VP Infrastructure Operations Audit
Rubi Handojo
VP Support Subsdidiary Audit
Purwadi Siswana
AVP Financial Asset Management Audit
Saul Rudy Nikson
AVP Share Service Audit
Joni Pathibang
AVP ICFR Risk Management Audit
Purwoto
Head of Internal Audit
Mohammad Nuhin
AVP Subsidiary Audit
A. Bayu Katon
AVP IT Support Audit
I Ketut Darsumantra
AVP Quality Assurance System Development Audit
Edi Djoko Swasono
AVP Service Delivery Audit
Rahadian Khrisna S
AVP Service Operation Audit
Yanti Iswari
AVP Infrastructure Supply Audit
Imam Santosa
VP Enterprise Management Audit
Purwoto
Telkom’s Internal Audit organizational chart is presented below.
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Internal Audit Charter
Telkom’s Internal Audit unit is equipped with the Internal Audit Charter as a corporate formal document, which
contains a description of the vision, mission, structure, status, duties, responsibilities and authority of the Internal
Unit, including personnel requirements of Internal Auditors. The preparation of Internal Audit Charter is based on
the international standards for professional practice of internal auditing issued by the Institute of Internal
Auditors “IIA” and has been approved by the President Director and Audit Committee based on the Board of
Directors Decision 711 PW000 UTA-002008 regarding Internal Audit Charter of the Company.
Vision, Mission, Duties and Responsibilities of the Internal Audit
Vision As an integral part of the Company, IA has a vision to
be a “Smart Partner” to the Management, Business Unit and Subsidiaries to achieve the objectives of the Company
and to be a driving force in the creation of a disciplined cultureat all levels of the organization through the
implementation of all of lawspolicyregulations proceduresbusiness process.
Mission 1. Providing professional internal audit services and
consultation, objective also independent for management, business unit and subsidiary.
2. Providing assurance of appropriate financial reporting. 3. Guarding internal control implementing actively,
supporting the enhancement of GCG Implementation and evaluating risk management.
The Internal Audit’s vision and mission are implemented through systematic and measurable activities in line with
prevailing standards in each phase of the audit process ranging from the preparation, implementation and
monitoring of follow-up actions. For this purpose, a risk-based audit methodology is used during the
preparation phase of an audit as the primary guideline to determine the auditability of units based on the level
of risk, that is, the higher the risk, the higher is the need for an audit. The risk levels of an audit are based on risks
that have been mapped and defined by the Company as well as the professional assessment by the Internal
Audit itself.
Duties and Responsibilities
To facilitate the risk-based audit paradigm in carrying out its duties and responsibilities, IA has implemented
the Audit Management System “AMS” management tool, an online application to document all of the
implementations of risk based audits via online.
Improvements in IA’s participation are carried out by improving the quality assurance for the companys
operations through audit and non-audit activities. Audits are performed to ensure that potential business risks
are mitigated by effective internal controls. If deficiencies are found in the internal control mechanism of a certain
business process, or when certain risks turned out to be out of control, a substantive test is performed on the
audit object as the next step to find the root cause of the problem.
In addition, as consequence of our dual listing in the Indonesian Stock Exchange IDX and the New York
Stock Exchange NYSE, IA periodically examines and audits the effectiveness and adequacy of internal control
mechanism in terms of financial reporting in line with the Internal Control over Financial Reporting ICOFR
standards. In order to support audit and encourage each unit’s awareness of the importance of internal control,
all relevant business units perform quarterly Control Self Assessment “CSA” over its internal control responsibilities.
Periodically, IA also reviews findings in the CSA to assess their adequacy and make recommendations for
improvements in terms of design and implementation. The next step is to participate in the activities of internal
consulting services. Internal consulting services, among other objectives, focus on the implementation of the
Companys operations classified into infrastructure management of production tools, as well as product
and service support operations, including identification of Group Financial Reporting Risk”GFRR”, preparation
of subsidiaries’ business process and human resource management. Internal consulting activity is more of a
preventative solution to secure that business operations remain in the right direction and within the corridor of
prevailing regulations.
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FINANCIAL AND PERF
ORMANCE HIGHLIGHT
MANA GEMENT
REPOR T
PREF A
GENERAL INF
ORMA TION OF
TELK OM INDONE
SIA
MANA GEMENT’S DISCUSSION
AND ANAL Y
SIS
CORPORA TE GO
VERNANCE
SOCIAL AND ENVIRONMENT
AL
RE SPONSIBILITY
APPENDICE S
As part of a company highly committed to successful GCG, IA has an important role in the whistleblower mechanism which is the domain of the Audit Committee and the Executive Investigative Committee “EIC” of which Head of
IA is also the secretary of EIC. Whistleblower mechanism serves to accommodate any “complaint” filed by employees and forwarded to the management. If the Audit Committee and the EIC consider that the complaint needs further
investigations, IA is to prepare follow-up actions as part of the audit assignment.
Findings from such activities are reported to the President Director with a copy for the Audit Committee and later distributed to the respective auditee for follow-ups and corrective measures.
Further controls are necessary to ensure that an auditee has provided adequate response over the results of the audit and consulting service. Operational follow-ups are conducted by the auditee while being monitored by the
IA. For this purpose, follow-ups are limited to significant business process areas with an agreed time frame of completion.
The independence
As set forth in the existing capital market regulations, namely Regulation No. XI.2.7, Internal Audit is an independent unit to other work units and reports directly to the President Director. The Head of Telkom’s Internal Audit is appointed
and dismissed by the President Director upon the approval of the Board of Commissioners. One of the implementations of the independence of the Internal Audit Unit in Telkom is reports sent to the President Director and the Audit
Committee Member of the Board of Commissioners.
