The Necessity of Governance Thorough Internal Control and Accountability in NGOs: A Case of Buea Sub-Division Cameroon

Abstract

The main objective of this study was to examine the role and existence of internal control and accountability in NGOs of Buea Sub-division Cameroon. The study fol-lowed these research questions: What are the main concerns of governance in NGOs in the Buea Sub-division Cameroon? Among the identified items, which ones are more important? What is the implication of each item after analyzing? Two theories consti-tuted the theoretical framework of the current study, including the agency theory and stakeholder theory. The evaluation of internal control and accountability was con-ducted through interviews with managers, directors, accountants, and project manag-ers to reach a framework in questionnaires format in fifteen chosen NGOs. By con-ducting interviews 35 items were obtained and among them, 21 items were more em-phasized by the participants. These 21 areas were analyzed using percentage frequen-cy tables and bar charts by using SPSS to analyze internal control and accountability practices in NGOs in Buea Sub-division in Cameroon. The COSO model and HAP frameworks were applied as guidance for the whole procedures and analysis. The findings revealed that some components of internal control systems were not fully ac-tive. Nevertheless, most components like control environment, information, and communication, control activities, internal audit, segregation of duty, accounting knowledge and principles, internal control and accountability were actively being practiced which resulted in a considerable and positive influence on NGOs, noted by participants. The lack of a regulatory body and control by the local government to monitor the operations of NGOs and their ethical standards were noted as problems hindering accountability and reliable reports to stakeholders by the NGO sector in Buea Sub-division. This study has its own limitations as the small group of participants and bias of self-evaluation of critical elements of governance. The study ends with a recommendation for government and NGO management to employ personnel with sound knowledge of internal control and accountability that will follow up on the weaknesses identified in the system like political instability, monitoring, disclosure, and funding constraints in order to improve the existing internal control and ac-countability systems in Buea Sub-division Cameroon.