The Internal Audit Services within its terms and reference
undertook the following activities during the financial year
2015:-
i. Reviewed and appraised the adequacy and integrity
of the internal financial controls so as to ensure that
it provided a reasonable but not absolute assurance
that assets are properly safeguarded;
ii.
Ascertained the effectiveness of Management in
identifying principal risks and managed such risks
through the Risk Management Framework set-up by
the Group;
iii. Ascertained the level of compliance with the Group’s
plans, policies, procedures and adherence to laws
and regulations;
iv. Appraised the effectiveness of administrative and
financial controls applied and the reliability and
integrity of data that is produced within the Group;
v.
Performed follow-up reviews of previous audit
reports to ensure appropriate actions were
implemented to address control weaknesses
highlighted;
vi. Carried out investigations and special reviews
requested by the Committee and/or Management;
vii. Witnessed the tender opening process for
procurement of services or assets. The witnessing
process was done to ensure the activities in the
tendering process were conducted in a fair,
transparent and consistent manner; and
viii. Prepared the AC Report for the Company’s Annual
Report for financial year ended 31 December 2015.
During the financial year ended 31 December 2015,
Internal Audit Services accomplished a total of 85 audits
comprising scheduled financial and operational audits at
the hospitals and support companies including due
diligence, special audits and ad-hoc assignments. Reviews
on compliance with the established procedures, guidelines
and statutory obligations were also performed.
Investigations were also made at the request of the AC
and Management on specific areas of concern to follow
up in relation to high risk areas identified in the regular
reports. These investigations provided additional assurance
on the integrity and robustness of the internal control
systems.
All findings resulting from the audits were reported to the
AC, Senior Management and relevant Management of
operating hospitals and support companies. Management
of the operating hospitals and support companies were
accountable to ensure proper rectification of the audit
issues and implementation of action plans within the
timeframe specified. Follow up by Internal Audit Services
on the actions taken will be updated in the subsequent
audits.
197
KPJ Healthcare Berhad
Annual Report
2015
