AB3C s Tasks 1

2. AB3C’s Tasks (1) To approve KHT auditors and KHT audit firms (Auditing Act, Sections 30 and 33) To arrange KHT and HTM auditor examinations (Auditing Act, Section 32) To organise qualifying examinations (Auditing Act, Sections 30(5) and 31(5)) To oversee auditor operations and ascertain that qualifications required for approval are maintained (Auditing Act, Section 40(1)) To oversee quality assurance in auditing and take quality assurance related decisions (Auditing Act, Section 40(2)) To participate in international cooperative oversight activities (Auditing Act, Section 47)

3. AB3C’s Tasks (2) To handle HTM withdrawal of approval motions made by local Chamber of Commerce Auditing Committees (Auditing Act, Section 50(2)) To appoint chairpersons and vice chairpersons for local Chamber of Commerce Auditing Committees (Auditing Act, Section 43(3)) To direct and develop approval and oversight related activities (Auditing Act, Section 39(2)) To maintain a register of auditors (Auditing Act, Section 37) To handle reports relating to auditor resignation and dismissal (Auditing Act, Section 10) To issue statements with regard to independence to the State Provincial Offices (Auditing Act, Section 9(2))

4. Focus points for 2011 AB3C shall Actively participate in international cooperative oversight activities Develop quality assurance related oversight activities Effectivate and improve communication towards stakeholders Participate in legislation development work

5. International Collaboration in 2011 Collaboration between Nordic countries AB3C’s representatives will participate in the Nordic meeting in Oslo Main topics: Audit standards, quality assurance, other oversight activities applicable to audit industry operations, promoting auditors’ professional competence

6. International Collaboration in 2011 AB3C is represented on EGAOB 2-3 meetings per year AB3C will participate in work related to practical cooperative oversight activities, application of ISA standards in oversight activities and also join the work groups ”Intra EU Cooperation”, ”Third countries” and ”Inspections” Main topics: Green Paper matters such as quality of auditing, ISA standards, cooperation with third-party country oversight bodies, EGAOB’s structural development, audit market follow-up

7. International Collaboration in 2011 AB3C is an IFIAR member Meetings in April and September AB3C will participate in the Inspection Workshop in February Main topics: Quality in auditing, on-going dialogue with international audit chains and other stakeholders, follow-up on audit market operations, inspection oversight activities

8. Audit Collaboration with PCAOB in 2011 Preparation for joint auditing Exchange of information regarding regulations and oversight Planning of cooperative oversight activities Agreement and implementation of joint auditing, as prerequisites have been met Draw up a ”Statement of Protocol” or ”MOU” Agreement to contain work arrangements (scope, extent, inspection program, resourcing, documentation, reporting and other modes of procedure)

9. Quality Control 1/4 1. Auditors of organisations relevant in terms of public interest Quality assurance process development in KHT Audit Firms Utilise experience gained from international cooperative oversight activities Continued collaboration with the Financial Supervisory Authority; focus on systematisation Develop reporting and on-going dialogue Increase information sharing Develop risk-based selection of assignments System introduction and work methods improvement

10. 2. Auditors of other organisations Quality assurance process development Quality control inspectors - training and follow-up - Appointment criteria and number of inspectors Result analysis automated handling of forms system introduction detailed definition of the Quality Section’s role detailed definition of applicable quality criteria Increased information sharing Quality Control 2/4 Keinoja tavoitteiden saavuttamiseksi: Laaduntarkastajien joukon tiivistäminen Koulutus ja tuloksien läpinäkyvyys Prosessin kehittäminen esim. esitietojen lisääminen, riskiperusteisen valinnan ja lomakkeiden kehittäminen Laaduntarkastusten tulosten tarkempi analysointiKeinoja tavoitteiden saavuttamiseksi: Laaduntarkastajien joukon tiivistäminen Koulutus ja tuloksien läpinäkyvyys Prosessin kehittäminen esim. esitietojen lisääminen, riskiperusteisen valinnan ja lomakkeiden kehittäminen Laaduntarkastusten tulosten tarkempi analysointi

11. 3. Developing on-going oversight activities Record data content renewal Auditors Audit firms Follow up on professional competence On-going training requirements Further developing requests to obtain preliminary material for quality inspections Quality Control 3/4

12. 4. Distribution of resources Auditor authorisation Examination work group tasks Introduce experts to spur the work of persons in charge of preparing exam questions Investigation matters - Participate in investigation matters along with a legal professional - Utilise practical audit work experience in preparation phases Quality control inspections - Involve a legal professional in the quality control process Quality Control 4/4 Laadunvarmistusryhmän sisäisen työnjaon täsmentäminen ja erityisosaamisalueiden kehittäminen Laadunvarmistusryhmän sisäisen työnjaon täsmentäminen ja erityisosaamisalueiden kehittäminen

13. Communications Improve AB3C’s website on the Internet (new technology, facilitate website usage and increase information content) Increase material in English language Improve speed and timeliness in communication Active interaction with media and stakeholders (means include topical issues events, media and stakeholder meetings, news releases)

14. Investigation matters in 2011 Focus on extensive investigation matters Active follow-up on audit operations; reactions as needed Interaction with quality control oversight functions; quality control matters may become investigation matters Improve collaboration with public authorities Review need for additional resources

15. Legislation and development Participate in audit regulation development work in the work group of the Ministry of Employment and the Economy Participate in discussions on the content of the EU’s Green Paper on a national and EU level Arrange an AB3C Planning Meeting in October. The meeting will discuss topical strategic AB3C task related questions, analyse development outlooks and plan activities for the coming four years.

16. KHT and HTM Examinations in 2011 Examinations to be arranged in August-September Improve examination related processes (e.g. earlier enrolment) Improve examination related communication Increase use of secretariat resources in preparation and evaluation of examination assignments

17. Administration Improve all work processes to add efficiency and simplicity Improve electronic services, e.g. increase e-mail use Improve electronic auditor register functionality; participate in the system upgrade to be carried out by the Central Chamber of Commerce Develop work methods to improve data security

18. AB3C Meeting Schedule in 2011 AB3C 1/2011           Tuesday February 1, 2011 AB3C 2/2011           Tuesday March 15, 2011 AB3C 3/2011           Tuesday April 26, 2011 AB3C 4/2011           Thursday May 26, 2011 AB3C 5/2011           Tuesday June 14, 2011 AB3C 6/2011           Tuesday August 23, 2011 AB3C 7/2011           Tuesday September 20, 2011 AB3C 8/2011           Tuesday October 18, 2011 (1 day planning meeting) AB3C 9/2011           Tuesday November 15, 2011 AB3C 10/2011          Tuesday November 29, 2011 AB3C 11/2011 Tuesday December 20, 2011