Internal Auditing Activities of the Major Lodging Chains

Abstract

This article presents the findings of a study done on the internal auditing activities of large lodging chains. It was intended to provide answers to the following questions. Are the internal audit activities of these firms highly centralized or decentralized? How many individuals are involved in the internal audit activity and how much is spent on it annually? Has the internal audit department been organized according to the standards set by the Institute of Internal Auditors? Have external audit fees been reduced as a result of internal audit practices? What percentage of time is being spent checking compliance with internal controls and laws as opposed to examining corporate efficiency and effectiveness? Information to these and many other questions is provided by this study.