scholarly journals The role and tasks of the internal audit and audit committee as bodies supporting effective corporate governance in insurance sector institutions in Poland

2012 ◽  
Vol 3 (4) ◽  
pp. 23-39 ◽  
Author(s):  
Elżbieta Izabela Szczepankiewicz
Keyword(s):  
Control Systems ◽  
Internal Control ◽  
Audit Committee ◽  
Economic Recession ◽  
Internal Audit ◽  
Financial Supervision ◽  
Insurance Sector ◽  
Internal Control System ◽  
The Impact ◽  
Effective Supervision

Faced with the risk of consecutive waves of financial crisis and economic recession, government committees, financial supervision authorities and financial institutions themselves – both in Poland and worldwide – have launched a number of measures to make the supervision of insurance sector institutions more effective, particularly in aspects related to efficient risk management and internal control. The article describes the impact of the amendment of laws and other regulations on the development of the present internal control systems in insurance sector institutions. It draws attention to the need for a new structure of the internal control system, and the role and purpose of the internal audit and the audit committee as the bodies supporting effective supervision in insurance undertakings and reinsurance undertakings.

scholarly journals KEEFEKTIFAN AUDIT INTERNAL PEMERINTAH DAERAH

2017 ◽  
Vol 20 (1) ◽  
pp. 33
Author(s):  
Hadi Mahmudah ◽  
Bambang Riyanto LS
Keyword(s):  
Control System ◽  
Local Government ◽  
Control Systems ◽  
Internal Control ◽  
Positive Impact ◽  
Internal Audit ◽  
System Management ◽  
Management Support ◽  
Internal Control System ◽  
Audit Effectiveness

Penelitian ini menguji efektifitas sistem pengendalian intern, dukungan manajemen dan audit professionalism terhadap keefektifan audit internal. Sampel dalam penelitian ini adalah 39 Inspektorat Daerah dari enam Provinsi. Penelitian ini menggunakan regresi berganda untuk menganalisis data. Hasil penelitian menunjukkan bahwa sistem pengendalian intern dan dukungan manajemen berpengaruh secara positif terhadap keefektifan audit internal. Penelitian ini gagal memberikan bukti empiris audit professionalism berpengaruh terhadap keefektifan1 audit internal. Penelitian ini memperkaya penelitian yang sudah ada terkait keefektifan audit internal dan penekanan pentingnya sistem pengendalian intern di pemerintah daerah.This study examined the effectiveness of internal control system, management support, and audit professionalism on internal audit effectiveness of local government. The sample consists of 39 regional inspectorates of six provinces in Indonesia. By using multiple regressions, this study found that internal control system and management support has positive impact on the effectiveness of the internal audit. However, there is no support for the audit professionalism on internal audit effectiveness. This study enriches existing research related to the effectiveness of the internal audit and emphasis the importance of internal control systems in local government.

The Impact of the Standards Implementation of Internal Audit Attributes on the Internal Control System Effectiveness: A Field Study of Banks in Yemen

2021 ◽  
Vol 26 (4) ◽  
pp. 111-132
Author(s):  
Mohammed Ali M. Al-Rubaidi ◽  
Abdulelah Ahmed Khobah
Keyword(s):  
Control System ◽  
Internal Control ◽  
Positive Impact ◽  
Internal Audit ◽  
International Standards ◽  
Audit Committees ◽  
Continuous Training ◽  
Internal Control System ◽  
Audit Activity ◽  
The Impact

This study aimed to investigate the impact of the implementation of internal audit characteristics on the effectiveness of the internal control system in banks in Yemen. To achieve the objective of this study, a questionnaire was designed as a tool for collecting the data from the study community which consisted of (18) banks in Yemen, (14) of which, in Sana'a city, were taken as a sample. The sample consisted of 190 employees selected from the internal auditors, internal audit committees and finance managers. The SPSS was used to analyze 155 questionnaires that were valid for analysis. The results of the study revealed that there is a statistically significant positive impact on the implementation of all standards of internal audit characteristics on the effectiveness of the internal control system. In the light of the findings, the study recommends that the Yemeni banks should adopt procedures to enhance the effectiveness of the internal control system, including providing sufficient authority for the internal audit activity The team of internal audit should have absolute independence and continuous training in line with international standards and developments; in addition, conducting a periodic and continuous evaluation of the internal audit activity is recommended to enhance the effectiveness of the internal control system.

scholarly journals The Effect of Corporate Governance in Palestine on the Efficiency of Internal Audit: Empirical Evidence

