Internal auditors are key to change in the country and organisations, including private and public institutions must invest in them, a corporate finance and business advisory expert has said.
FDH Financial Holdings Limited group chief executive officer, Thom Mpinganjira, speaking at the Institute of Internal Auditors (IIA) Malawi Annual Conference in Mangochi on Friday where he was guest of honour, said absence of internal auditors in an organisation is recipe for disaster.
“Internal auditors are very important because they are part of internal control. They will tell you where things are going wrong.
“Organisations must invest in internal auditors. Some big companies, including commercial banks have folded up because they did not have external auditors. Without Internal auditors, organisations can survive but you can be hit once through fraud and that will be it. Usually, people have blamed fraud on external auditors but external auditors come and go but internal auditors are with the organisations throughout,” said Mpinganjira.
Mpinganjira added that internal auditors are in the forefront and thus know things before anybody. He noted that they have the unique knowledge to bring change to the organisation and to the country as a whole.
He said that one of the key roles of internal auditors, is to minimise losses due to fraud and corruption by putting the right controls to check the records for anything goes that goes wrong.
Speaking at the conference, the outgoing IIA president Kingsley Mulewa said the institute has a vision to see Malawi with strong corporate governance structures.