Implementation Of Internal Control System Research Articles

An Analysis of the Development of Investment Banks' IPO Business under the Registered System

Under the reformed registration system, the role of investment banks in the Initial Public Offering (IPO) business has evolved significantly from the approval system. As crucial "gatekeepers" of the capital market, these banks now bear the responsibility of thoroughly examining issuance application materials for truthfulness, accuracy, and completeness. While the IPO business promises a prosperous future for investment banks, it also presents considerable challenges. Some banks face issues such as insufficient adherence to prudent examination requirements, lax establishment or implementation of internal control systems, and the need for improved information management. To enhance their sponsorship business, it is recommended that investment banks optimize talent training, internal management control, risk management, and intelligent information system construction. Cultivating professional sponsorship talents with comprehensive skills, reinforcing ethical standards, and conducting thorough reviews of IPO companies are crucial. Furthermore, optimizing the management system, establishing effective communication mechanisms, and enhancing risk management capabilities are essential steps. Leveraging advancements in computer technology, the construction of a secure and reliable intelligent information system is advised. As the reform progresses, investment banks should bolster international exchanges, cooperation, and professional competitiveness to evolve into reputable international brand banks.

Analisis Penerapan Sistem Pengendalian Internal Atas Akuntabilitas Pengelolaan Keuangan Desa di Desa Sidorukun Kecamatan Randangan

Septian Sulistiawan, 2024. “Analysis of the Implementation of internal Control System on Accountability of Village Financial Management in Sidorukun Village, Randangan Subdistrict”. Accounting Study Program, Department of Accounting, Faculty of Economics, Universitas Negeri Gorontalo. The Principal Supervisor: Mattoasi, S.Pd,.SE M.Si, Ph.D The Co-supervisor: Lukman Pakaya, S.Pd., MSA. This research aimed to answer how the implementation of the internal control system on accountability related to village financial management in the governmentof Sidorukun Village, Randangan Subdistrict, Pohuwato Regency. This study was qualitative research using a descriptive analysis method. The research data sources used primary and secondary data was obtained from documentation of the internal control system on the accountability of village financial management in Sidorukun Village was quite good and structured based on applicable regulations. However, in village financial management, it was found that the management of village wealth and assets was not accountable, and there was a lack of qualified human resources due to educational issues. This indicates that the internal control system in maximizing village financial management is optimal in its implementation, although there is a lack of knowledge among village officials in terms of village financial management, requiring continuous assistancefrom local government offcials.

Analysis of The Influence of Financial Information Systems, Internal Control Systems, and Information Technology on Quality of Financial Reports

The present study investigates the effects of information technology utilization, regional financial management information system implementation, and internal control system implementation on the integrity of financial reports generated by regional governments. A causal connection distinguishes the present investigation. Surveys were utilized to collect data, and questionnaires were distributed to respondents as part of the methodology. Respondents to the study were government employees. The samples used in this study were selected through convenience sampling. The research approach employed in this investigation was multiple regression analysis. According to this research, no observable correlation between local governments' degree of information technology implementation and the caliber of financial reports they generate can be identified. Nevertheless, the integrity of financial reporting can be improved through the implementation of financial management information systems and internal controls. An effective financial management information system can facilitate the production of financial reports of superior quality that adhere to specific regulations. The above system should address data security issues, timely information retrieval, report precision, report variety, and compliance with governmental financial report standards. Similarly, the enhancement of financial report quality generated by local governments can be achieved by implementing a resilient internal control system comprising communication, monitoring, the control environment, risk assessment, and control measures. The concurrent implementation of internal control systems, information technology implementation, and financial management information system establishment all contribute to improving the quality of financial reports produced by local governments.

The Influence of Procurement Compliance in Public Procurement Performance: A Case of Bahi District Council, Tanzania

Purpose: This paper aims to investigate the factors influencing procurement compliance in public procurement performance within the Bahi District Council in Tanzania.
 Design/methodology/approach: A descriptive research design was employed to gather data from 55 respondents through a closed-ended questionnaire.
 Findings: The study found that internal control systems, users’ knowledge, and ethics significantly affect procurement compliance at a significance level of p < 0.05.
 Practical implications: To enhance compliance with public procurement acts and regulations, policymakers are urged to create an enabling environment for the implementation of internal control systems, users’ knowledge, and ethical standards in public entities.
 Paper type: Empirical research.

