Assessment of Internal Control Systems of Technical Universities in Ghana
Journal of Finance and Accounting
Volume 8, Issue 2, March 2020, Pages: 64-72
Received: Mar. 18, 2020; Accepted: Apr. 1, 2020; Published: Apr. 13, 2020
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Authors
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
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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.
Keywords
Internal Controls, Financial Reporting, Staff Awareness
To cite this article
Dorcas Otengkoramah Badoo, Hilda Hammond, Felix Oppong, Assessment of Internal Control Systems of Technical Universities in Ghana, Journal of Finance and Accounting. Vol. 8, No. 2, 2020, pp. 64-72. doi: 10.11648/j.jfa.20200802.12
Copyright
Copyright © 2020 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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