function effectively. The study further found that legal and industry specific background were least considered skills in the composition of audit committees. / Dissertation (MBA)--University of Pretoria, 2012. / Gordon Institute of Business Science (GIBS) / unrestricted

This study attempted to discover the role of internal auditors in the professional development of audit committee members, leading to enhanced performance, through the provision of induction programmes and professional development opportunities to committee members, with due regard for the principles of good governance and international best practices. A secondary aim of this study was to propose methods to improve the relationship between the internal audit activity and audit committees in providing additional support to its members. The audit committee's needs and requirements were assessed by using the audit committee charter as the basis in identifying the responsibilities of the committee and the professional development needs of committee members in an organisation. It was found that a framework for the induction and professional development of audit committee members would be most useful to internal auditors to assist audit committees to meet their requirements and improve their performance. / Auditing / M. Com.

La thèse explore la question de l’efficacité des comités d’audit en France : les comités d’audit jouent-ils effectivement leur rôle ? La problématique de l’efficacité de ces comités dans le processus d’évaluation du gouvernement d’entreprise demeure importante dans le contexte français, où les textes (notamment les recommandations de la 8ème directive) restent très imprécis. Une première partie expose les critères d’efficacité et le fonctionnement général des comités d’audit à partir d’un état de la littérature et d’une étude empirique sur des données secondaires. Nous examinons de façon approfondie les principaux déterminants de la diligence d’un comité d’audit. Ce problème est examiné dans le cadre d’une relation d’agence et d’asymétrie d’information. Ainsi, notre étude dépasse le cadre de la simple existence d’un comité d’audit (purement formel), pour s’intéresser de plus près à la capacité de ces comités à protéger effectivement les intérêts des parties prenantes et ceci en renfonçant la qualité du contrôle interne et celle du processus de l’audit externe. / Corporate governance in France has developed considerably in recent years. The strengthening of governance procedures is illustrated by the creation of audit committees, which today exist in virtually all listed companies. However, the issue of the audit committee’s effectiveness in the corporate governance evaluation process remains significant in the French context, where the texts (particularly the recommendations of the 8th European Directive) continue to lack clarity. This thesis aims to contribute to our understanding of the “black box” of governance procedures by studying the way that the audit committee’s characteristics affect the extent of reporting on internal control and risk management procedures and on audit fees. It emphasizes that the mere existence of an audit committee is not sufficient; it also needs to be effective. To be effective it must have the necessary means (composition, diligence, and resources). This study therefore looks beyond the simple existence of the audit committee (purely formal) and focuses on attributes related to its composition, its diligence, and the diversity of its members in order to more closely examine the audit committee’s ability to protect stakeholder interests. To do this, we analyze 176 non-financial French listed companies during a period when establishing an audit committee was voluntary. The results obtained support previous works advocating that audit committees comply with best practice rules for expertise,independence, and diligence and be comprised of experienced and diverse members. Our results raise several questions on the scope of the transposition into French law of the 8th European Directive.

This study attempted to discover the role of internal auditors in the professional development of audit committee members, leading to enhanced performance, through the provision of induction programmes and professional development opportunities to committee members, with due regard for the principles of good governance and international best practices. A secondary aim of this study was to propose methods to improve the relationship between the internal audit activity and audit committees in providing additional support to its members. The audit committee's needs and requirements were assessed by using the audit committee charter as the basis in identifying the responsibilities of the committee and the professional development needs of committee members in an organisation. It was found that a framework for the induction and professional development of audit committee members would be most useful to internal auditors to assist audit committees to meet their requirements and improve their performance. / Auditing / M. Com.

Corporate governance failures raise questions by stakeholders seeking explanations why audit committees are failing to play their agency role effectively. The objective of this study was to determine the relation between 49 disclosed audit committee effectiveness variables based on King III Code recommended practices and the external audit opinion expressed in South African central government departments. Descriptive statistics highlighted variances in 14 variables across 93 departments. Categorical principal component analysis categorised the 14 variables into four factor variables and hypotheses. Multivariate ordinal logistic regression tested the hypotheses. Results suggest that disclosure of a higher number of variables was generally associated with a clean audit report, while the association between a higher number of disclosures regarding audit committee structure and profile variables and a clean audit report was significant. Improvements to National Treasury’s disclosure templates and review of departmental managers’ disclosures about audit committees in annual reports are recommended. / Gevalle van korporatiewe beheer mislukking laat vrae by belanghebbers ontstaan waarom ouditkomitees versuim om hul oorsigrol doeltreffend te vervul. Die doel van hierdie studie was om te bepaal watter verband daar bestaan tussen 49 vasgestelde ouditkomiteedoeltreffendheidsveranderlikes vervat in die aanbevole praktyke volgens die King III-kode en die eksterne ouditmening wat in sentrale staatsdepartemente in Suid-Afrika uitgepreek is. Beskrywende statistiek het variasies in 14 veranderlikes oor 93 departemente uitgewys. Kategoriesebeginsel-komponentontleding het die 14 veranderlikes in vier faktorveranderlikes en hipoteses gekategoriseer. Meerveranderlike ordinale logistieke regressie het die hipoteses getoets. Resultate toon dat openbaarmaking van ʼn groter getal veranderlikes oor die algemeen verband hou met ʼn skoon ouditverslag; en die verband tussen ʼn groter getal openbaarmakings betreffende ouditkomiteestruktuur- en profielveranderlikes en ʼn skoon ouditverslag was beduidend. Verbeteringe aan Nasionale Tesourie se openbaarmakingstemplet en nasiening van departementele bestuurders se openbaarmakings rakende ouditkomitees in jaarverslae word aanbeveel. / Go palelwa ga ditshepedišo tšeo di latelwago go laola khamphani go dirile gore bengdithoto ba ipotšiše dipotšišo tše di nyakago ditlhalošo tša gore gobaneng dikomiti tša tlhakišo di šitwa go kgatha tema ya tšona ya bodiredi ka bokgoni. Maikemišetšo a thutelo ye e be e le go šupa tswalano gare ga mabaka ao a ka fetogago a go tliša katlego a 49 ao a utollotšwego a komiti ya tlhakišo go ya ka ditlwaelo tše di šišintšwego tša King III Code le maikutlo a tlhakišo ya ka ntle ao a filwego ke dikgoro tša mmušo wa gare tša Afrika Borwa. Dipalopalo tšeo di fago tlhalošo ya popego ya datha di bontšhitše phetogo go mabaka ao a ka fetogago a 14 ka go dikgoro tše 93. Tshekatsheko ya karolo ye kgolo ya tlhopho e hlophile mabaka ao a ka fetogago a 14 go ya ka mabaka ao a ka fetogago le ditlhalošo tše di šišintšwego tše nne. Mokgwa wa tshekatsheko ya go fetogafetoga ga didatha go ya ka tatelano goba kgetho o dirišitšwe go leka ditlhalošo tše di šišintšwego. Dipoelo di šišintše gore kutollo ya palo ya godingwna ya mabaka ao a ka fetogago ka kakaretšo e tswalane le maikutlo a tlhakišo ao a se nago bosodi, gomme tswalano gare ga palo ya godingwana ya dikutollo tša mabaka ao a ka fetogago a popego ya komiti ya tlhakišo le profaele le maikutlo ao a se nago bosodi e bile bohlokwa. Dikaonafatšo go mokgwatshepedišo wa kutollo wa Polokelo ya Bosetšhaba le tekolo ya dikutollo tša bolaodi ka ga dikomiti tša tlhakišo ka go dipego tša ngwaga ka ngwaga di a eletšwa / Centre for Accounting Studies / M. Phil. (Accounting Sciences)