The Role of Organizational Ethical Culture Moderating the Influence of Leadership Style and the Effectiveness of Internal Control System Implementation on Government Employee Performance

The Role of Organizational Ethical Culture Moderating the Influence of Leadership Style and the Effectiveness of Internal Control System Implementation on Government Employee Performance

Internal Control as an Aid to Accountability in the Public Service: A Case Study of Ibarapa East Local Government, Oyo State.

Internal Control System (ICS) is the process by which private or public organization governs its activities for effective and efficient operations, reliability of her financial accountability and compliance with applicable laws and regulations. This paper investigated how the implementation of ICS has aided the performance, accountability, transparency and efficient management of resources in the public service in which Ibarapa East Local Government was used as a case study. It is a survey research design and both primary and secondary sources of data were explored. The data were gathered through questionnaire, interview, source document, official gazette, circulars and local magazine (The Ibarapa News), and from key stakeholders, government officials, employees and community representatives. The data were analysed using Descriptive Statistics, the Statistics Process Control (SPC) charts and the non-parametric test – the Chi-Square. Findings revealed that the administrative and accounting internal controls strategies were perceived as normal even with the non-autonomous status of all local governments in Nigeria and also well implemented in line with the council’s management culture and other elements of internal control processes. All the null hypotheses were rejected. The Chi-square X 2c = 23.045 > X 2t = 14.067; degree of freedom (df) being 7 and at 0.05 level of significant. All the control conditions on the Statistical Process Control (SPC) chart were at Upper Control Limit (UCL) except for the Risk Assessment and Exposure influenced by ethnic social problems of banditry and other crisis. The paper concluded that ICS has aided accountability of the Local Government through efficient and prudent resource management, transparent and financial integrity, internal and external audits, prevention of misappropriation of funds, enforcement and compliance with legal and regulatory requirements, as well as risk management and mitigation. Ultimately, the study has contributed to the improvement of public sector performance, service delivery, and public trust in Ibarapa East Local Government in particular, Oyo State Local Government Service Commission in general. The study recommended that Ibarapa East Local Government should prioritize the strengthening of internal control mechanisms to enhance accountability by establishing clear lines of responsibility, providing adequate training to staff members, implementing regular internal and external audits, and fostering a culture of transparency, gender balance, and ethical behavior and quick report to resolve communal crisis.

Implementasi Sistem Pengendalian Internal dalam Upaya Mewujudkan Good Governance pada Lembaga Layanan Pendidikan Tinggi

The study aims to test the effect of the performance of the internal supervision unit, organizational culture, and organizational commitment toward the internal control system implementation for the implementation of good governance at the higher education service institution. Data analysis techniques using path analysis using data obtained from the distribution of questionnaires in 150 respondents. The results showed that the implementation of the internal control system in an effort to realize good governance was influenced by the performance of the internal supervision unit, organizational culture, and organizational commitment. The performance of the internal supervision unit has a very high influence on the implementation of the internal control system so that it is able to realize good governance in Higher Education Service Institutions.

Internal Control Weakness and Corruption: Empirical Evidence from Indonesian Local Governments

Purpose: Corruption still becomes a serious problem in Indonesia in the decentralization era. This paper aims at providing a comprehensive empirical examination regarding the effect of internal control system weaknesses on corruption in Indonesian local governments (LGs). Theoretical framework: By drawing the concept from the fraud theories and agency theory, the study explores the internal control weaknesses as corruption determinants in LGs. Design/methodology/approach: We use secondary data from the related regulating bodies in Indonesia during 2010-2018 fiscal period from 508 LGs with total of 4530 observations, analyzed with panel data regression. Findings: Our findings suggest that the corruption in Indonesian LGs has not experienced significant decrease during the observation period. The internal control system implementation also still has significant weaknesses that has not improved from 2010-2018. Our analysis demonstrates that internal control weakness positively affects corruption. Further analysis also reveals that all internal control weakness element also has positive effect on corruption, both the weaknesses in the budget, revenue, and expenditure administration, the weaknesses in accounting and financial reporting, and the structure weaknesses. Research, Practical & Social implications: Based on the research findings, our study emphasizes that the internal control system implementation in Indonesian LGs needs urgent improvement to support the prevention of corruption in local level. The policymakers are required to take strategic efforts for internal control system reform in the LGs to reduce the likelihood of corruption by irresponsible local authorities. Originality/value: The study fills the limitation in Indonesian corruption literature by providing one of the earliest empirical investigation that comprehensive covers the whole Indonesian regions.

