Assessment of Internal Control Systems of Technical Universities in Ghana

Dorcas Otengkoramah Badoo; Hilda Hammond; Felix Oppong

doi:doi:10.11648/j.jfa.20200802.12

| Peer-Reviewed

Assessment of Internal Control Systems of Technical Universities in Ghana

Dorcas Otengkoramah Badoo, Hilda Hammond, Felix Oppong

Published in Journal of Finance and Accounting (Volume 8, Issue 2)

Received: 18 March 2020 Accepted: 1 April 2020 Published: 13 April 2020

Views: Downloads:

Download PDF

Share This Article

Twitter
Linked In
Facebook

Abstract

The relevance of internal control systems in organizations have been duly recognized as a process for assuring the achievement of set objectives in operational efficiency, reliable financial reporting and compliance with regulatory and international standards. For Technical Universities (formerly, the Polytechnics), as public institutions with the attendant problem of limited resources, it is imperative to implement effective internal controls for the judicious utilization, monitoring and management of business processes towards success and sustainability. The study, sets out to assess internal control systems at Accra Technical University, investigating the existence and implementation effectiveness and related challenges of such internal controls. The specific objectives were to find out the internal control systems at Accra Technical University, the extent of employee awareness of the control systems, consistency of the control systems with national and international standards, and the effective implementation of the control systems. The study used both primary and secondary data sources. The primary data was collected with a questionnaire from respondents comprising mainly staff from the Finance, Audit, Administration and Academic departments while secondary data was gathered from review of documentation at the Finance Office. The study reveals that Accra Technical University has instituted policies and procedures to enhance the implementation of internal controls, however, there is low staff awareness regarding such policies and violation penalties. This, it is noted, stems from Management’s inability to communicate information regarding internal control policies to staff promptly and effectively. Further, Accra Technical University exhibits high conformity to international standards and the present national regulatory regime in the preparation of its financial reports and fiscal management. Overall, the implementation of internal control systems at Accra Technical University is rated as “quite effective” and directed mainly towards conducting business in an efficient manner and ensuring financial information are accurate and complete. It is recommended, therefore, that Management improves staff awareness of policies regarding internal controls, and undertake continuous monitoring, identification and assessment of the internal control systems established and implemented to ensure they are functioning properly and meeting expectation.

Published in	Journal of Finance and Accounting (Volume 8, Issue 2)
DOI	10.11648/j.jfa.20200802.12
Page(s)	64-72
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2020. Published by Science Publishing Group

Keywords

Internal Controls, Financial Reporting, Staff Awareness

References

[1]	Committee of Sponsoring Organisation (2011): Internal Control, Integrated Framework: http://www.coso.org/Publications/COSORelease_1.8.07 (2016, 15 January).
[2]	Iddrisu, A. and Anang, F. (2010) Internal Financial Control Procedures in Second Cycle Institutions. Unpublished Dissertation pg. 8, 9-10.
[3]	Business and Financial Times. General News of Wednesday, 21 November 2007“ Mitigating Corporate fraud, abuse and waste the role of the internal auditor”.
[4]	Yin R. (2014). Case study research: design and methods. 5th ed. Sage, Los Angeles.
[5]	Baxter, P. and Jack, S. (2008): Qualitative case study methodology: study design and implementation for novice researchers. The Qualitative Report, 13 (4), 544-559.
[6]	Miles M. B. and Huberman A. M. (2003): Qualitative data analysis: A sourcebook of new Methods. Beverly Hills: Sage Publications
[7]	Sullivan T. J. (2001). Method of social research, London: Harcourt College publishers.
[8]	American Institute of Certified Public Accountants (1949).
[9]	Corbetta, G. and Salvato C. (2004): Self-Serving or Self-Actualizing? Models of man and Agency costs in different types of family firms: A commentary on "comparing the agency costs of family and non-family firms: conceptual issues and exploratory evidence”. Entrepreneurship Theory and Practice, 355-362.
[10]	Albanese, R., Dacin, M. T. and Harris, I. C. 1997 Agents as Stewards. The Academy of Management Review, 22 (3): 609-611.
[11]	Davis, J. H., Schoorman, F. D. and Donaldson, L. (1997). Toward a stewardship theory of management. Academy of Management review, 22 (1), 20-47.
[12]	COSO (2013) Framework and SOS Compliance. Association of Accountants and Financial Professions in Business.
[13]	Financial Administration Regulation (2004) (L. I. 1802), Ghana.
[14]	Financial Administration ACT 2003, ACT 654. Ghana.
[15]	The Labour Act 2003, Ghana Part III Section 8 to 15.
[16]	Internal Audit Agency Act, 2003 (Act 658) Ghana.
[17]	Audit Service Act 2000 (Act 584) Ghana.
[18]	Public Procurement Act, 2003 (Act 663) Ghana.
[19]	Kwasi, C. C. P. & Lokko, G. W. (2013). Evaluate the significance of Internal Control System in the Rural Banking Sector International Conference on Technology and Business Management, March 2013, All Nations University, Ghana.

