Factors influencing the effectiveness of internal audit on organizational performance

The purpose of this study is to investigate the factors influencing internal auditing and its relationship with organizational performance. Multiple regressions were utilized to evaluate the scale of the influence of the four independent variables identified in the conceptual framework on organizational performance. The sample of this research was taken by random sampling method. The data were obtained by questionnaire. All variables were measured by using 5 point Likert scale. The result showed that the There are a significant relationship between competence of Internal Audit department, size of Internal Audit department, management support for internal audit Independence of internal audit and organizational performance. The limitation of this study is very small number of populations; therefore the findings will be difficult to be generalized to examine factors influencing the internal audit effectiveness. Future research should consider larger number of the population also including more internal auditing factors to measure the organizational performance

Pengaruh Kompetensi, Pemecahan Masalah, Kematangan Audit, Aktivitas Komputer Audit Terhadap Kinerja Audit Internal

Abstract The purpose of this study is to examine the influence of competence, problem solving ability in team, audit maturity and computer audit activity on internal audit performance at company in Semarang. The population of this research is internal auditor of manufacturing company in Semarang City. The sample in this research is taken using purposive sampling method. The number of samples in this study were 49 respondents. Hypothesis testing of this research using SmartPLS 3. The result of this research: 1) Competence has positive effect on internal audit performance, 2) Problem solving ability in team does not positively affect to internal audit performance 3) Audit maturity has no positive effect on internal audit performance, 4) Audit computer activity has no positive effect on internal audit performance 5) Competence has no positive effect on internal audit performance through team problem solving ability, 6) Competence has no positive effect on internal audit performance through audit maturity, 7) Competence has no positive effect on the performance of internal audit through computer audit activities. Keywords: competence, team problem solving skills, audit maturity, computer audit activities, internal audit performance Abstrak Tujuan penelitian ini adalah menguji pengaruh kompetensi, kemampuan pemecahan masalah dalam tim, kematangan audit dan aktivitas komputer audit terhadap kinerja audit internal pada perusahaan di Semarang. Populasi penelitian ini adalah auditor internal perusahaan manufaktur di Kota Semarang. Sampel pada penelitian diambil menggunakan metode purposive sampling. Jumlah sampel pada penelitian ini yaitu 49 orang responden. Pengujian hipotesis penelitian ini menggunakan SmartPLS 3. Hasil dari penelitian ini: 1) Kompeensi berpengaruh positif terhadap kinerja audit internal, 2) Kemampuan pemecahan masalah dalam tim tidak berpengaruh positif terhadap kinerja audit internal, 3) Kematangan audit tidak berpengaruh positif terhadap kinerja audit internal, 4) Aktivitas komputer audit tidak berpengaruh positif terhadap kinerja audit internal, 5) Kompetensi tidak berpengaruh positif terhadap kinerja audit internal melalui kemampuan pemecahan masalah dalam tim, 6) Kompetensi tidak berpengaruh positif terhadap kinerja audit internal melalui kematangan audit, 7) Kompetensi tidak berpengaruh positif terhadap kinerja audit internal melalui aktivitas komputer audit. Kata kunci: kompetensi, kemampuan pemecahan masalah dalam tim, kematangan audit, aktivitas komputer audit, kinerja audit intern

A personalidade e a utilização de TAACS em auditoria interna

Mestrado Bolonha em Contabilidade, Fiscalidade e Finanças EmpresariaisA utilização das tecnologias de informação (TI), no mundo empresarial, tem sido cada vez mais notória, afetando o exercício da atividade de auditoria, através do uso das Técnicas de Auditoria Assistidas por Computador (TAACs). Apesar disso, a literatura refere que o recurso às TAACs tem ficado aquém do esperado em auditoria interna. Esta dissertação procura analisar o impacto da personalidade dos auditores internos na intenção do uso das TAACs e se essa intenção influencia a sua real utilização e, por fim, perceber se as TAACs melhoram a sustentabilidade empresarial através das atividades de auditoria interna. No estudo, foram utilizados os dados recolhidos, junto de 62 auditores internos portugueses através de um questionário, tendo as hipóteses de investigação sido analisadas através do Partial Least Squares – Structural Equation Modelling. Os resultados mostram que apenas o traço da consciência se mostrou relevante na intenção da utilização das TAACs. Por sua vez, a intenção de uso das TAACs influencia a sua real utilização por parte dos auditores internos. Por fim, obtivemos a evidência de que a utilização das TAACs está positivamente associada com o risco de fraude, pelo que estas são um instrumento importante para a melhoria da sustentabilidade das organizações.The use of information technologies (IT) in the business world has been increasingly notorious, affecting the exercise of the auditing activity through the use of Computer Assisted Audit Techniques (CAATs). Despite this, the literature shows that the use of CAATs has been less than expected in internal auditing. This dissertation seeks to analyze the effect of personality of internal auditors on the intention of using CAATs and whether this intention influences its actual use and finally to understand if CAATs improves the corporate sustainibility through internal audit activies. The study used data collected from 62 Portuguese internal auditors through a questionnaire, and the research hypotheses were analyzed using Partial Least Squares – Structural Equation Modelling. The results show that only the conscientiousness trait proved to be relevant in the intention of using CAATs. On the other hand, the intention of using CAATs influences their actual use by internal auditors. Finnally, we obtained evidence that the use of CAATs is positively associated with the risk of fraud, so they are an important instrument for improving the sustainability of organizations.info:eu-repo/semantics/publishedVersio