STUDY OF IMPLEMENTATION AND GOOD CORPORATE GOVERNANCE INTERNAL CONTROL SYSTEM (Case Study In a Family Firm)

This research aims to examine the implementation of Good Corporate Governance (GCG) and the implementation of the company's Internal Control System. Data analysis used the positivism philosophy method in a family business company engaged in the manufacturing industry since 1946. Informants were determined by purposive sampling, namely, taken from the top management, middle management, and staff groups. Data analysis techniques in this study used a case study approach through interviews. Research results: GCG implementation is not following best practices by this family business company, and Internal Control System implementation has not become aware by management.

The Effect of SISKEUDES Implementation, Village Apparatus Training, and Internal Control System on The Quality of Village Financial Reports

This study aims to determine the effect of SISKEUDES implementation, village apparatus training, and internal control system on the quality of village financial reports in Simeulue Regency, Aceh Province. The population included 138 villages in Simeulue Regency with a census sample of 138 villages. The respondents comprised three people in each village, with a total of 414 respondents. This study performed multiple linear regression using the SPSS (Statistical Package For Social Science) program for data analysis. The results showed that the implementation of SISKEUDES, technical training, and internal control systems show a positive and significant effect on the quality of village financial reports in Simeulue Regency. The implementation of SISKEUDES has positive effects on the quality of village financial reports in Simeulue Regency. The technical training and the internal control system also showed positive effects on the quality of village financial reports in Simeulue Regency. The implication of the finding is expected to be the basis for policymakers to implement SISKEUDES, technical training for village officials, and the implementation of an internal control system. This also becomes a practical guideline for villages to manage their finances.

The Impact of Internal Control Defects on Enterprises’ Commercial Credit Financing

Internal control indicates the quality of a firm’s financial information, and thus influences the trust relationship between the firm and its trading partner. This paper based on the previous analysis assumes that internal control quality would affect trade credit financing got from trading partner. Based on the sample of listed companies in the scope of implementation of internal control system from 2014 to 2017, this paper uses multiple regression model. This study reveals that there is a significant negative correlation between material weaknesses of internal control and the trade credit financing, which supports our hypothesis that a firm gets less trade credit financing when material weaknesses are found in its internal control system.

Internet Financial Report And Determinants of The Quality of Financial Statements of Non-Profit Organizations

The purpose of this research was to assess the elements that influence the quality of non-profit financial statements and the moderation of voluntary disclosures on the Internet Financial Report. " Human Resource Competence, Implementation of Financial Accounting Standards for Non-Profit Organizations, Internal Control Systems, and Accounting Information Technology Use on the Quality of Financial Reports of Non-Profit Organizations with Voluntary Disclosure of Internet Financial Reports as Moderating Variables,". The population in this research is all non-profit organizations in the form of NGOs or NGOs in Indonesia. The research sample is focused on NGOs and NGOs registered with the Ministry of Foreign Affairs until 2021, as well as partners from donor agencies USAID and AUSAID. The primary data sampling technique was convenience sampling, where respondents who were willing to fill out the questionnaire were sampled. Distribution of online questionnaires and surveys through private domains obtained 90 respondents from the financial staff of non-profit organizations that were willing to participate in this research. The data was processed using a multiple linear regression analysis. The results of this research indicate that the influence of human resource competence, the implementation of financial accounting systems for non-profit organizations, the implementation of internal control systems, and the utilization of accounting information technology affect the quality of financial reports of non-profit organizations, while voluntary disclosure of internet financial reports strengthens the relationship between the utilization of accounting information technology and report quality. Finance for nonprofit organizations.

