Auditing Acquisitions: Part 1 – Implementing Acquisitions Strategies
Abstract
First of two articles outlining the role of Internal Audit (IA) in acquisitions activity. The independence and objectivity of IA mean that it can contribute significantly to acquisitions activity, provided it has sufficient organizational status, and business awareness. In screening acquisition candidates, scrutiny of the business environment is as important as the analysis of results to date. The potential “fit” between the prospective parent and the subsidiary should be reviewed, as well as the suitability and readiness of the acquirer to manage diversified activities. Acquisitions provide a “high‐risk, high growth” path and IA should participate as early as possible in preparations for diversification.
Keywords
Citation
Cook, R. (1993), "Auditing Acquisitions: Part 1 – Implementing Acquisitions Strategies", Managerial Auditing Journal, Vol. 8 No. 1. https://doi.org/10.1108/02686909310023551
Publisher
:MCB UP Ltd
Copyright © 1993, MCB UP Limited