Factors that Determines Internal Control Effectiveness in international non Governmental Organizations Working in Health sector in Addis Ababa

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Date

2016-06

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Addis Ababa University

Abstract

NGO’S internal control effectiveness involves the capability of an organization to deliver services to its people in the most efficient manner while ensuring high quality of its services and support. The focus of the study was guided by the following objectives; to assess internal controls effectiveness in non-governmental organizations to identify the possible areas of deficiencies in the system. The study would be significant to the NGOs’ as it would give insights to them on the importance of integrating internal control effectiveness their operational efficiency. The target population of the study was all internal audit/control staff all in all 90 working in the 30 selected non-governmental organizations working in health sector using multistage sampling methodology through questionnaires. Data was collected using questionnaires distributed to those individuals. Data was analyzed using descriptive statistics and inferential statistics using SPSS results. The findings revealed that there is insignificant internal control effectiveness. Particularly, there is negative insignificant relationship between the management support and internal control, though there is insignificant positive relationship between adequate and competent internal control staff and internal control. However there is significant relationship between organizational independence and internal control effectiveness. The study recommends that internal controls should be used to support in achieving its objectives the organizations in achieving its objectives by managing independence of internal control staff and by employment of adequate and competent staff that fosters operational performance of the organizations. Key Words: Internal Control effectiveness; International Non-Governmental Organizations; Determinants of internal control Effectiveness

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Keywords

Internal control effectiveness; international non-governmental organizations; determinants of internal control effectiveness.

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