Publications
Publications
- June 2009
- HBS Case Collection
The Role of the Audit Committee in Risk Oversight
By: Jay W. Lorsch and Kaitlyn Simpson
Abstract
An audit committee chair considers how he can help his committee become more effective given the increasing regulatory demands on audit committees. He also wrestles with the lack of specificity in audit committee duties and whether his committee should take on additional responsibilities. In particular, he considers the growing concern over risk oversight and wonders what kinds of risks the audit committee should consider and whether they should be the sole repository for risk management. This case includes a historical overview of the beginnings and evolution of audit committees, and the laws and regulations that have affected their role over time.
Keywords
Accounting Audits; Corporate Governance; Governing Rules, Regulations, and Reforms; Governing and Advisory Boards; Laws and Statutes; Risk Management
Citation
Lorsch, Jay W., and Kaitlyn Simpson. "The Role of the Audit Committee in Risk Oversight." Harvard Business School Case 409-016, June 2009.