Internal Control Systems and Performance of County Government in Kenya; A Review of the Literature (Published)
Examine the relationship between internal control systems and performance of County Governments in Kenya through a literature review. It specifically aimed to assess the impact of the control environment, evaluate the effectiveness of risk assessment, examine the influence of information communication systems, and analyse the effectiveness of monitoring activities in enhancing County Government performance. The study adopted a desk research design by reviewing relevant literature on internal control systems and County Government performance. It also summarized significant contributions of previous studies and discussed theoretical and methodological gaps in the literature. Empirical studies revealed that a robust control environment, effective risk assessment, and advanced Information Communication Systems (ICS) improve County Government performance. Despite enhancing transparency and accountability, challenges related to infrastructure and digital literacy persist. The integration of Agency, Stewardship, Institutional, and Contingency theories provides practical insights for designing effective internal controls, offering evidence-based recommendations for regulatory frameworks that foster accountability and operational efficiency in public governance.
Keywords: Control Environment, Performance, Risk Assessment, communication systems, internal control systems, monitoring activities
Internal Control and Financial Performance of Hospitality Organisations in Rivers State (Published)
In the recent past, a number of organisations across the world failed irrespective of internal controls. This has raised concerns about the relevance and influence of internal control, especially as it affects the financial performance of an organisation. The main objective of this study was to determine the effect of internal control on financial performance of hospitality organisations (HOs) in Rivers State. The survey research design was adopted for this study. The population of the study was made up of all HOs operating in Rivers State. Convenience sampling technique was adopted in selecting twenty HOs that constitute the sample of this study. Data collection was done primarily using structured questionnaire and secondarily through journals, textbooks and the internet. The questionnaire was validated by senior academic and professional colleagues. The reliability index of the instrument was 0.765 obtained using the Cronbach Alpha technique. Data analysis was carried out using descriptive statistics of percentages, means and standard deviations. Linear regression and correlation analysis were used in testing the hypotheses postulated. The investigation found that internal controls to a significant extent influence financial performance of HOs and that a positive relationship exist between internal control and financial performance of HOs in Rivers State. The study concluded that the control environment affects total revenue as such influences the financial performance of HOs, its non-existence or inadequacy may spell doom for an orgainsation. One of the recommendations made was that management of HOs should regularly upgrade their information and communication framework to enable them cope with the frequent changes in the global environment and as such improve their financial performance.
Keywords: Control Environment, Financial Performance, Information and Communication, Internal control, Risk Assessment