Internal Audit Research Articles

An analysis of heavy silicone oil treatment for inferior proliferative vitreoretinopathy

PurposeProliferative vitreoretinopathy (PVR) is a complication of retinal detachment which requires multiple vitreoretinal surgical interventions and frequent use of oil endotamponade. In this study, we conducted an in-depth analysis of complications associated with the use of heavy silicone oil in the management of inferior PVR.MethodsA retrospective cohort study of 20 eyes that underwent vitrectomy for inferior PVR with use of heavy silicone oil (Densiron 68) between March 2021 and October 2022 at Oxford Eye Hospital. Complications were classified into major categories relating to intraocular pressure, inflammation, lens, and oil emulsification/migration. Visual outcomes and surgical success rate were also evaluated.ResultsFill-induced pressure spikes (> 30 mmHg) within 14 days post-surgery were common after Densiron tamponade, especially in patients previously on glaucoma drops. The number of glaucoma drugs were increased in 45% of patients during Densiron tamponade. In 20% of cases, an increased medication was continued long-term after Densiron removal. Significant cataract progression occurred in all phakic patients. In 25% of pseudophakic cases, posterior capsule opacification was noted. Inflammatory complications, such as anterior uveitis, were rare and any cystoid macular oedema was transient. No unexplained acute loss of vision following Densiron removal was encountered. The anatomical success rate at 30 days after Densiron removal was 70%. The mean (± SD) best-corrected visual acuities were 1.04 (± 0.79), 0.85 (± 0.62) and 0.50 (± 0.51) logMAR prior, during and after Densiron tamponade, respectively.ConclusionThe outcomes in this cohort treated with Densiron 68 were comparable to previously reported anatomical and functional results in cases with inferior PVR. IOP and lens-related complications require additional treatment during or after Densiron tamponade. Inflammatory complications rarely occurred over tamponade durations of around three months.Trial registrationAnalyses were conducted as an internal quality improvement audit and as such did not require external IRB review.

Budgetary Risk and the Role by Internal Financial Audit in it is Management

Budgetary Risk and the Role by Internal Financial Audit in it is Management

RETRACTION: The Interplay of Corporate Governance, Internal Audit Effectiveness, and Sustainable Financial Reporting Quality in Tanzanian Commercial Banks

<scp>RETRACTION</scp>: The Interplay of Corporate Governance, Internal Audit Effectiveness, and Sustainable Financial Reporting Quality in Tanzanian Commercial Banks

Pentingnya SOP dalam Meningkatkan Kualitas Pelayanan Ketatausahaan di Sekolah Dasar

Standard Operating Procedures (SOPs) have an important role in creating information transparency, improving work efficiency, minimizing errors, and supporting the development of educators and education personnel's skills. This study uses a qualitative descriptive approach. The data used came from literature studies, direct observations, and interviews with administrative staff and teachers involved in school operations. The analysis process includes data reduction, data presentation, and conclusion drawing. The results of the analysis show that one of the components in managing administration in elementary schools to ensure the sustainability and quality of education is the Standard Operating Procedures or SOPs. Thus, a well-designed SOP is able to create information transparency, improve work efficiency, minimize errors, and support the development of the skills of educators and education personnel. The implementation of SOPs at SD IT Rocha Indonesia shows that although formal SOPs have not been fully implemented, initial steps such as digitization of archives, regular evaluations, staff training, and internal audits have supported more structured administrative management. Constraints such as technological limitations, manual attendance systems, and lack of formal guidelines can be overcome through the development of relevant SOPs and systematic implementation

Determinants of Internal Auditor Effectiveness and Its Impact to the Quality of Financial Reporting in Supporting Achievement of Sustainable Development Goals (SDGs) at Religious Universities in Indonesia

Objective: This study was conducted to determine the effect of personality, competence, objectivity, and performance on the effectiveness of internal auditors, and their impact on the quality of financial reporting in supporting the achievement of Sustainable Development Goals (SDGs). Methods: This study used a descriptive quantitative method where data were collected by circulating questionnaires to 84 state religious universities in Indonesia with a sample of 299 respondents. Data analysis was carried out using the Partial Least Square-Path Modeling (PLS-PM) approach. Results and Discussion: The results of the study prove that there is a positive and significant effect of personality, competence, objectivity and work performance on the effectiveness of internal auditors, personality is an intangible resource that can improve the function of the internal auditor framework, competent, skilled and experienced auditors can improve their audit performance and efficiency. The role of internal auditors in higher education that has been carried out so far is only as a verifier, reviewing budget absorption, reviewing the implementation of faculty and institutional activities, and has not conducted a comprehensive audit of financial statements as carried out by the inspectorate of the ministry of religion and the Supreme Audit Agency so that the achievement of Sustainable Development Goals (SDGs) cannot be maximized. Research Implications: This research is a development of knowledge that is expected to contribute to the development of Internal Audit science, especially in the public sector in this case the internal control unit of religious universities in Indonesia. Originality/Value: Personality variables are a development of Al-Bawwat at al's research (2021) where in previous researchers, Openness to experience, emotional stability, conscientiousness and extraversion became a variable while in this study each became an indicator, added with two other indicators, namely perseverance and trust (Sharma, 2018); Cherry &amp; Susman (2023).