Cite This Article

Plain Text BibTeX RIS

APA Style

Dorcas Otengkoramah Badoo, Hilda Hammond, Felix Oppong. (2020). Assessment of Internal Control Systems of Technical Universities in Ghana. Journal of Finance and Accounting, 8(2), 64-72. https://doi.org/10.11648/j.jfa.20200802.12

Copy | Download

ACS Style

Dorcas Otengkoramah Badoo; Hilda Hammond; Felix Oppong. Assessment of Internal Control Systems of Technical Universities in Ghana. J. Finance Account. 2020, 8(2), 64-72. doi: 10.11648/j.jfa.20200802.12

Copy | Download

AMA Style

Dorcas Otengkoramah Badoo, Hilda Hammond, Felix Oppong. Assessment of Internal Control Systems of Technical Universities in Ghana. J Finance Account. 2020;8(2):64-72. doi: 10.11648/j.jfa.20200802.12

Copy | Download

@article{10.11648/j.jfa.20200802.12,
  author = {Dorcas Otengkoramah Badoo and Hilda Hammond and Felix Oppong},
  title = {Assessment of Internal Control Systems of Technical Universities in Ghana},
  journal = {Journal of Finance and Accounting},
  volume = {8},
  number = {2},
  pages = {64-72},
  doi = {10.11648/j.jfa.20200802.12},
  url = {https://doi.org/10.11648/j.jfa.20200802.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20200802.12},
  abstract = {The relevance of internal control systems in organizations have been duly recognized as a process for assuring the achievement of set objectives in operational efficiency, reliable financial reporting and compliance with regulatory and international standards. For Technical Universities (formerly, the Polytechnics), as public institutions with the attendant problem of limited resources, it is imperative to implement effective internal controls for the judicious utilization, monitoring and management of business processes towards success and sustainability. The study, sets out to assess internal control systems at Accra Technical University, investigating the existence and implementation effectiveness and related challenges of such internal controls. The specific objectives were to find out the internal control systems at Accra Technical University, the extent of employee awareness of the control systems, consistency of the control systems with national and international standards, and the effective implementation of the control systems. The study used both primary and secondary data sources. The primary data was collected with a questionnaire from respondents comprising mainly staff from the Finance, Audit, Administration and Academic departments while secondary data was gathered from review of documentation at the Finance Office. The study reveals that Accra Technical University has instituted policies and procedures to enhance the implementation of internal controls, however, there is low staff awareness regarding such policies and violation penalties. This, it is noted, stems from Management’s inability to communicate information regarding internal control policies to staff promptly and effectively. Further, Accra Technical University exhibits high conformity to international standards and the present national regulatory regime in the preparation of its financial reports and fiscal management. Overall, the implementation of internal control systems at Accra Technical University is rated as “quite effective” and directed mainly towards conducting business in an efficient manner and ensuring financial information are accurate and complete. It is recommended, therefore, that Management improves staff awareness of policies regarding internal controls, and undertake continuous monitoring, identification and assessment of the internal control systems established and implemented to ensure they are functioning properly and meeting expectation.},
 year = {2020}
}

