What drives and measures public sector internal audit effectiveness? Dependent and independent variables

Abstract

The effectiveness of the internal audit function is important to improve performance in the public sector. This study provides insight into the drivers and measures of internal audit effectiveness. The heads of the internal audit function, senior management of public institutions and chairpersons of the audit committee, within a South African public sector context, responded to a survey based on an extensive review of the internal audit function. Exploratory factor analysis was applied to facilitate the reduction of 92 items into a meaningful number of independent (drivers) and dependent (measures) variables. The result of the study identifies a refined list of drivers and measures of internal audit effectiveness that adds to existing knowledge and presents a foundation for further research.