The Path between Personality, Self-Efficacy, and Shopping Regarding Games Apps

Producción CientíficaThe smartphone has made gaming more accessible and desirable for a wider market than ever before. Game apps are one of the most consumed and fastest growing products in the world today. Yet, few studies have thus far explored the implications of games apps consumption from a consumer perspective, addressing the transfer of abilities from one technological field to another. The main purpose of this paper is threefold: to ascertain the role of personality as a determinant of self-efficacy, to establish whether there is a transfer process from self-efficacy in video gaming with apps to online shopping and to analyze the impact of self-efficacy on the online purchase of game-related products. Results show that neuroticism, extraversion, and agreeableness determine the gaming self-efficacy that is transferred to online shopping self-efficacy and finally to the online purchase of game-related products. These insights provide interesting managerial implications that could affect video game marketing.Ministerio de Economía y Competitividad (proyecto ECO2017-82107-R)Fondo europeo de desarrollo regional (proyecto VA112P17)Junta de Castilla y León (proyecto VA112P17

Information technology usage, top management support and internal audit effectiveness

There has been a marked increase in the global practice to focus on internal auditing as a mechanism to protectcompanies. With the advent of information technology, companies are presented with even more opportunity to improve the way they perform internal audit. However it is expected that such opportunity is dependent upon other factors such as management support. This research examines the moderating effect of top management support on the relationship between information technology usage and internal audit effectiveness. Questionnaires were sent to internal auditors in Yemeni private companies, with a total of 104 responses obtained. The study found a significant positive relationship between information technology usage and internal audit effectiveness. Similar result was obtained on the relationship between top management support and internal audit effectiveness. However the study found that top management supportdoes not moderate the relationship between information technology usage and internal audit effectiveness

The impact of information systems auditor’s training on the quality of an information systems audit

Abstract: The significance of information technology (IT) audits in organisations is an area that has received increased focus, and it is increasingly necessary to conduct additional research into the IT audit subject area. As a result of increased dependence and spending on IT, it has effectively become a requirement for organisations to increase their level of assurance about these investments and their ability to deliver as expected. IT audits fulfil this role, and are used to examine the effectiveness of controls, security of important systems and business operations to identify weaknesses and find ways that can be used to improve and mitigate the impact of these weaknesses. However, prior research has not measured the impact that training of auditors has on the quality of IT audits. The findings of this study show that organisations play an integral role in the training programs. However, these organisations do not understand their training programs and cannot properly communicate the training requirements to IT auditors. The research findings have also shown that continuous professional development programs are additional tools in enhancing IT auditor knowledge. This research undertaking has found that generally, internal programs are more effective in delivering content to IT auditors and thus more emphasis can be put on them. Overall, this research undertaking strengthens the idea that resources should be committed to improving training programs, as improving training programs eventually leads to efficiency in all matters related to IT audit quality

An internal audit expectation gap: South African Revenue Services project audit engagements

