Internal audit: A case study of impact and quality of an internal control audit

Traditionally, when companies needed assistance regarding internal controls, they turned to an external auditor (EA). However, now, due ongoing tightening of legal requirements and practices the independence EAs, this has been restricted. As alternative, are increasingly requesting audits deliver support. Even though audit function (IAF) important player in control, however, there is little academic knowledge about their impact. Based on a single‐case study large financial institution, paper explores what extent how IAF affect controls. Furthermore, it assesses whether add value company. The results suggest that management letter process, including step‐by‐step settlement interactions, leads joint problem solving, acceptance all IAF's recommendations value‐adding outcome improving level