MURRAY & ROBERTS GROUP INTERNAL AUDIT RECEIVES INTERNATIONAL RECOGNITION

The Murray & Roberts Group Internal Audit Function received the highest quality excellence rating (General Conformance) from the Institute of Internal Auditors Inc (USA) on 6 July 2018. This
achievement was reached in the first external independent quality assessment undertaken on the Internal Audit Function. In the Internal Audit environment and in South Africa it is exceptional that
the highest rating is awarded in the first assessment. On average, the highest rating achieved in the first assessment is Partial Conformance.

Internal Audit is an independent function, which assists the Murray & Roberts Group in accomplishing its objectives by bringing an independent, systematic and disciplined approach to evaluating and improving the effectiveness of the Group’s risk management, internal control and corporate governance processes.

As part of the Internal Audit mandate, adherence to the Standards as set by the Institute of Internal Auditors Inc (USA) is required. The Standards require that an Internal Audit Function is subjected to an external independent quality assessment every five years.

The assessment process includes:
• Survey to the clients of Internal Audit;
• Interviews with the Audit Committee Chair, Directors and the senior management team; and
• Review of Internal Audit’s risk assessment and audit planning processes, audit tools and methodologies, engagement, staff management processes and a sample of working papers, evidence files and reports.

The Assessors have concluded that the relevant structures, policies, and procedures of Internal Audit, as well as the processes by which they are applied, comply with the requirements of the Standards and all elements of the Code of Ethics in all materialrespects. The Assessors therefore awarded the best rating of “General Conformance” to Internal Audit.

In the Murray & Roberts context this means that Internal Audit follows due and proper process, from planning to issuance of its reports, with a well qualified team to deliver properly supported, factual and accurate reports; and the results of the Internal Audit audits add value and assist in the effectiveness of the Group’s risk management,
internal control and corporate governance processes.