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What role does an internal auditor play in risk management?

They create risk management policies

They audit external financial reports

They assess and improve risk management processes

The role of an internal auditor in risk management primarily involves assessing and improving risk management processes. This encompasses evaluating the effectiveness of the organization's risk management strategies and ensuring that these processes are aligned with the organization's overall objectives. Internal auditors analyze various components of the risk management framework, identify potential areas of improvement, and make recommendations to enhance the organization's ability to manage risks effectively.

By conducting these assessments, internal auditors help organizations understand their risk posture, provide insights into potential vulnerabilities, and ensure that risks are being monitored and mitigated. This process is crucial for maintaining a robust risk management strategy, which can ultimately lead to better decision-making and enhanced organizational performance.

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They enforce compliance regulations

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