South African Revenue Services (SARS) was established as a quasi-government organisation with a mandate to efficiently and effectively collect revenue based on the export, import, movement, manufacture and storage of specific goods. Information Technology (IT) governance is strategically important to SARS in that its business processes are technology driven and that technology projects are implemented to support the SARS strategic objectives. In alignment to the King code for corporate governance and ethical business practices, an Internal Audit Function (IAF) as a regulatory requirement of all public sector entities in South Africa exists at SARS. The aim of the research was to evaluate the perspectives of SARS stakeholders regarding the organisation’s IT project auditing process. The study focused on gathering data from various SARS stakeholders involved in the delivery of IT projects and IT projects auditing. Through a qualitative research approach, interviews were conducted with practitioners such as Internal Auditors, Internal Audit managers, and executives as well as project managers and ownersso asto obtain a holistic understanding of stakeholder expectations of an IT project audit. An analysis of the data collected led to the deduction of recommendations meant to enhance stakeholder perceptions of the IT audit function within SARS. The study found that there is a perceived value derived from IA reviews of IT projects. The findings also revealed that rather than lack of resources and expertise, skill set deficiencies were the major setback in achieving IA goals. The findings further revealed that there are deficiencies in the quality of IA reports. Some of the main recommendations were to expand the scope of the Internal Audit roles, intensify engagements of Internal Audits by the Enterprise Project Management Office (EPMO), improve the quality of reports, and capacitate Internal Auditors with reporting skills. This study presents a modest contribution that is expected to enrich knowledge on how to audit IT projects. Moreover, the study contributes towards a methodological position of design science by producing results from a smaller sample augmented by interview results in an environment characterised by smaller populations so that inferences can be made

The impact of information systems auditor’s training on the quality of an information systems audit

Abstract: The significance of information technology (IT) audits in organisations is an area that has received increased focus, and it is increasingly necessary to conduct additional research into the IT audit subject area. As a result of increased dependence and spending on IT, it has effectively become a requirement for organisations to increase their level of assurance about these investments and their ability to deliver as expected. IT audits fulfil this role, and are used to examine the effectiveness of controls, security of important systems and business operations to identify weaknesses and find ways that can be used to improve and mitigate the impact of these weaknesses. However, prior research has not measured the impact that training of auditors has on the quality of IT audits. The findings of this study show that organisations play an integral role in the training programs. However, these organisations do not understand their training programs and cannot properly communicate the training requirements to IT auditors. The research findings have also shown that continuous professional development programs are additional tools in enhancing IT auditor knowledge. This research undertaking has found that generally, internal programs are more effective in delivering content to IT auditors and thus more emphasis can be put on them. Overall, this research undertaking strengthens the idea that resources should be committed to improving training programs, as improving training programs eventually leads to efficiency in all matters related to IT audit quality.M.Com. (Computer Auditing

Improving the audit quality of the Inland Revenue Board Malaysia through action research

Audit quality is a critical element in the audit process to ensure that there is no taxpayer non-compliance with tax returns. However, the current audit quality of the Inland Revenue Board of Malaysia (IRBM), measured by additional tax assessment, case processing time, and achievement of each key performance indicator (KPI), still needs improvement. The purpose of this study is to improve the audit quality of IRBM audit officers through an action research process involving planning, acting, observing, and reflecting.This research executes secondary data, interviews, and observations through five major cycles: problem identification, systematic data collection, analysis and reflection, intervention, and evaluation. The process took 10 months from January to October 202. Based on the findings, five selected IRBM audit officers underwent one week of training and three months of coaching (acting), collecting participant feedback (observing), and reflecting on the feedback through further counseling and coaching. At the end of the cycle, all audit officers completed their aging cases within the specified completion period, which was three months. In practice, this study has shown that time training and continuous coaching can improve examination quality and competence in IRBM audit tasks. Therefore, it is recommended that both aspects should be introduced in all branches and made part of the IRBM policies

Internal audit function attributes and financial reporting quality: the Nigerian case

Financial reporting quality depends on its relevance, faithful representation, comparability, understandability and verifiability that could guide investors make informed decisions. The objective of this study is to examine the effect of internal audit function attributes on financial reporting quality. The study also examined the moderating effect of audit committee interaction, senior management support, and information technology usage on the relationship between internal audit function attributes and financial reporting quality in Nigerian listed organizations. Using survey and purposive sampling, 97 usable questionnaires have been obtained from the head of internal audit functions. The data analysis was conducted using PLS-SEM 3.2.6. The findings reveal evidence of the significant relationships between internal audit work, risk-based audit, internal control activities, coordination between internalexternal auditors and financial reporting quality. This study also discloses that senior management support and information technology usage significantly moderate the relationships between internal audit function attributes and financial reporting quality. The study contributes to the literature on how the internal audit function attributes impact the financial reporting quality, particularly in the Nigerian context, where there are scant similar studies. From another perspective, this study also contributes to the literature on how to test the complex model with three moderators which is a very uncommon practice in the available literature. The study suggests that the internal audit development policymakers and board of directors of Nigerian listed organizations can improve the internal audit function practices that will nurture financial reporting quality. Both policymakers and the board of directors should ensure adequate structures that will strengthen the organisational status of the internal auditors to perform towards improving financial reporting quality and minimising opportunistic management actions