Goals
The internal audit assists the Board of Directors and top management to examine and review the findings for internal control mechanism, to measure the effectiveness and efficiency of the company’s operations, to provide advice properly, to ensure the internal control mechanism can be continuously implement and to be the basis of inspect and modify internal control mechanism.
Organization
The internal audit unit reports directly to the Board of Directors. Appointment or discharge of the internal auditing officer shall be approved by the Audit Committee and the Board of Directors. The organization headcounts of internal audit unit include one internal auditing officer and four internal auditors.
Functioning
- Scope
Internal audits shall include all operations of the company and its subsidiaries.
- Method
In addition to reviewing and verifying the self-assessment results of the internal control system for each units and subsidiaries, the internal audit unit also evaluates the control operations of various operating activities of Winbond’s internal control system to measure the effectiveness and compliance of the existing internal control and its impact. The frequency and content of each periodic audit are determined according to the laws and regulations as well as the risk assessment; other important procedures or special cases may be audited by the auditing personnel at any time or from time to time.
- Report
The audit plans shall base on the result of the risk assessment, including matters to be audited and frequency, and approved by the Board of Directors. The audit plan shall be used to implement this company's internal control mechanism, and the result of assessment shall be compiled as audit reports. Audit findings are followed up until corrective actions have been completed to ensure the appropriate measures were taken by the relevant units timely.
The internal auditors perform the audits based on the annual audit plan. The internal auditing officer reports to the independent director (the Audit Committee Convener) once per month after the audit reports are completed and delivers them to the independent directors by next month and follow the instructions guided by the Audit Committee Convener to strengthen the audits. Furthermore, the completed audit reports would be delivered to the independent directors by next month, and the internal auditing officer reports the audit operations in meetings of the Audit Committee and meetings of Board of Directors quarterly.