Professional QualificationsCertification
To maintain and enhance the competence of auditors in order to be adequate both in quality and quantity and to be able to act in accordance with the scope of the Internal Audit in guarding the Company’s business development,
the Internal Audit continues to make efforts to: 1. enroll Internal Audit’s auditors in training, seminars and workshops of a technical nature; and
2. enroll Internal Audit’s auditors in continuous learning certified, both locally and internationally.
Currently the Company’s Internal Auditor Unit has nine auditors with national certification of Qualified Internal Auditor QIA and six auditors with international certification, consisting of one Certified Fraud Examiner, two
Certified Information Systems Audit CISA, and one Certified Management Audit CMA.
Currently the number of auditors that already have certification both nationally and internationally are as follows:
Type of Certification Total
Qualified Internal Auditor QIA 8
Certified Fraud Examiner CFE 1
Certified Information System Audit CISA 2
Certified Risk Management Audit CRMA 1
Certified Management Audit CMA 1
In 2014, the Internal Audit has actively enrolled its auditors in preparation for international certification such as certified Information System Auditor “CISA” and Certified Internal Auditor “CIA”.
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Telkom Internal Audit’s Active Involvement in Professional Organization Telkom’s Internal Audit has been actively involved in the activities of the Forum Communication of Internal Control
Unit “FKSPI” Indonesia. This forum was established to be a vehicle to improve the quality of supervision and to establish international standard professional auditors. FKSPI members consist of the Internal Audit Unit of state
enterprises, universities and private companies. FKSPI regularly organizes seminars and workshops to improve the competency of its members.
There are nine personal of Telkom’s Internal Audit who are members of the Institute of Internal Auditors IIA. These memberships are as part of the efforts by Telkom’s Internal Audit to be continuously updated with scientific
developments in the field of audit and assurance in the world. Audit and Consultation Implementation in 2014
In accordance with the Internal Audit Annual Work Plan, the Internal Audit Unit has conducted 47 object auditing and consulting for 2014.
Sub Unit Q-I
Q-II Q-III
Q-IV Year-2014
Enterprise Management Audit 4
6 7
6 23
Infrastructure Operation Audit 3
3 3
3 12
Support Subsidiary Audit 2
4 3
3 12
Total IA 9
13 12
12 47
Up to December 31, 2014, the Internal Audit has completed 47 audits consulting and has produced 312 recommendations as follow:
Sub Unit Total
Recommendation Follow-Up Status
Closed Open
Enterprise Management Audit 118
96 22
Infrastructure Operation Audit 218
193 25
Support Subsidiary Audit 88
68 20
Total IA 424
357 67
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FINANCIAL AND PERF
ORMANCE HIGHLIGHT
MANA GEMENT
REPOR T
PREF A
GENERAL INF
ORMA TION OF
TELK OM INDONE
SIA
MANA GEMENT’S DISCUSSION
AND ANAL Y
SIS
CORPORA TE GO
VERNANCE
SOCIAL AND ENVIRONMENT
AL
RE SPONSIBILITY
APPENDICE S
Internal Audit Training The details of the training which Internal Audit participated in 2014 are as follow:
Programmes Location and Date
Number of Participants
Number of Days
Advance Certified Behavioral Consultant CBC National 25-26 March
5 2
Guidance and Exam of CFE Certification National 10-14 February
2 5
Bootcamp Financial Risk Management FRM Certification National 24-25 and
28-30 April 2
5 Bootcamp Financial Risk Management FRM Certification -
PART 2 National 13-14 May
2 2
CBC Advanced National 21-23 April
1 3
Company Strategic Planning National 24-26 Sep
2 3
COSO 2013 Implementing the Framework International 7-8 Oct
1 2
Digital Forensic National 25 June
1 1
Exam CFE National 24-25 Sep
1 2
Finnon 1 - Understanding Finalcial Statement National 1-3 July
1 3
Lead Auditor BCMS ISO 22301 and PAS 99 Batch-1 National 16-20 Juny
2 5
Lead Auditor Course LAC ISO 20000 National 15-19 Dec
1 5
Training Workshop Evaluasi Organisasi National 19-21 May
3 3
ISO 22301 Workshop National 23-27 June
1 5
ISO 27001 Workshop National 21-25 April
3 5
ISO 27001 ISO 22301 Workshop National 14-26 April
2 10
Psycologic and Communication Audit Training National 11- 13 June
7 3
Seminar of Business Valuation Conference National 30 Sep - 1 Oct
4 2
Seminar and Musyawarah Kerja National FKSPI 2014 National 17-19 Sep
5 3
Seminar National of Internal Audit 2014 National 15-17 April
3 3
ISO BCMS Certification National 16-20 Juny
1 5
QIA Level of Manager Certification National 1-11 August
5 12
Sharing Session Psycology and Communicatio Audit National 09 Juny
12 1
Spirituality in Work for Managers Islam Batch-35 National 17-21 Nov
1 5
Spriritual Capital Management National 11-14 March
1 4
Suspim International Thunder-Bird, Arizone International 8-25 May
1 18
Technic and Methods of Supply National 22-23 May
1 2
The European UK Anti Corruption Compliance Congress International 5-6 Juny
1 2
Workshop Negotiation Skill Simulation National 19-21 March
1 3
Workshop Goods and Services Supply National 11-12 Sep
2 2
Workshop Drafting UBIS Profile National 12-14 May
1 3
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