In the turbulent times which followed the Lehman Brothers collapse has the financial reporting of many larger companies were particularly complex including the impairment test problems (Impairment issues), Counter Party Risk and Going Concern relationship etc. These problems present complex issues matters that both challenges AC'ere and the need for a challenging dialogue with the external auditors.
The Top Concerns of Audit Committees in 2011 according to a survey by KPMG are:
- Uncertainties of economic/legislative environments
- Risk Management/oversight
- Financial statement issues (e.g., fair value, asset impairment)
- Financial communications/disclosures
- Tone at the top, culture, and compensation/incentives
- Legal/regulatory compliance (BA and FCPA)
- Impact of cost reductions (talent, controls, compliance)
- Audit committee's effectiveness and efficiency
- Funding pensions/benefit costs
- CFO and internal audit resources
Mr. jesper Jarlbæk, CPA is one of the few international accountants who has experience as a member of the audit committee from 4 stock listed companies that are as diverse as airline to shipping to electronics. Knowing the performance of several companies, we could not have found a more competent person to address Audit Committee issues at the Copenhagen Compliance Conference.
Jesper says: "My critical attitude is that, I do not understand how Boards may think that it's okay to equip AC's without the participation of a single trained or certified auditor.
This corresponds to set up a Medical Council to assess patients' diagnoses, without a single doctor sitting in council.
I will clarify many of the AC issues with experiences from real life during my Key Note speech says Jesper Jarlbæk, who is the ex. managing partner of Arthur Andersen and Deloitte, Denmark.