Explain who should be involved in the evaluation of risk management treatments. Sometimes external auditors can...

Explain who should be involved in the evaluation of risk management treatments. Sometimes external auditors can be called in to evaluate risk management plans and strategies. What are three advantages of using external auditors?

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Expert Solution

Management must be involved in the evaluation of risk management treatment such as management at top level, middle level and low level as :

a. It helps to provide them with the responsibility and understand the companies position in the market while monitor the processes involved in operations.

b. It ensures reviews are carried out in the context of political, economical, social, legal and technological aspects of the organizational activity.

Advantages of using external auditors are :

a. When the external auditors are used instead of carrying out audit internally it has credibility in eyes of employees while they take it more seriously.

b. It helps to analyze and access the process accurately as such auditors are not close to the process so that external perspective can be used.

c. They has the necessary knowledge, experience, skills etc to carry out the audit while enhances the effectiveness of the audit.

keosha answered 4 months ago

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