2016 ◽  
Vol 8 (5) ◽  
pp. 124 ◽  
Author(s):  
Suhaib Tawfiq Jarrar
Keyword(s):  
Corporate Governance ◽  
Internal Control ◽  
Audit Committee ◽  
Audit Quality ◽  
Internal Audit ◽  
Public Companies ◽  
Internal Auditor ◽  
The Right ◽  
The Impact

This paper comes to examine the impact of corporate governance in Palestine on the efficiency of internal audit from the reality of the listed corporations in the Palestine Exchange; [PEX]. The population of this paper consists of all the 25 listed Palestinian companies in the Palestine Exchange that have internal auditor. It also includes another 5 companies that rely on the internal audit by external companies. Hence, the number of the reviewed companies by this study is 30 companies (Palestine Exchange Market). Thereupon, 30 questionaires were distributed and retrived. However, this manuscript states a summary of the most important results. These results are explained as is shown in the following: (1) the findings of the study state that there is an effect of applying the variables of corporate governance altogether on the quality of the internal audit of the listed public companies in the Palestine Exchange. These rules are (disclosure and transparency, accountability, responsibility, justice, and independency). (2) The results of the study indicate that there is a significant effect of applying the corporate governance variables individually on the quality of the internal audit of the listed public companies in the Palestine Exchange. Thus, the effect of these variables appears contrasted respectively as the following: disclosure and transparency, justice and accountability, independency and responsibility. (3) The corporate governance represents combining the right practices and procedures which operate within the standards and rules that governed by the obligatory standards. These standards aim at ensuring that there aren’t any contradictions between the strategic goals of the company and the fuctional procedures of the administration in achieving these goals. (4) The internal audit adds value to the company through the functions that enhance its performance within corporate governance. This includes providing information to all levels of the management, evaluating the system of the internal control and the risk management, in addition to sticking the company with the principles of corporate governance. The findings of the study come up with the following recommendations: (1) the study assures the importance of applying the corporate governance principles because of their clear effect on the internal audit quality. It also recommends working efficiently on the professional development of the auditors and improving their performance through training programs, as well, encouraging them to keep up with the latest developments in the field of the auditing and other related fields. (2) It strongly recommends working on enhancing and activating the role of the board of directors and the audit committee; as well as granting them the independency. Hence, they will be able to carry out the tasks assigned to them. Consequently, they will avoid the effects that the company may be exposed to as a result of the internal weakness of the practical aspects of the principles of corporate governance; in addition to the negative impacts of this issue on the quality of the internal audit.

scholarly journals The Effect of Internal Control Systems on Financial Performance in the Kassena Nankana Municipality, Upper East Region

2019 ◽  
pp. 1-13
Author(s):  
Benard Nicodemos Ayamga ◽  
Regina Wompakeah Bagina
Keyword(s):  
Control System ◽  
Financial Performance ◽  
Control Systems ◽  
Internal Control ◽  
Audit Committee ◽  
Cross Sectional ◽  
East Region ◽  
Internal Control System ◽  
Upper East Region ◽  
Municipal Assembly

The study aims at determining the effect of internal control systems on the financial performance of Kassena Nankana East Municipal Assembly, in the Upper East Region of Ghana. The study was cross sectional and adopted a case study approach. The data for the study was completely primary and was gathered through face- to -face interaction with respondents (the staff of the Kassena Nankana East Municipal Assembly). A purposive sampling technique was use to select sixty (60) respondents for the study, finally the data was analysed using central tendency, frequencies and percentages and the information represented with tables, charts and graphs. The findings of the study showed that, there is a strong relationship between internal control system and organizational financial performance of the Kassena Nankana East Municipal Assembly. It was concluded that organizations that had invested on effective internal control systems had more improved financial performance as compared to those organizations that had a weak internal control system. Base on the findings the study recommends that, the governing body, possibly supported by the audit committee, should ensure that the internal control system is periodically monitored and evaluated.

scholarly journals The Role of Internal Control in Raising Employee Productivity in Jordanian Bank

2019 ◽  
Vol 4 (4) ◽  
Author(s):  
Zead M. Alhawamdeh ◽  
Mahmoud M. Alhawamdeh
Keyword(s):  
Control System ◽  
Control Systems ◽  
Employee Engagement ◽  
Internal Control ◽  
Banking Sector ◽  
Employee Performance ◽  
Employee Productivity ◽  
Integrated Framework ◽  
Internal Control System ◽  
The Impact

