Audit Committee Institute

Audit Committee Institute 530 Chestnut Ridge Road Woodcliff Lake, NJ 07677 Telephone 1 877 KPMG ACI Fax 201 643-3145 e-Mail auditcommittee@kpmg.com Internet www.auditcommitteeinstitute.com December 2010 Ten To-Do’s for Audit Committees in 2011 When considering and carrying out their 2011 agendas, audit committees should… 1. Keep the audit committee’s eye on the ball: financial reporting and related internal control risk. Ensuring that the audit committee agenda appropriately focuses on the issues that require the committee’s attention will be a significant undertaking in 2011. The challenges of a continuing slow growth economy coupled with the impact of major public policy and regulatory initiatives—Dodd-Frank, IFRS and accounting standards convergence, financial services regulation, healthcare, the environment, energy, etc.—on the company’s compliance, risk, and governance processes will require the attention of every audit committee. To meet this workload challenge, develop more-focused (yet flexible) agendas, with an eye on the company’s key financial reporting and related internal control risks. Streamline committee meetings by insisting on quality pre-meeting materials, spending less time on low-value or ―checklist‖ activities, and engaging in more discussion (versus presentations). 2. Understand how the raft of accounting changes on the horizon will impact the company and its resources. While the SEC determines what role ...