Corporate Controller & CAO Hot Topics: Audit Committee Focus Areas

The widening purview of audit committees (ACs) has made for packed agendas and more challenges for finance leaders on certain topics. It is necessary for leaders to understand what’s top of mind for the AC to secure time for specific issues, and it often falls to controllers and CAOs to educate their boards on emerging concerns. While some topics like regulation, controls, disclosure, ESG, and talent remain standard fare, new concerns such as artificial intelligence, ERM, and cybersecurity are joining the list.

Finance leaders are working closely with their ACs to address today’s business challenges. How ACs operate and how often they meet can vary by organization, yet finance leaders face similar challenges in directing the focus of their ACs. Education has become a key part of leaders’ interactions with their ACs as they try to inform members on emerging issues. Key topics such as cybersecurity, materiality determinations, and AI are growing priorities for ACs. Amidst these other concerns, finance leaders are also focusing on shifts in the talent landscape; as baby boomers exit the workforce, leaders must actively seek tech savvy professionals with skills beyond accounting and finance. These emerging considerations are being added to the traditional, fiduciary topics that ACs must still oversee, making for extremely busy times for the ACs.

Given how closely KPMG works with many of the world’s leading organizations, we have unique insights into how finance leaders are approaching these topics. Below are four areas that Corporate Controllers and CAOs are focused on as they work with their ACs to address pressing issues.