Experian 2016 Annual Report Download - page 79

Committee’s key roles
and responsibilities
• Monitoring the integrity of the
financial statements and reviewing
significant financial reporting
judgments contained in them.
• Reviewing internal financial controls
and the Group’s internal control and
risk management systems.
• Reviewing the effectiveness of the
audit process and the independence
and objectivity of the external auditor.
• Monitoring and reviewing the
effectiveness of the internal
audit function.
• Developing and implementing policy
on engaging the external auditor to
supply non-audit services, taking
into account relevant guidance.
• Approving the external auditor’s
remuneration and terms of
engagement, and making
recommendations about their
re-appointment.
Committee activities
The Committee’s key activities during the
year ended 31 March 2016 included:
• Reviewing the preliminary and half-
year results announcements and the
Annual Report; year-end accounting
papers; papers supporting the
preparation of financial statements
on a going concern basis; and papers
supporting the making of a viability
statement recommendation to the
Board. For more information on
the matters considered in relation
to the going concern assessment,
please see note 2 to the Group
financial statements.
• Discussing and concluding on the
2016 audit plan with the external
auditor. The plan included the
external auditor’s response to
developments in the business during
the year, developments in the audit
process, the risk assessment of the
Group and the scope and coverage
of the audit.
• Considering updates from the
external auditor on the audit process,
namely details of the audit’s status,
key matters arising from the audit
and assessments of management’s
judgments on them, reviewing the
content of the independence letter
and the management representation
letter, as well as engagement terms.
• Receiving and considering
updates from management on the
requirements regarding the tender
of the external audit. Based on
those updates, the Committee ran
an audit tender process, through a
working group led by the Committee
Chairman, to conclusion in
September 2015, and the incoming
auditor (KPMG) updated the
Committee on transition planning.
• Received and reviewed reports from
the Group’s General Counsel and
external advisers, and discussed in
detail the client-related data security
incident that occurred in September
2015. The review and deliberations
were comprehensive, and the matter
has continued to be a standing
Committee agenda item to ensure
that appropriate follow-up actions
are taken.
• Reviewing and discussing an update
from the Head of Group Internal
Audit at each Committee meeting,
including progress on any overdue
audit actions. The Committee
received details of the audit strategy,
reviewed and approved the annual
internal audit plan and, in September
2015, reviewed the conclusions of
an internal evaluation of internal
audit (comprising a number of
inputs, including a survey, quality
assurance assessments and key
internal metrics).
• Reviewing a variety of reports on
risk, including updates on risk
management, material litigation,
information security and business
continuity, compliance and
social media.
• Reviewing fraud and confidential
helpline updates, in September 2015
and March 2016.
• Reviewing the effectiveness of the
Group’s system of risk management
and internal control, including
financial, operational, compliance
and risk management.
• Debating and approving the Group’s
treasury policy, tax policy, an update
to the Group’s non-audit fee policy
and updated terms of reference for
the Group’s compliance function.
• Approving the Committee’s annual
meeting schedule and reviewing the
Committee’s performance and terms
of reference.
• Reviewing the Annual Report to
ensure it was fair, balanced and
understandable and provided
information necessary to assess
position and performance, business
model and strategy.
p118
77Governance •Corporate governance report