Trade Publication Article

Auditing Cultural Diversity

Ricaud, John S

2006

Overview

The infinite combinations of physical characteristics and cultural teachings and experiences result in vast differences among ethnic groups and individuals. Understanding and embracing cultural differences among employees and customers directly translates into economic prosperity and survival in a global economy. For this reason, it is important that internal auditors understand the fundamental aspects of culture, the significance of culture to the immediate and long-term viability of the organization, how to manage cultural risk exposures, and how to introduce cultural auditing as a routine practice. The language barrier among cultures can be a major obstacle. An array of behaviors that affect consumer purchase decisions as well as employee performance are based on religious faith. Wardrobe tastes and preferences vary considerably from culture to culture. Auditors should also examine their organization's approach to gender equality. Internal auditors have a professional obligation to assess risk exposure and align audit resources to address areas in which value can be added.

• Publisher: Institute of Internal Auditors, Incorporated
• Subject: Cultural differences / Employees / Employment / Global economy / Internal auditors / Multiculturalism & pluralism / Professional responsibilities / Risk exposure / Workplace diversity