Evaluation of Effectiveness of Internal Auditing Service in Southern Public Regional Bureaus, Ethiopia
Journal Title: International Journal of Management, IT and Engineering - Year 2017, Vol 7, Issue 9
Abstract
An efficient and effective practice of internal auditing system is as a whole becomes vehicle for efficient and effective performance of the organization.The internal auditor is often considered one of the core pillars of corporate governance. Larger and more complex systems demand greater competency and professionalism from internal auditing, and scarce resources must be deployed more efficiently to minimize and manage risk. In line with this, the main purpose of the paper is evaluation of effectiveness of internal auditing system in government organizations in Ethiopia, especially in South Regional Bureaus. For achieving this objective, both primary and secondary data were drawn using questionnaires and interview and analyzed in the most appropriate techniques such as; frequency tables, percentages and chi-squared test. The study revealed that there was structural problem (reporting relationship) that impair the auditor independency and objectivity; there was not audit committee that leads to inefficient and ineffective internal audit work; therewas inadequate technical staff proficiency and high staff turnover due to absence of continuous professional development programs for internal auditors and lack of sufficient salary that can retain exiting staffs and attract new competent professionals. Furthermore, auditee departments and the managements did not see that the audit service can add value to their activity and to the organizationand theyhave not adequately supported the department. It was also evaluated that the scope of internal audit services is limited only tofinancial statement audit and performance audit is overlooked. Therefore, there should be extending the scope of internal audit services by including performance audit with appropriate risk analysis; increase technical proficiency of the internal audit staff and minimize staff turnover; creating proper relationship with key stakeholders by creating awareness on internal as internal audit service in the organizations can add value to the overall success of the organization; establishment of audit committee; amending the reporting structure of internal audit department that can allow adequate independence to internal auditors; put into practice internal and external audit quality assurance and improvement programs, and alleviating other impeding factors related to audit execution in the organizations under study.
Authors and Affiliations
Abdu Mohammed Assfaw
Keywords
Related Articles
- EP ID EP18863
- DOI -
- Views 342
- Downloads 12
slugE-Commerce online payment security issues discussion and analysis
Nowadays electronic commerce services have risen to become more ... The handling of the payment may involve many ways, such as online banking. Computer network technology is developing fairly rapidly. With the Internet...
Employee Productivity Versus Actual Hours Spent at Work Place - An HR Issue
Advanced developments in technology have enhanced employees‘ abilities to multitask at work. Yet it has also become a major cause of concern due to the fact that employee productivity has become questionable as a resu...
slugSTUDY AND COMPARISON OF VARIOUS IMAGE EDGEDETECTIONTECHNIQUES
Edge detection is one of the most commonly used operations in image analysis, andthere are probably more algorithms in the literature for enhancing and detecting edgesthan any other single subject. The reason for this...
Cooperative clustering based Secure Leader Election Model For Intrusion Detection in MANET
In this paper, we learn the leader election in the occurrence of selfish nodes for intrusion detection in mobile ad hoc networks. Leader election is the key to cluster strength and network performance. We propose a par...
Customer Experience Management in Banking Sector
Globalization and the advent of Internet technology has radically changed the way businesses are conducted across the globe. Earlier companies were talking about how to deliver a differentiated product offering and c...