Simplified Internal Audits of the Welfare Quality Protocol in Dairy Farms: Are They Effective in Improving Welfare Practices?

The Welfair® certificate has become an important part of food chain integrity for animal welfare assessment in several countries, relying on a rigorous audit that verifies compliance with legislation and assesses animal welfare through the Welfare Quality Protocol (WQP). Dairy cattle farmers are encouraged to conduct internal audits beforehand to self-assess the farm's animal welfare level. Since early 2023, the Welfair® scheme has proposed simplified audits to shorten the time needed for internal audits. Ten measures are selected from the WQP, five of which must always be assessed: body condition, water provision, lameness, integument alterations, and pain management in disbudding. The main objective of this study was to determine whether analyzing the results of these five key indicators helps in identifying welfare problems, ultimately leading to a better final score. To test this, seven Portuguese commercial dairy farms were randomly selected to conduct a simplified internal audit followed by a certification audit. Considering the circumstances of our study, the visits proved essential to promoting better welfare practices, which positively influenced the final classification. However, areas that require improvement (such as the lack of an accurate risk analysis of the simplified audits provided by the Welfair® scheme) were identified and are discussed.

Enhancing Audit Quality: Key Factors and the Role of Rewards in Government Internal Audits at the Financial Audit Agency of North Sumatra

Numerous audit findings identified by the BPK, rather than the inspectorate—tasked with serving as an internal auditor and an early warning system—indicate that the quality of government internal audits remains inadequate. This observation suggests that the internal audit processes within government institutions have yet to achieve an optimal standard. The principal aim of this study is to analyze the influence of internal supervision, audit probity, public accountability, and auditor competence on the quality of government internal audits. Additionally, the study examines the role of rewards as a moderating variable within the context of the BPK RI North Sumatra Representative. The study utilized a saturated sampling technique to select 48 participants, and data collection was conducted via questionnaires. Statistical analysis was performed using the MRA (Multiple Linear Regression Analysis) method with SPSS version 25. The findings from partial statistical tests reveal that neither internal supervision nor audit probity significantly impacts the quality of government internal audits. Conversely, public accountability and auditor competence demonstrate a positive and significant relationship with internal audit quality. When analyzed collectively, internal supervision, audit probity, public accountability, and auditor competence collectively contribute positively to the quality of internal audits. However, rewards do not serve as a moderating factor for the relationships between internal supervision, audit probity, public accountability, and audit quality. In conclusion, this study provides critical insights into the determinants of government internal audit quality. The results underscore the vital role of public accountability and auditor competence in enhancing the effectiveness of internal audits. Nonetheless, greater efforts are required to strengthen internal supervision and audit probity to achieve overall improvements in audit quality.

Pengaruh Kompetensi, Independensi dan Due Professional Care terhadap Kualitas Internal Audit

Based on the results of observations, the background to this research is the fluctuation in the number of employees and internal auditors, as well as fluctuations in the number of case findings discovered by internal audit which are thought to be caused by various factors. This research aims to determine the influence of Competency, Independence and Due Professional Care both partially and simultaneously on the Quality of Internal Audit at Bank BJB Syariah Braga Bandung Head Office. The research objects in this report are employees at Bank BJB Syariah Braga Bandung Head Office. This type of research is quantitative research with an associative approach and the type of data used is primary data processed using the IBM SPSS Statistics 26 application, with data collection techniques in the form of observation, interviews, literature studies and questionnaires. The sampling technique is probability sampling with simple random sampling. The population in this research is all employees at Bank BJB Syariah Braga Bandung Head Office, totaling 384 people with a sample of 80 people. The research results show that Competence, Independence and Due Professional Care partially influence the Quality of Internal Audit at Bank BJB Syariah Braga Bandung Head Office by 70.1%, 53% and 65.9%, and simultaneously influence is 71.1%.

The Impact of Digital Transformation on Internal Auditing and Financial Performance of Iraqi Banks

This study investigates the extent to which regulatory systems for electronic accounting information systems, with conventional controls, are implemented in banks. The research employs a questionnaire divided into two main sections : the first section focuses on the personal characteristics of the study sample, while the second section is divided into eight themes. These themes cover the bank's commitment to deregulation of electronic accounting systems, regulatory controls on access to information, security and protection of files, documentation and development of the electronic accounting system, input and output controls, operations, and the risks associated with electronic accounting information systems. Key recommendations include improving control procedures, protecting software and hardware, and adopting clear regulations for responsibilities and powers within banks. The study underscores the importance of continuous internal audits and the development of efficient electronic accounting information systems to mitigate risks and enhance the overall performance of Iraqi private banks.

