Internal Audit & Enterprise Risk Management

  • Adamu Pantamee Abdurrahman1, Shafi Mohamad2, Kwong Wing Chong Garrett3, Syed Ehsanullah

Abstract

The purpose of this study is to investigate the association between internal audit and enterprise risk
management. This study provides empirical evidence that shows the coordination of Enterprise Risk
Management (ERM) and internal audit. The data was collected from non-financial 165 companies listed in
Kuala Lumpur Stock Exchange during the period 2010 to 2017. Consistent with prior research, the indexing
approach is employed to measure the degree of ERM adopted by the firms. For the regression analysis, this
study used the Binomial and Poisson models to examine the relationship of internal audit and enterprise
risk management. Our regression results are consistent with our hypothesis as ERM has a positive
relationship with internal audit and audit committee. Both of our independent variables have a positive and
significant relationship with ERM. Overall the results are positive and consistent with the approach of
adopting ERM.

Published
2020-04-13
How to Cite
Adamu Pantamee Abdurrahman1, Shafi Mohamad2, Kwong Wing Chong Garrett3, Syed Ehsanullah. (2020). Internal Audit & Enterprise Risk Management. International Journal of Advanced Science and Technology, 29(9s), 401-409. Retrieved from https://sersc.org/journals/index.php/IJAST/article/view/13106