Copy | Download

TY  - JOUR
T1  - Assessment of Internal Control Systems of Technical Universities in Ghana
AU  - Dorcas Otengkoramah Badoo
AU  - Hilda Hammond
AU  - Felix Oppong
Y1  - 2020/04/13
PY  - 2020
N1  - https://doi.org/10.11648/j.jfa.20200802.12
DO  - 10.11648/j.jfa.20200802.12
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 64
EP  - 72
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20200802.12
AB  - The relevance of internal control systems in organizations have been duly recognized as a process for assuring the achievement of set objectives in operational efficiency, reliable financial reporting and compliance with regulatory and international standards. For Technical Universities (formerly, the Polytechnics), as public institutions with the attendant problem of limited resources, it is imperative to implement effective internal controls for the judicious utilization, monitoring and management of business processes towards success and sustainability. The study, sets out to assess internal control systems at Accra Technical University, investigating the existence and implementation effectiveness and related challenges of such internal controls. The specific objectives were to find out the internal control systems at Accra Technical University, the extent of employee awareness of the control systems, consistency of the control systems with national and international standards, and the effective implementation of the control systems. The study used both primary and secondary data sources. The primary data was collected with a questionnaire from respondents comprising mainly staff from the Finance, Audit, Administration and Academic departments while secondary data was gathered from review of documentation at the Finance Office. The study reveals that Accra Technical University has instituted policies and procedures to enhance the implementation of internal controls, however, there is low staff awareness regarding such policies and violation penalties. This, it is noted, stems from Management’s inability to communicate information regarding internal control policies to staff promptly and effectively. Further, Accra Technical University exhibits high conformity to international standards and the present national regulatory regime in the preparation of its financial reports and fiscal management. Overall, the implementation of internal control systems at Accra Technical University is rated as “quite effective” and directed mainly towards conducting business in an efficient manner and ensuring financial information are accurate and complete. It is recommended, therefore, that Management improves staff awareness of policies regarding internal controls, and undertake continuous monitoring, identification and assessment of the internal control systems established and implemented to ensure they are functioning properly and meeting expectation.
VL  - 8
IS  - 2
ER  -

Copy | Download

Author Information

Dorcas Otengkoramah Badoo

Finance Directorate, Accra Technical University, Accra, Ghana
Hilda Hammond

Finance Directorate, Accra Technical University, Accra, Ghana
Felix Oppong

Finance Directorate, Accra Technical University, Accra, Ghana

Download PDF

Sections

Plain Text BibTeX RIS

APA Style

Dorcas Otengkoramah Badoo, Hilda Hammond, Felix Oppong. (2020). Assessment of Internal Control Systems of Technical Universities in Ghana. Journal of Finance and Accounting, 8(2), 64-72. https://doi.org/10.11648/j.jfa.20200802.12

Copy | Download

ACS Style

Dorcas Otengkoramah Badoo; Hilda Hammond; Felix Oppong. Assessment of Internal Control Systems of Technical Universities in Ghana. J. Finance Account. 2020, 8(2), 64-72. doi: 10.11648/j.jfa.20200802.12

Copy | Download

AMA Style

Dorcas Otengkoramah Badoo, Hilda Hammond, Felix Oppong. Assessment of Internal Control Systems of Technical Universities in Ghana. J Finance Account. 2020;8(2):64-72. doi: 10.11648/j.jfa.20200802.12

