Enhancing the Audit Committee Report: A Call to Action
In 2012, several nationally recognized U.S. governance organizations came together to collaborate on projects intended to leverage their efforts to expand audit committee member access to useful tools and materials across the spectrum of public companies to strengthen audit committee performance and transparency. Known as the Audit Committee Collaboration, one of our first projects was the production of a tool for assisting audit committees with their annual assessment of the external auditor.
An area of recent focus for us has been audit committee reporting. We believe that greater transparency about the audit committee’s roles and responsibilities is one way of increasing investor confidence, and an opportunity to communicate more clearly to shareholders about audit committee-related activities. To this end, we believe that public company audit committee reporting can and should be strengthened, and we encourage all public company audit committees to renew their focus on this important issue.