Detrminan Kualitasl Laporanl Keuangan Pemerintah Daerah (Studi KasuslPada BPPKAD Kabupaten Situbondo)

The problem studied by the author is regarding the influence of human resource competence related to the preparation of financial reports, and the application of the internal control system at BPPKAD Situbondo Regency. The purpose of this study was to determine the effect of human resource competence related to the preparation of financial reports, and the application of an internal control system to the quality of financial reports at BPKAD Situbondo Regency. The data analysis technique used was a quantitative approach. Data was collected by distributing questionnaires to 50 respondents and 44 respondents from the questionnaire results were received back to be processed by selecting samples using purposive sampling. Tests carried out using validity and reliability tests. Data processing was analyzed using descriptive statistics with multiple linear regression analysis techniques using SPSS. Based on the results of the study concluded that Human Resource Competence (HR) has a significant influence on the Quality of Local Government Financial Reports (LKPD) and the Implementation of Internal Control Systems (SPI) has a significant influence on the Quality of Local Government Financial Reports (LKPD).

Internal Control Measures of Rural Commercial Banks Based on Risk Management

Based on the background of economic globalization, to solve the new problems faced by internal control of commercial banks, this paper analyzes the current situation of internal control of rural commercial banks, and based on risk management theory, analyzes the relationship between internal control and risk management of commercial banks. It is believed that there are still shortcomings in the internal control of rural commercial banks, such as incomplete credit rating systems, outdated internal control systems, and low efficiency in information internal transmission, insufficient internal regulatory system and other issues. Starting from risk management, proposing internal control measures for rural commercial banks requires strengthening credit rating systems, strengthening the construction and implementation of internal control systems, constructing safe and efficient information communication channels, and improving internal regulatory mechanisms, aiming to help rural commercial banks enhance their comprehensive strength in risk prevention.

ANALISIS PENGENDALIAN INTERNAL TERHADAP PIUTANG LEASE: STUDI KASUS PADA PERUSAHAAN PEMBIAYAAN PT. FIF

Abstract
 The implementation of internal control system might help the company to achieve its goals effectively, efficiently and compliance. Effective internal controls might also give assurance to shareholders, and stakeholders' that financial statements provide the propriate quality information. Internal control systems might also help detect and prevent the emergence of fraud, especially those committed by company insiders. As a leasing company in Indonesia, PT. FIF has certainly executed an internal control system that help making the company's activities effectively, and efficiently. Account receivables are one of company assets that must be managed and monitored effectively so as to help the company achieving the goal; those are profits and cash flow streams. However, some companies have not realized the importance of internal control. It occurs in PT. FIF, a leasing company in Jakarta. 
 Using the COSO internal control framework, the research with qualitative descriptive methods aims to analyze the implementation The data and information were taken from interviews, observations and documentation. The results show that generally the company has been implemented all five elements of internal control based on the COSO framework. The control environment, risk assessment has been effective with establishing Structure, Responsibility, and Authority, commitment to competence, Standard Operational and Procedure (SOP), etc, especially in the collection division. While, controlling activity has not been done effectively. There is no separation of task clearly, and file or data documentation. Double job or assignments might provide opportunities for errors, fraud, whether it is intentional or not. The other element is information and communication is already done, both top down and bottom up communication channel. While, the last component is that monitoring activities have not been practice well. Management's role in the internal control system is critical to its effectiveness. Managers, auditors, don't have to look at every single piece of information to determine that the controls are functioning and should focus their monitoring activities in high-risk areas. Spot-checking transactions can provide a reasonable level of confidence that the controls are functioning as intended.
 Keywords: Internal Control, Accounts Receivable, lease, COSO framework

Determinan Persepsi Kualitas Laporan Keuangan Satuan Kerja Kementrian Negara/ Lembaga di Semarang

The opinion of the Financial Audit Board on the Financial Reporting of the Ministry of State / Institutions (Laporan Keuangan Kementrian Negara/Lembaga, LKKL) has a positive trend every year, but the summary of the results of the semester examination (IHPS) 2 of 2020 still contains 1956 examination findings related to the implementation of internal control system (sistem pengendalian internal, SPI) and compliance with regulations in the applicable Law. This research uses agency theory which aims to analyze and obtain empirical evidence about determinant of qualitity of LKKL perception. Independent variables in this study are compliance with regulations, human resource competencies, compliance with SPI and utilization of information technology, while the financial report quality as a dependent variable. The population in this study is the entire work unit of the Ministry of State / Institutions in the working area of the Semarang State Treasury Service Office utilizing purposive sampling techniques. The research data used primary data from the questionnaire. The sample in this study amounted to 141 responses, utilizing the Structural Equation Model-Partial Least Square (SEM-PLS) analysis technique. The data processing tool used for this research test is WarpPLS" 6.0. This study tested 4 (four) hypotheses with the results of the analysis showing a positive and significant influence of regulatory compliance, compliance with SPI and utilization of information technology on the quality of LKKL. Meanwhile, human resource competence cannot show a significant influence on the quality of LKKL.

