An effective governance process requires that risk is considered in strategic decision-making, ensuring that all significant risks are identified, assessed, and managed appropriately. This integration of risk management into the strategic planning process helps align risk appetite and strategy, improving the overall governance and risk management framework of the organization.
References: Institute of Internal Auditors (IIA) - International Professional Practices Framework (IPPF)

By notifying the chief audit executive of her candidacy for a position within the accounts payable department, the auditor upheld the principle of Objectivity. This principle requires auditors to disclose any potential conflicts of interest that could influence their independence and objectivity during the audit process.
The Institute of Internal Auditors (IIA) - Code of Ethics.

Demonstrating due professional care involves ensuring that the internal audit activity follows established guidelines and standards for conducting audit engagements. By establishing internal audit manuals, an audit lead provides a structured approach and standardized procedures for the internal audit activity, which helps in maintaining consistency, quality, and adherence to professional standards. This practice exemplifies the application of due professional care by promoting thorough and well-documented audit processes.
The IIA Standards: Standard 1220 - Due Professional Care: "Internal auditors must apply the care and skill expected of a reasonably prudent and competent internal auditor. Due professional care does not imply infallibility." IIA Practice Guide: "Quality Assurance and Improvement Program": Highlights the importance of internal audit manuals and procedures in maintaining due professional care.

By recommending revisions to the internal audit charter that include requirements regarding the hiring and compensation of the chief audit executive and the approval of the internal audit budget, the board is most likely defining the functional and administrative responsibilities of the internal audit activity. These aspects pertain to the organizational structure and resource management within the internal audit function, which are fundamental to its operation and effectiveness.
IIA guidance on internal audit charters and governance.

According to the IIA's International Standards for the Professional Practice of Internal Auditing (Standards)
2420.A1, it is stated that the internal auditor must disclose all material information obtained by the date of the final engagement communication, which could impact the engagement conclusion or decision-making process. This ensures that all relevant facts are communicated to stakeholders appropriately.
International Standards for the Professional Practice of Internal Auditing (Standards) 2420.A1