The objective of this study was to develop a graphical and narrative framework to promote the overall effectiveness of audit committees in private sector companies in South Africa. Audit committees play an important role in promoting corporate governance principles and reducing fraud and irregularities through their monitoring and oversight function. The recent increase in corporate governance failures in South Africa suggested that audit committees may be experiencing problems in being effective. The research was motivated by several gaps in the literature, the main gap being the need to augment the requirements of the Companies Act and King IVTM, to promote more effective audit committees and better corporate governance.
This study adopted a post-positivist paradigm and a qualitative approach using two focus groups comprising 29 audit committee members and stakeholders to identify determinants of audit committee effectiveness, together with a literature review. Thirty-four affinities (themes) and 365 sub-affinities were identified. These were refined into 12 themes and six meta-themes using primary data from focus groups and the literature review. Interactive Qualitative Analysis (IQA) was used to analyse data into a hierarchy of drivers, a pivot, and outcomes. This formed the basis of a unique hierarchical three-tiered graphical framework reflecting 24 interrelationships among six meta-themes. Affinities, themes and meta-themes were defined, and a general definition of an effective audit committee was formulated. In the narrative framework, meta-themes were expressed as six principles comprising 12 themes, supported by 124 guidelines.
Although an inherent limitation of the research is that findings cannot necessarily be generalised to other countries, the role of audit committees is similar across the world, and South Africa is arguably a leader in the field of corporate governance.
This study is unique because it is the first to develop two interrelated frameworks of audit committee effectiveness for the private sector using focus groups and IQA. Findings are expected to be of significance to audit committee members and stakeholders, boards, management, internal auditors, external auditors, shareholders, legislators, the Institute of Directors, Institute of Internal Auditors, and the South African Institute of Chartered Accountants, and to provide guidelines to the international community
Die doelwit van hierdie studie was om ’n grafiese en narratiewe raamwerk te ontwikkel om die algehele doeltreffendheid van ouditkomitees in privaatsektormaatskappye in Suid-Afrika te bevorder. Ouditkomitees speel ’n belangrike rol om beginsels van korporatiewe beheer te bevorder en bedrog en onreëlmatighede te verminder deur die monitor- en toesigfunksie wat hulle verrig. Die onlangse toename in korporatiewe-beheer-mislukkings in Suid-Afrika het gedui op moontlike doeltreffendheidprobleme onder ouditkomitees. Die navorsing is aangewakker deur verskeie gapings in die literatuur, in die besonder die nodigheid om die voorskrifte van die Maatskappyewet en King IVTM uit te brei, om meer doeltreffende ouditkomitees en beter korporatiewe beheer te bevorder.
In hierdie studie is ’n post-positivistiese paradigma en ’n kwalitatiewe benadering gevolg deur twee fokusgroepe bestaande uit 29 ouditkomiteelede en belanghebbers te gebruik, tesame met ’n literatuuroorsig, om determinante van ouditkomiteedoeltreffendheid te identifiseer. Vier-en-dertig affiniteite (temas) en 365 sub-affiniteite is geïdentifiseer en dit is verfyn tot 12 temas en ses metatemas, met behulp van primêre data van fokusgroepe en die literatuuroorsig. Interaktiewe, kwalitatiewe ontleding bekend as Interactive Qualitative Analysis (IQA) is gebruik om data te ontleed in ’n hiërargie van aandrywers, ’n middelpunt, en uitkomste. Dit het die basis gevorm van ’n unieke hiërargiese drielaag- grafiese raamwerk wat 24 onderlinge verwantskappe tussen ses metatemas weerspieël. Affiniteite, temas en metatemas is omskryf, en ’n algemene definisie van ’n doeltreffende ouditkomitee is geformuleer. In die narratiewe raamwerk is metatemas uitgedruk as ses beginsels wat uit 12 temas bestaan en deur 124 riglyne ondersteun word.
Hoewel die navorsing die inherente beperking het dat bevindinge nie noodwendig na ander lande veralgemeen kan word nie, is die rol van ouditkomitees wêreldwyd soortgelyk. Suid-Afrika is stellig ’n voorloper op die gebied van korporatiewe beheer.