Copy | Download

@article{10.11648/j.jfa.20200802.12,
  author = {Dorcas Otengkoramah Badoo and Hilda Hammond and Felix Oppong},
  title = {Assessment of Internal Control Systems of Technical Universities in Ghana},
  journal = {Journal of Finance and Accounting},
  volume = {8},
  number = {2},
  pages = {64-72},
  doi = {10.11648/j.jfa.20200802.12},
  url = {https://doi.org/10.11648/j.jfa.20200802.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20200802.12},
  abstract = {The relevance of internal control systems in organizations have been duly recognized as a process for assuring the achievement of set objectives in operational efficiency, reliable financial reporting and compliance with regulatory and international standards. For Technical Universities (formerly, the Polytechnics), as public institutions with the attendant problem of limited resources, it is imperative to implement effective internal controls for the judicious utilization, monitoring and management of business processes towards success and sustainability. The study, sets out to assess internal control systems at Accra Technical University, investigating the existence and implementation effectiveness and related challenges of such internal controls. The specific objectives were to find out the internal control systems at Accra Technical University, the extent of employee awareness of the control systems, consistency of the control systems with national and international standards, and the effective implementation of the control systems. The study used both primary and secondary data sources. The primary data was collected with a questionnaire from respondents comprising mainly staff from the Finance, Audit, Administration and Academic departments while secondary data was gathered from review of documentation at the Finance Office. The study reveals that Accra Technical University has instituted policies and procedures to enhance the implementation of internal controls, however, there is low staff awareness regarding such policies and violation penalties. This, it is noted, stems from Management’s inability to communicate information regarding internal control policies to staff promptly and effectively. Further, Accra Technical University exhibits high conformity to international standards and the present national regulatory regime in the preparation of its financial reports and fiscal management. Overall, the implementation of internal control systems at Accra Technical University is rated as “quite effective” and directed mainly towards conducting business in an efficient manner and ensuring financial information are accurate and complete. It is recommended, therefore, that Management improves staff awareness of policies regarding internal controls, and undertake continuous monitoring, identification and assessment of the internal control systems established and implemented to ensure they are functioning properly and meeting expectation.},
 year = {2020}
}

Copy | Download

TY  - JOUR
T1  - Assessment of Internal Control Systems of Technical Universities in Ghana
AU  - Dorcas Otengkoramah Badoo
AU  - Hilda Hammond
AU  - Felix Oppong
Y1  - 2020/04/13
PY  - 2020
N1  - https://doi.org/10.11648/j.jfa.20200802.12
DO  - 10.11648/j.jfa.20200802.12
T2  - Journal of Finance and Accounting
JF  - Journal of Finance and Accounting
JO  - Journal of Finance and Accounting
SP  - 64
EP  - 72
PB  - Science Publishing Group
SN  - 2330-7323
UR  - https://doi.org/10.11648/j.jfa.20200802.12
AB  - The relevance of internal control systems in organizations have been duly recognized as a process for assuring the achievement of set objectives in operational efficiency, reliable financial reporting and compliance with regulatory and international standards. For Technical Universities (formerly, the Polytechnics), as public institutions with the attendant problem of limited resources, it is imperative to implement effective internal controls for the judicious utilization, monitoring and management of business processes towards success and sustainability. The study, sets out to assess internal control systems at Accra Technical University, investigating the existence and implementation effectiveness and related challenges of such internal controls. The specific objectives were to find out the internal control systems at Accra Technical University, the extent of employee awareness of the control systems, consistency of the control systems with national and international standards, and the effective implementation of the control systems. The study used both primary and secondary data sources. The primary data was collected with a questionnaire from respondents comprising mainly staff from the Finance, Audit, Administration and Academic departments while secondary data was gathered from review of documentation at the Finance Office. The study reveals that Accra Technical University has instituted policies and procedures to enhance the implementation of internal controls, however, there is low staff awareness regarding such policies and violation penalties. This, it is noted, stems from Management’s inability to communicate information regarding internal control policies to staff promptly and effectively. Further, Accra Technical University exhibits high conformity to international standards and the present national regulatory regime in the preparation of its financial reports and fiscal management. Overall, the implementation of internal control systems at Accra Technical University is rated as “quite effective” and directed mainly towards conducting business in an efficient manner and ensuring financial information are accurate and complete. It is recommended, therefore, that Management improves staff awareness of policies regarding internal controls, and undertake continuous monitoring, identification and assessment of the internal control systems established and implemented to ensure they are functioning properly and meeting expectation.
VL  - 8
IS  - 2
ER  -

Copy | Download