Internal control helps organizations achieve their objectives and maintain and improve their performance, and the performance of their employees. The Committee of Sponsoring Organizations of the Tread Way Commission issued an Internal Control — Integrated Framework, to help organizations in designing, implementing, and conducting internal control and assessing their internal control systems’ effectiveness, this Integrated Framework, included the five factors of control system, which are Control Environment, Risk Assessment, Control Activities, Information and Communication, and Monitoring Activities. The research examines the relationship between internal control system of an organization and employee engagement, and the effect that such has on the performance of the employee in the organization, and job satisfaction. This research primarily aims at finding out the impact of internal control system on employee performance in Jordanian companies, especially those in the Jordanian banking sector. Internal control systems will influence employees’ performance in two ways, through having an effective internal control system, or through not having an effective internal control system. The research therefore tends to evaluate the extent of adherence to internal control System in Jordanian banks, its impact on the performance of employees, and finally the recommendations of the researcher.

(The relationship between the level of actual application of corporate governance principles and the efficiency of internal control systems)

2021 ◽  
Vol 26 ◽  
pp. 667-708
Keyword(s):  
Corporate Governance ◽  
Private Sector ◽  
Control Systems ◽  
Internal Control ◽  
Internal Audit ◽  
Actual Application ◽  
Efficiency And Effectiveness ◽  
Rules And Principles ◽  
The Impact ◽  
The Relationship

Today, corporate governance is one of the concepts that have increased in importance and need in various sectors of the business because of its role and a significant impact in the process of corporate governance and the resulting protection of shareholders' rights and other parties that have interests with the company, so the importance of internal audit in all its administrative and technical aspects as one of the tools Which contribute to the application of the principles and rules of governance, and to be able to accomplish oversight functions and auditing in a manner that achieves the objectives envisaged by the commitment to the rules and principles of disclosure and proper disclosure of decisions and policies and the extent of adherence to the rules and standards of governance and presentation of information This research aims to measure and demonstrate the impact of the relationship between the actual application of the principles of corporate governance and the efficiency and effectiveness of internal audit systems in the private sector companies. The private sector operating in Iraq were selected three banks from this sector in the province of Maysan to be a sample of research and prepared a questionnaire to collect data and analyzed statistically The most important results that resulted from this study is that there is an actual application of the principles of governance in a relatively The Corporate Governance Code increases the efficiency and effectiveness of the internal audit systems in the companies. Key words:- corporate governance , internal control systems

scholarly journals Система внутреннего аудита и контроля как элемент обеспечения экономической безопасности предприятия

2020 ◽  
pp. 55-64
Author(s):  
Светлана Ракутько ◽  
Елена Селезнева ◽  
Валерия Хафизова ◽  
Валерия Страхова
Keyword(s):  
Control Systems ◽  
Internal Control ◽  
Financial Stability ◽  
Internal Audit ◽  
Economic Security ◽  
Economic Activities ◽  
Market Mechanisms ◽  
Simultaneous Control ◽  
The Impact ◽  
A Company

В работе предложены авторские подходы к понятиям «внутренний контроль» и «внутренний аудит», раскрыты их содержательные особенности, функции, формы организации на предприятиях, определены ключевые задачи систем внутреннего аудита и внутреннего контроля в аспекте обеспечения экономической безопасности. Проанализированы возможные варианты взаимодействия систем внутреннего аудита и внутреннего контроля и предложили к использованию наиболее подходящую модель их комплексного взаимодействия для осуществления единовременного контроля финансово-хозяйственных процессов и управления рисками компании. The company economic security is the result of its effective financial and economic activities. This relationship is due to the pattern of economic development and increased competition between economic entities. The current market mechanisms significantly impact on the company activities, that in turn necessitates them to look for the ways to ensure the financial stability and economic security. This article aims at studying the role the internal audit and internal control play to ensure the company financial stability and the impact of these tools on its economic security. The paper describes the authors’ approaches to the concepts of “internal control" and "internal audit", shows their content features, functions and forms of arrangement within a company. It also specifies the key objectives of the internal audit and internal control systems for ensuring the economic security. The authors analyzed the possible interactions of the internal audit and internal control systems and suggested the most appropriate model for their comprehensive interaction to be used for the simultaneous control of financial and economic processes and for the company risk management

scholarly journals Impact of Internal Control System Structures According to (COSO) Model on the Operational Performance of Construction Companies in the Gaza Strip: An Empirical Study

