TRANSPARENCY REPORT | PUBLIC INTEREST COMMITTEE
These are all areas which the PIC is working
on with the Head of Audit and the newly
appointed Head of Audit Quality. The work of
the audit quality team, including the current
implementation of ISQM1, is being examined
and challenged by the PIC. The Chair of the PIC
has also been doing a number of other things
to interrogate and encourage audit quality.
● Shadowing our Quality Assurance Team during
their reviews and feeding observations and
suggestions into the development of the new
risk-focused approach. This will continue
so as to ensure that the feedback is being
implemented in practice.
● Observing RI meetings and then following
up with the Regional Audit Managing
Partners to assess views on how the Tone
at the Top was delivered and received.
● Inspiring the Audit Quality Champions by
opening the first audit quality champions'
conference, run by the new Head of Audit
Quality, to demonstrate how vital their role
is to the firm.
● Attending Ethics Function meetings to
observe how the wider firm is handling
potential conflicts of interest and
independence challenges and the ways in
which messages on ethics are being delivered.
The reputation of the firm and the profession is
critical to members of the PIC. The PIC attends
all the Audit Management Board meetings.
They observe the Tone at the Top, fully
participate in discussions and challenge
existing processes, thoughts and decisions.
The PIC has established a relationship with the
FRC; a relationship of support and challenge
which will further develop in the months to
come. The PIC was heavily involved in the
firm's response to the BEIS consultation. They
bring a wealth of experience to the firm and
also the ability to canvas a range of views. It
is important to RSM that they are not simply
acting in RSM's interests. PIC contacts and
experience beyond RSM have ensured that
they have been able to understand, amongst
others, mid-tier audit firm thinking and the
perspectives of company Boards/Audit
Committees, the banking industry's thinking
and the views of the Quoted Companies
Alliance. The PIC will remain committed to
canvassing a wide range of views throughout
their work, both externally and internally.
One of the issues which the BEIS consultation is
addressing is the risk of firm failure. The PIC has
access to and are free to interrogate the financial
results of the firm and the principal risks. They
are not confined to RSM UK Audit LLP but have
access to RSM UK Holdings Limited's Chair,
CEO and Chief Financial Officer. Vijay Thakrar
sits on the Holdings Board which allows the PIC
to understand, appreciate and query decisions
made in the wider firm.
The PIC is committed to working with the
management of RSM UK Audit LLP to continually
improve audit quality and develop an audit culture
which fosters quality and attracts and retains the
talent essential to the firm and to the profession.