Who is responsible for advising and making recommendations on internal control and corporate governance?

The role of internal auditors is pivotal when it comes to advising and making recommendations on internal control and corporate governance. Internal auditors are tasked with evaluating an organization's internal controls, risk management processes, and governance practices. They operate independently and provide an objective assessment of how well risks are managed and how effectively controls are functioning.

More importantly, internal auditors focus on the efficiency and effectiveness of operations, compliance with laws and regulations, and ensuring that there is an adequate framework for governance. Through their evaluations, they highlight areas for improvement and help management and the board to make informed decisions about risks and governance practices. This advisory role is essential in helping organizations navigate complex regulatory environments and enhance their overall governance frameworks.

External auditors, while also important, primarily provide assurance on the financial statements and are not directly involved in advising internal control issues within the organization. Management also plays a critical role in establishing and maintaining internal controls but does not typically serve as an independent advisor. Accountants generally focus on the recording and reporting of financial information and may not specialize in governance and control advisory roles.