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 341
- Downloads 12
Improve SQUID proxy’s performance using new cache replacement architecture
The usage of internet has been drastically increased in few years. This increase demands larger and larger bandwidth to work in easy and fast manner. But with limited bandwidth usage we can provide faster internet work...
VIEWS ABOUT HIRING A WEDDING PLANNER FOR A EUPHORIC EVENT OF LIFE – ‘WEDDING’ (A CASE STUDY OF AHMEDABAD CITY)
Slowly and gradually the concept of hiring wedding planers has entered into Indian mindsets. New generation; having lots of activities to do at a same time, do not having much energy, is mostly found time scarce and ea...
slugSHORTEST PATH ALGORITHMS: A COMPARATIVE ANALYSIS
Now a days routing is the vital problem while forwarding information from one node to another node in communication networks. Routing in today’s network is accomplished by shortest path routing algorithm. There are dif...
slugCredit Appraisal System in Allahabad Bank
Finance is required at every stage of business either for meeting day to operations or for starting up a new project. One of the important sources of raising finance is loans from banks. Commercial lending is one of th...
slugConstruction of Mixed Sampling Plans Indexed Through Six Sigma Quality Levels with Chain Sampling Plan-(0,1) as Attribute Plan
Six Sigma is a concept, a process, a measurement, a tool, a quality philosophy, a culture and a management strategy for the improvement in the system of an organization, in order to reduce wastages and increase the pro...