The Role of Risk Management in Auditing E-Business

Abstract

In light of the current pandemic of the COVID-19, the social distancing leads many businesses to rethink the physical traditional business to turn it into an “e-business”. Besides that, for a corporation to perform business beyond its boundaries, e-business has become the main driver, implemented by an organization, to achieve this goal efficiently and effectively with relatively low costs. The new technological framework has changed the way companies perform their businesses. Hence, e-business has become the most important of a new era of business forms. Unsurprisingly, e-business stumbles in several threats (risks) which could hinder its functionality. These can be divided into twofold as internal and external risks. The risk management gained high attention on recent years due to the change in the trades’ evolution and the reoccurrence of global events that interrupted the global economy i.e. the collapses of the credit market and the housing market in the USA in 2008. Therefore, Risk management is vital to the development of e-business. Hence, risk management is deemed a vital technique for Audit for e-business.