KORRUPSIYA VA MANFAATLAR TO‘QNASHUVINING OLDINI OLISHDA KOMPLAENS NAZORAT TIZIMINING O‘RNI (DAVLAT VA XUSUSIY SEKTOR MISOLIDA)

This article discusses the positive achievements and mechanisms for overcoming corruption and conflicts of interest-based on the requirements for modern civil servants and provides a detailed analysis of the implementation of internal control systems. The system of complex control and its capabilities, its historical development and its role in preventing corruption and conflicts of interest are scientifically investigated. The positive experience and opportunities for the implementation of the complex control system in foreign countries, international organizations, and non-governmental organizations have been analyzed through national and foreign literature. Through the analysis of normative and legal acts of the Republic of Uzbekistan, the tasks set for the introduction of a comprehensive control system, the current situation and legal gaps are studied on the example of the public and private sectors. The external factors to be taken into account in the implementation of the complex control system, and the possible risks have been studied on the basis of scientific sources. Based on national and foreign experience, scientific proposals and conclusions of scientists, opinions, suggestions, and recommendations on the effective organization of a comprehensive control system in the prevention of corruption and conflicts of interest in the country were put forward.

Determinan Kinerja Manajerial Pemerintah Desa Di Kabupaten Bantul

This study aims to empirically examine the effect of management commitment, budgetary participation, and internal control systems implementation on the managerial performance of the village government. The population of this study were all villages in Bantul Regency in which 32 villages were selected as samples. The sampling technique uses the convenience sampling. Research data in the form of primary data obtained by distributing questionnaires directly to respondents. The data analysis technique employs multiple linear regression. The classical assumption test on the research data has been carried out prior to hypothesis testing. The results show that there are no classical assumption problems in the research data, so that hypothesis testing can be carried out. The results show that management commitment, budgetary participation, and internal control system implementation positively influence the managerial performance of the village government. The results of this study provide practical implications that are significant to consider for village governments to improve their managerial performance.

Internal Control and Risks Mitigation in Tourism Sector in Portugal

The Covid-19 pandemic affected the operational risk of organizations, requiring its management through Internal Control Systems (ICS). The tourism sector in Portugal, one of the largest and most competitive, was also one of the most affected by the pandemic, which emerged in March 2020. The main purpose of this paper is to analyse the perception of tourism managers about the relationship between the existence of internal control and risk mitigation in their companies. We present a quantitative study carried out by questionnaire, sent to 830 managers from tourism companies in the region of Porto, Portugal. Most participants consider crucial the implementation of ICS and a competitive advantage in the current pandemic context. They also consider that the implementation of ICS is not accessible to all companies, but its absence does not necessarily make them more fragile. The study also concludes that besides internal control, the role of the Portuguese Government was crucial to overcome the difficulties caused by the pandemic and to ensure companies’ recovery. Financial support from the government allows companies to invest in procedures to overcome the pandemic situation, such as strengthening cleanliness measures, focusing on new technologies and creating products and/or services more attractive to consumers. This study contributes to the perception of tourism managers about internal control, highlight the need to implement risk analysis routines to manage risks that may threaten the company activities and highlight the government´s role in business recovery.

Effect of Audit Committee Characteristics on the Financial Performance of Deposit Taking SACCOs in Kenya

This study sought to assess the effect of Audit committee characteristics on the financial performance of deposit taking SACCOs in Western Kenya. The study was anchored on Economic Value Added, Agency. Primary and secondary data was collected and analyzed using correlational research design. Purposive sampling was used to select respondents from the population and the sample size was 120 respondents drawn from the SACCO’s top management. The study employed census survey technique with the response rate at 93%. Pre-validated questionnaires had a reliability alpha of α = 0.874 audit committee characteristics and α = 0.873 financial performance internal consistency. Results revealed indicating that audit committee characteristics accounted for 65.1% variance in financial performance and has a strong effect on financial performance. The study recommends that SACCOs should prioritize the implementation of internal control systems and improve the audit committee’s effectiveness with focus on independence and expertise.