Proactive Internal Audit Strategy and Firm Performance: Empirical Evidence from Thai-Listed Firms

Over the past few decades, despite the fact that there has been an attempt to improve internal audit quality, frauds and corruption still occur . Moreover, black swan events bring about financial crises, which can shake the foundations of the global economy . This suggests ineffective internal audit functions at an organizational level, which lack integrating, building, and reconfiguring strategies . In particular, proactive strategies are required to adapt to ever - changing economic environments . Therefore, this research aims to investigate the effect of proactive internal audit strategies ( PIAS ) on firm performance . This study indicates that PIAS : internal audit system integration, participative internal audit, comprehensive business risk assessment, and advanced internal audit technology application have a significant effect on its consequences; except outsourcing internal audit utilization . Additionally, fraud prevention competency, superior operational excellence, transparent business practice, stakeholder credibility have a strongly positive effect on stakeholder credibility and firm performance . Moreover, this study also demonstrates that stakeholder credibility has a significant positive impact on firm performance .