2018 ◽  
Vol 13 (11) ◽  
pp. 176
Author(s):  
Iskandar M. Nashwan
Keyword(s):  
Control System ◽  
Control Systems ◽  
Internal Control ◽  
Gaza Strip ◽  
Operational Performance ◽  
Construction Companies ◽  
Internal Control System ◽  
Information And Communication ◽  
The Gaza Strip ◽  
The Impact

The construction sector is considered one of the most important sectors that support the economic development in any country as it helps in the development of the infrastructure, and affects the development of other sectors. The study's main objective was to identify the impact of the internal control systems according to the (COSO) model with its elements (control environment, risk assessment, control activities, information and communication, monitoring and follow up) on the operational performance of construction companies in the Gaza Strip. Moreover, the current study aimed to examine the extent to which construction companies in the Gaza Strip comply with the internal control system structures according to the model with its elements. In order to achieve the objectives of the study, it was implemented on (46) construction companies that operate efficiently and effectively in this sector and have organized financial and administrative systems governing their work. Therefore, the researcher designed a questionnaire for the study, which consisted of (49) paragraphs as a tool to collect required data, and was distributed to the sample of the study consisting of (460) individuals as (10) questionnaires were given to each company and retrieved (415) questionnaire valid for analysis (90.2%).The researcher also used the descriptive analytical method. After analyzing the results, the study found that there is a great commitment of constriction companies  to the internal control structures of (COSO) model and there is a statistically significant positive effect for each of the elements of the model on the operational performance. Furthermore, the current study recommends that construction companies need to strengthen internal control systems that are efficient and effective by allowing the structures of their control systems to depend on the elements of the (COSO) model. Also it recommends researchers to conduct further studies on other sectors such as services , trade and industry.

scholarly journals Pengaruh Penilaian Kinerja Auditor dan Penerapan Audit Internal terhadap Sistem Pengendalian Intern pada Kantor Perwakilan BPKP Provinsi Sumatera Barat

2020 ◽  
Vol 15 (1) ◽  
pp. 54-64
Author(s):  
Yukmi Yukmi ◽  
Agussalim M M ◽  
Meriyani Meriyani
Keyword(s):  
Control System ◽  
Performance Assessment ◽  
Internal Control ◽  
Internal Audit ◽  
Regression Method ◽  
Internal Control System ◽  
West Sumatra ◽  
Representative Office ◽  
The Impact

This purpose of this study is to examine the impact of the  performance assessment variables of the auditor’s and implementation of internal audit on the internal control system. The collection of data on the research is using questionnaires distributed to the internal government auditors (at rhe representative office of BPKP West Sumatra Province. 57 questionnaires have been collected. The regression method is used to analyze the data. The results of this research provide evidence that the performance assessment of auditors and the implementation of internal audit has an influence on internal control system.

scholarly journals The impact of COSO control components on internal control effectiveness: An internal audit perspective

2013 ◽  
Vol 6 (2) ◽  
pp. 495-518 ◽  
Author(s):  
Houdini Fourie ◽  
Christo Ackermann
Keyword(s):  
Control System ◽  
Internal Control ◽  
Boards Of Directors ◽  
Internal Audit ◽  
Western Cape ◽  
Eastern Cape ◽  
Best Interest ◽  
Internal Auditors ◽  
Internal Control System ◽  
The Impact

Boards of directors have the ultimate responsibility for governance – including internal control – in their organisations. Management is tasked with the design, implementation and maintenance of internal control systems. Internal auditors play a key role in independently evaluating these controls, acting as agents on behalf of the board of directors in order to mitigate the possibility of management not acting in the best interest of the organization, leaving gaps in the internal control system, and, in some instances, doing so in order to enable unlawful personal gain. The Committee of Sponsoring Organisations’ Integrated Framework for Internal Control (hereafter referred to as the COSO framework) is used as a recognised framework, which, if implemented, could result in an effective internal control system and served as the basis for the design of the research instrument of the research. The questionnaire was distributed to internal audit practitioners. Responses were obtained from 31 participants from the Eastern Cape and Western Cape regions in South Africa. The majority of the participants provide internal audit services to the local government sphere of the South African government. This article identifies which characteristics should exist in an organization’s control system that, in the opinion of internal auditors, improve the effectiveness of the internal control system. This study concludes that internal auditors are of the opinion that control characteristics as outlined in the COSO framework for ‘risk assessment’, ‘information and communication’, ‘control activities’ and ‘monitoring’ components of internal control, do contribute to an effective internal control system.

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