Influence of internal controls on performance of county governments in Kenya
Abstract
The study sought to investigate the influence of internal controls on performance of
County Governments in Kenya. The drive behind the study was to establish internal
control practices help County Governments in Kenya to perform efficiently and
effectively for the benefit of the general interest. The objectives of the study were to
establish; the relationship between internal audit, reporting, control of activities,
information communication and risk assessment and performance of County
Governments in Kenya. Descriptive research design was used to determine the
influence of internal controls on the performance of County Governments in Kenya.
The descriptive study method was appropriate because it explored and described the
relationship between variables in their natural setting without manipulating them.
Data collected was analyzed and measure quantitatively. The target population for
this study included the 47 County Governments in Kenya. County Governments
employees working in the finance department were the respondents in the study.
Questionnaires were administered to respondents by the researcher during working
hours. Drop and pick later method was applied where respondents had no time to
respond immediately. Secondary data was gathered from library materials, County
Government reports, media publications and various Internet search engines
covering the business process management of County Government in Kenya.
Descriptive statistics was used to analyze data where mean, standard deviation and
standard error used to summarize and relate variables which were attained from the
study. The study adopted regression analysis. Regression analysis was used to come
up with the model expressing the hypothesized relationship between the independent
variables The study established that County Governments did not implement internal
audits recommended by the Auditor General to improve management of financial
resources. The study established that employee did not submit weekly reports neither
held meetings to discuss the progress of activities. The study established that there
was no clear separation of roles among workers and employee work was not checked
by others. The study established that majority of the County Government employees
were ICT illiterate and did not manage to submit reports online to their supervisors
due to inadequate trainings. The study established that majority of the County
Governments were not conversant with the global environment including the
political, economic, social and technological due to inadequate trainings. The study
recommends that an external body to be established by the National Government to
audit County Governments regularly for accountability. Therefore, this study
recommends that top management should carry out periodical employee evaluation
to promote motivation and positive contribution towards goals of the organization.
The study recommends that top management should allocate enough resources to
empower employees with necessary skills to perform. This study recommends that
that all County Governments should invest in modern ICT systems to improve
service delivery to key stakeholders. Tthis study recommends that County
Government leaders should be exposed to international forums and conferences to
learn more experiences.
Citation
Master Of Business Administration, University of Nairobi, 2014Publisher
University of Nairobi