S-Oil named top award winner for exemplary accounting practice

S-Oil has been named to receive the Grand Prize at the second Korea Accounting Awards organized by Maeil Business Newspaper. A panel of judges Monday announced they selected four award winners along with S-Oil among some 10 candidates recommended by accounting firms.

S-Oil, the Korean unit of state-run Saudi Aramco, was chosen for the top honor in recognition of its contribution to transparent accounting practice with an independent internal audit committee and an early warning system in place. Based on its risk-based auditing, S-Oil evaluates factors that may affect the achievement of management goals each year and reflects them in its audit plan.

In particular, the company was highly evaluated for its digitized documentation for auditing, removing a burden of physical document preparation and submission by audited entities. Judges also gave high marks to the company’s system to monitor signs of abnormal transactions based on its online enterprise risk management and early warning system to minimize uncertainty in auditing work.

The Excellence Award winners are: KB Financial Group in recognition of its advanced accounting and internal control systems, KOGAS for a preemptive measure to increase auditing time and the operation of an exemplary internal accounting system, and Yuhan-Kimberly for its sincere attitude towards auditing as an unlisted company.

KB Financial Group selects and manages 5,500 key control items for auditing under the leadership of chairman Yoon Jong-gyu KB Financial Group, who was a certified public accountant. KOGAS increased auditing resources by doubling auditing time last year, and stationing in-house accounting team members inside the public company. Yuhan-Kimberly, the joint venture between Korea’s Yuhan and U.S. Kimberly-Clark, has applied U.S. accounting reform measures to business management since early 2000s, setting an example in the accounting management system in Korea.

An award ceremony of the second Korea Accounting Awards will take place at Lotte Hotel in downtown Seoul next Tuesday.

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