SOME ASPECTS REGARDING THE RELATION BETWEEN MANAGEMENT, INTERNAL AUDITOR AND EXTERNAL AUDITOR

Businesses and organizations are in constant confrontation with improving their performance in an environment that provides them with all the guarantees. This improvement is increasingly sought through a decentralization of decision making to ensure appropriateness. In these circumstances, the firm's manager will normally ask questions about the effectiveness of the functioning of the organization, exercised by him and by his collaborators. In this context, communication between management and audit committee, and internal auditor and external auditor could be strengthened and formalized. In this process, internal audit, an independent objective assurance and business advisory, intended to add value and lead to business improvement organization. In Romania, the organization of internal audit in the private sector, there are some problems with a full understanding of the necessity and advantages of this function, which is manifested by poor organization or unorganized internal audit function, even where it is absolutely necessary. Another part of internal communication process regarding position of external auditor. Frequent and regular dialogue with this is essential in the wider context of good corporate governance and for cooperation between entity and stakeholders.