THE ADOPTION OF RISK BASED INTERNAL AUDITING IN DEVELOPING COUNTRIES: THE CASE OF GHANAIAN COMPANIES (Published)
The study investigated the adoption of Risk Based Internal Audit in Ghana, the factors that influence the adoption or non adoption of Risk Based Internal Audit amongst Ghanaian Companies. The involvement of internal auditors in risk assessment was also assessed in the context of Enterprise Risk Management. The study employed Pearson’s chi-square test of independence model at a p-value of 0.05. It was observed that risk based approach to internal auditing is widely used amongst Ghana’s Club 100 companies, especially amongst financial, Telecommunications, and Manufacturing companies. The study again found out that, there is high involvement of IA in risk management which translated to the use of risk based approaches in planning annual audits. Regulation the study observed is not a driver of adoption of RBIA in Ghana. The main factor that motivated the adoption of RBIA was, RBIA helped these organizations to focus on high risks priority areas
Keywords: Enterprise Risk Management, Internal Auditing, Risk Based Approaches, Risk Based Internal Audit, Risk Management, developing countries