Menlo Park, Calif. (March 10, 2003) -- A recent survey of privately held businesses showed 58 percent of chief financial officers are implementing changes to their own accounting and internal audit functions in response to those being placed on public companies.

Media, Pa.-based International Communications Research conducted the survey for consulting firm Robert Half Management. It included responses from 1,400 CFOs representing a stratified, random sample of private companies in the U.S. with more than 20 employees.

CFOs were asked, "In light of new corporate governance standards, what steps has your company taken or does it plan to take to ensure greater control of accounting processes?" 

Among the 58 percent who cited a specific action:

  • 44 percent will review or change current accounting procedures.
  • 36 percent will create or expand internal audit function.
  • 23 percent will hire an independent firm for consulting work.
  • 8 percent plan to restructure executive compensation plans.
  • 2 percent are taking some other step.

Of the remaining CFOs surveyed, 37 percent indicated they are not taking any of the above steps, and 5 percent do not know what steps, if any, they would take.-- Electronic Accountant Newswire staff

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