Implementing value-added combined assurance interventions for South African organisations

Abstract

This article aims to develop a value-added combined assurance model that can be utilised by organisational boards to implement combined assurance activities as part of organisational risk management. This model is informed by best practices such as the King IV report and the Institute of Internal Auditors guidelines. Despite having this support tool, organisational boards are still struggling to manage risks effectively and efficiently, especially with regard to the lack of implementing combined assurance activities, which seek to manage risks holistically without duplication of effort. The challenges and lack of implementing combined assurance activities to minimize risks have led to the erosion of stakeholders’ confidence and interest in organisations in South Africa. This study sought to demonstrate the need for effective combined assurance activities as part of risk management, as implemented by the board. It is evident from the study that an organisational board could improve on managing its risk management processes if the underpinning model can be adopted and utilised. This research will highlight the challenges facing the boards in managing risks, their root causes of inefficiency, and possible methods to rectify them. It proposes a combined assurance model that can assist organisational boards to improve their operational systems and processes. The adoption and implementation of this model could also see improvements in obtaining clean audits. The study could add value to existing theoretical and conceptual issues by contributing to the ongoing discourse on the implementation of combined assurance both in the public and private sectors, and in particular in South Africa, as the country is strongly characterised by corruption and maladministration.

To cite: Masegare, P. (2018). Implementing value-added combined assurance interventions for South African organisations. Journal of Management & Administration (2018/1), 129–149. https://hdl.handle.net/10520/EJC-11078b8c78