Deloitte, CAQ Release Audit Committee Practices Report
Deloitte’s Center for Board Effectiveness and the Center for Audit Quality recently released a joint publication entitled, “Audit Committee Practices Report: Priorities and Committee Composition” which highlights the expanded areas audit committees may be tasked with overseeing and how committee composition may need to change in response. The report notes many audit committees are not only concerned with financial reporting and internal controls, but now also include, “overseeing additional areas of emerging and intensifying risk, such as cybersecurity; enterprise risk management (ERM); and environmental, social, and governance (ESG) reporting.” Changes boards are considering include adding more members especially those with varying expertise. The Deloitte report found 63% of boards believe cybersecurity is a top three priority, while 45% believe enterprise risk management is a top priority, and 39% believe ESG will be a top focus.
Click here to read the full report from Deloitte.