Assessing the Internal Audit Practice and Its Role in Protecting and Effective Utilization of Public Resources: Evidence from Sector Bureaus in SNNPRS

Abstract

Internal auditing  is  an independent objective assurance and consulting activity designed to add value and improve an organization’s operation and it helps an organization accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes. To this end, the objective of this study is to assess the internal audit practice and its role in effective use of public resource with reference to public bureau sin SNNPRS. In conducting this study, the researchers have employed a descriptive design with qualitative research approach due to qualitative nature of data required to prepare the report of this study.  The primary data were collected from respondents in selected public bureaus of southern Ethiopia.  Then, descriptive statistics analysis has been done through SPSS version 20.0.  So, the result of the study showed that the internal audit practice plays a significant role in protection and effective utilization of public resources. Besides, it found out that lack of expertise, lack of management support, lack of opportunity for professional development, lack of information technology facilities and lack of positive and supportive attitude toward internal controls, restricted access to necessary audit evidence, and wrong perception towards the audit function were main challenges of auditors work performance in one hand and limits effective utilization of public resources in SNNPRS. Based on the findings of the study, the researcher forwarded possible recommendations for the public bureaus in SNNPRS, Ethiopia to improve the function of internal audit in effective and efficient utilization of public resource.

Keywords: Internal audit practice, Public Resources utilization, SNNPRS, Ethiopia

DOI: 10.7176/RJFA/10-15-06

Publication date: August 31^st 2019