following are among the most significant results attained by the author of the thesis: 1. The function of internal auditing in the Libyan industrial companies may undertake the activities related to the evaluation of the system of internal control in such a way to realize governance in such companies. 2. The function of internal auditing in the Libyan industrial companies may undertake the activities that contribute in evaluating the process of risks management in such a way to realize governance in such companies. 3. The function of internal auditing in the Libyan industrial companies may undertake the activities that lead to the formation of good relationships with the remaining parties of governance with the presence of shortages in the following aspects: A. Presentation of the sufficient and appropriate information to the auditing committee which helps it to accomplish its supervision tasks. B. Assumption by the internal auditing of the responsibility of activating and following up the process of coordination between the remaining parties of governance. 4. The function of internal auditing in the Libyan industrial companies contributes in activating the implementation of governance. On the basis of the previous results, researcher proposes some recommendations, the most significant are: 1. Setting up audit committees in all the Libyan industrial companies for their significant role in governance, organization and protection of internal audit and backing independency thereof, as well as the objectivity of its work. In this concern, it is proposed to promote the role of the control committees present in the Libyan industrial companies in order to accomplish the functions of the internal auditing. 2. Give an opportunity to the internal auditing to assume the responsibility of activating and following up the process of coordination between the parties of governance and this shall be in the light of presence of auditing committees or control committees in the Libyan industrial companies to supervise the internal auditing and follow it up. 3. Develop the skills and abilities of internal auditors to face expansion within the scope of their job. CHAPTER I>