Critical analysis of the professional status of the international audit standards (IAS) and the efficiency and effectiveness of internal auditing in Acico Company as sample from middle east organizations

Internal auditing has historically functioned as an integral part of an organization's risk assessment, control, and governance structure. Recently, the internal audit world has been challenged by external firms, including the large professional services firms, who are marketing internal audit services (outsourcing). The market potential for internal audit services is large with some firms projecting internal audit services to be 25% of the total of external audit billings in the next few years. Many organisations have also argued that they could improve both the cost and the efficiency of their services by subjecting individual units to competition from the private sector. Internal auditing may be an ideal candidate for market testing because it is usually organized as a separate, unit, and there are many alternative providers of audit services. The researcher had the opportunity to examine the market testing of internal audit services within the Acico organisation.

The method used to find this research was quantitative. The descriptive method is used to find out the data from graph, figure and fact. The primary data is used to find out data analysis where the questionnaire was setup and sent to the employee of the organisation. This actually was easy because I have been working in this organisation for last ten years. Finally the conclusion is about the fraud indicator and working of people within internal auditing department should improve efficiency and future recommendation is being provided.