What does the group engagement team consist of?

The group engagement team consists of professionals who are directly involved in overseeing and conducting the audit processes for a group of entities, typically within a larger organizational structure. This team is responsible for coordinating the audit efforts, ensuring compliance with regulatory standards, applying consistent audit methodologies, and addressing the complexities that arise from having multiple entities under one auditor's purview.

This is significant because the group engagement team must evaluate the financial statements of both the parent entity and its subsidiaries, understanding the risk factors, the nature of the operations, and how these influence the overall audit strategy. The collaboration among the members of the group engagement team is crucial to achieve a comprehensive understanding of the group as a whole, ensuring that all relevant risks are properly assessed and addressed during the audit process.

The involvement of clients of the audit, partners and independent consultants, or external regulatory bodies does not define the makeup of the group engagement team. While these groups may interact with or be consulted by the group engagement team, they do not represent the internal composition of the team responsible for conducting the audit.