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October 5, 2025Journal of Business Management Education (JBME)0 citationsOpen Access

Evaluating the Role of Audit Committees and Internal Auditors in Strengthening Good Corporate Governance: A Case Study of Islamic Bank in Indonesia

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MDMuhammad Hafid Fadhilah DipradjaMDMuhammad Irfan Dipradja

Key Points

  • The involvement of audit committees and internal auditors fosters accountability in corporate governance.
  • Key findings indicate that audit committees provide oversight while internal auditors carry out operational audits.
  • Qualitative research included data from literature reviews and interviews with relevant stakeholders.
  • Continuous improvement in governance practices is crucial for regulatory compliance in financial institutions.

Abstract

This study examines the role of audit committees and internal auditors in implementing good corporate governance (GCG) at Bank X in 2023. Employing a qualitative approach, it explores how these governance bodies contribute to maintaining transparency, accountability, responsibility, professionalism, and fairness—core principles of GCG. Data were collected through literature reviews, company reports, and interviews with key stakeholders. The findings reveal that both the audit committee and internal auditors play pivotal roles in ensuring regulatory compliance and improving governance practices. While the audit committee functions primarily as an oversight and advisory body, internal audit unit is actively involved in operational audits to identify deviations and recommend improvements. The study underscores the need for continuous improvement in governance practices and highlights areas for future development.

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Cite This Study

Dipradja et al. (2024) studied this question.

synapsesocial.com/papers/68e2555bd6d66a53c247539ehttps://doi.org/10.17509/jbme.v9i3.76510
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