Hierdie studie is uniek omdat dit die eerste is om twee onderling verwante raamwerke van ouditkomiteedoeltreffendheid vir die privaat sektor te ontwikkel deur middel van fokusgroepe en IQA. Daar word verwag dat die bevindinge waardevol sal wees vir ouditkomiteelede en belanghebbers, rade, bestuur, interne ouditeure, eksterne ouditeure, aandeelhouers, wetgewers, die Instituut van Direkteure, die Instituut van Interne Ouditeure, en die Suid-Afrikaanse Instituut van Geoktrooieerde Rekenmeesters, en dat dit riglyne aan die internasionale gemeenskap sal verskaf
Inhloso yalolu cwaningo bekuwukusungula uhlaka olunezithombe kanye nokulandisa ukuze kuthuthukiswe ukusebenza ngempumelelo kwamakomiti ocwaningomabhuku ezimali ezinkampanini ezizimele eNingizimu Afrika. Amakomidi ocwaningomabhuku ezezimali adlala indima ebalulekile ekukhuthazeni imigomo yokuphatha ngokubambisana kanye nokunciphisa ukukhwabanisa nokungahambi kahle ngomsebenzi wawo wokuqapha nokwengamela. Ukwenyuka kwakamuva kokwehluleka kokubusa kwebhizinisi eNingizimu Afrika kuphakamise ukuthi amakomiti abacwaningi mabhuku angase abe nezinkinga ekusebenzeni ngempumelelo. Ucwaningo lugqugquzelwe amagebe ambalwa emibhalweni, igebe elikhulu liyisidingo sokwengeza izidingo zoMthetho Wezinkampani kanye neKing IVTM, ukukhuthaza amakomiti abacwaningi mabhuku ezimali asebenza ngempumelelo kanye nokubusa okungcono kwebhizinisi.
Lolu cwaningo lwamukele iparadimu enzeke ngemuva eqhamile kanye nendlela esezingeni eliphezulu lapho kwabe kusetshenziswa amaqembu amabili okugxilwe kuwo anamalungu angama-29 wamakomiti abacwaningi mabhuku bezimali kanye nababambiqhaza ukuze kuhlonzwe izinkomba zokuphumelela kwekomidi lokucwaningwa kwamabhuku ezimali, kanye nokubuyekezwa kwemibhalo. Kuhlonzwe izinhlobo ezingamashumi amathathu nane (izindikimba) kanye nezincane ezingama-365. Lokhu kucwengisiswe kahle kwaba yizindikimba eziyi-12 kanye nezindikimba zemetha eziyisithupha kusetshenziswa idatha eyinhloko evela emaqenjini okugxilwe kuwo kanye nokubuyekezwa kwezincwadi. Ukuhlaziya Okuyikwalithi Okuhlangene (UOO) kwasetshenziselwa ukuhlaziya idatha ibe isigaba sabaholi bayo, iphayivothi, kanye nemiphumela. Lokhu kwakha isisekelo sohlaka lwesithombe olunezigaba ezintathu oluhlukile olubonisa ukuhlobana okungama-24 phakathi kwezihloko zamametha ayisithupha. Ukuhambisana, izindikimba kanye nezihloko zemetha ziye zachazwa, futhi kwasungulwa nencazelo evamile yekomidi locwaningomabhuku lezimali elisebenza ngempumelelo. Ohlakeni lokulandisa, izihloko zamametha zavezwa njengezimiso eziyisithupha ezihlanganisa izingqikithi eziyi-12, ezisekelwa imihlahlandlela eyi-124. Nakuba umkhawulo okhona wocwaningo uwukuthi okutholiwe akukwazi ukwenzeka nakwamanye amazwe, indima yamakomiti abacwaningi mabhuku bezimali iyafana emhlabeni wonke, futhi iNingizimu Afrika ngokungangabazeki ingumholi emkhakheni wokuphatha ngokubambisana.
Lolu cwaningo luhlukile ngoba lungolokuqala ukwenza izinhlaka ezimbili ezihambisanayo zokusebenza kwekomidi locwaningomabhuku ezimali lomkhakha ozimele kusetshenziswa amaqembu okugxilwe kuwo kanye ne-UOO. Okutholakele kulindeleke ukuthi kube semqoka kumalungu ekomidi lokucwaninga amabhuku ezimali kanye nababambiqhaza, amabhodi, abaphathi, abacwaningi bamabhuku bezimali bangaphakathi, abacwaningi mabhuku bezinali bangaphandle, abanikazi bamasheya, abashayamthetho, Isikhungo Sabaqondisi, Isikhungo Sabahloli Bamabhuku Ezimali Bangaphakathi, kanye neSikhungo saseNingizimu Afrika Somgcinimabhuku Oqashiwe, kanye nokuhlinzeka. imihlahlandlela emphakathini wamazwe ngamazwe.