Application of AI technology in audit risk assessment and control: Taking internal audit of higher education institutions as an example

With the rapid development of artificial intelligence (AI) technology, its application in the field of auditing has gained increasing attention. This paper explores the application of AI technology in audit risk assessment and control (ARAC), aiming to improve audit efficiency and effectiveness. First, the paper introduces the basic concepts of AI technology and its application background in the auditing field. Then, it provides a detailed analysis of the specific applications of AI technology in audit risk assessment and control, including data analysis, risk prediction, automated auditing, continuous monitoring, intelligent decision support, and compliance checks. Finally, the paper discusses the challenges and opportunities of AI technology in audit risk assessment and control, as well as future research directions.

The impact of using ChatGPT on internal audit quality: a case study of a subsidiary of an oil group in Morocco

The integration of artificial intelligence (AI) has brought transformative changes across industries, including the field of internal auditing. With AI technologies evolving, internal auditors are exploring innovative tools to enhance audit quality and efficiency. This study investigates the impact of using ChatGPT on the quality of internal audits in a subsidiary of a major oil group in Morocco. To achieve this objective, we analyzed internal audit processes and evaluated how ChatGPT’s AI-driven capabilities influence audit performance. Data was collected from a sample of 23 auditors working within the subsidiary and analyzed using SPSS (linear regression). The results revealed that ChatGPT’s perceived utility was strongly correlated with improvements in internal audit quality, particularly in explaining technical elements and concepts that are outside the auditors’ typical training, thus enhancing the accuracy and depth of their analyses.

Development of Internal Quality Audit Information System with Personal Extreme Programming (PXP) Approach

Internal Quality Audit (IQA) is an important process to ensure the quality of implementation of activities in educational institutions in accordance with established standards. However, the implementation of IQA that is still carried out manually or semi-digitally can hamper the effectiveness, efficiency, and accuracy in data management and reporting of audit results. Therefore, an information system is needed that can support the audit process in a more systematic and integrated manner. This research examines the development of an internal quality audit system using the Personal Extreme Programming (PXP) approach that is carried out iteratively. The purpose of this study was to evaluate the effectiveness and efficiency of the system developed through four iterations, each of which focused on developing key features such as user management, document management, audit process, and assessment. The PXP methodology was applied to provide flexibility in responding to user feedback, with each iteration resulting in rapid improvements and adjustments according to emerging needs. The results showed that the developed system met the audit management objectives with high functionality, ease of use, and improved efficiency at each iteration. In addition, this iterative approach allows the system to be more responsive to changing user needs compared to conventional development methods. Overall, this research supports the use of PXP as an effective methodology in the development of internal quality audit systems, demonstrating that it can produce solutions that are adaptive, efficient, and suited to user needs.

A Sponsor's Best Practice and Operating Principles to Manage Data Monitoring Committees.

The use of data monitoring committees (DMC) to safeguard patients' safety in clinical trials has evolved over the last decades and has become increasingly common. To ensure well-operating and high-performing DMCs, pharmaceutical companies need to establish clearly defined operational processes while continuously seeking to optimize these and adapt to the needs of drug development. Although there are health authority guidelines on establishing and managing a DMC, the perspectives and experiences of sponsors are often underrepresented. This publication shares insights on a sponsor, Novo Nordisk (NN), regarding principles and practices for DMC establishment and management across varying trial types and therapeutic areas, including challenges and solutions. Highlighting NN's structured and successful approach to DMCs, it details clearly defined roles and responsibilities that ensure productive DMC meetings and high-quality data for the DMC. Additionally, NN's practices for clear, transparent, and trustful communication between the sponsor, the DMC, and the independent external statistical vendor are described. Processes for quality control, internal audits, and learnings from inspections and how these are incorporated for continuous improvement of the DMC process are discussed. While the processes and practices described are primarily designed for medium and large pharmaceutical companies, certain aspects may also be relevant and beneficial for smaller companies.

Evaluation and Standardisation of the Approach to Using Environmental Isolates in the AstraZeneca Microbiology Laboratories

A thorough evaluation and standardisation of the use of environmental isolates (EIs) in AstraZeneca's microbiology laboratories was performed. The study was prompted by the increasing use of EIs in pharmaceutical microbiology laboratories over the past two decades and aimed to ensure robust methods for recovering all types of microorganisms that may pose a risk to the quality of medicines. The cost, time and robustness of the testing performed with environmental isolates was identified as an area for continuous improvement by internal audit of site procedures. The review identified a wide variety of interpretations of where and what to include for EIs in growth promotion tests, methods, and disinfection efficacy studies across AstraZeneca's microbiology laboratories, leading to potential overuse. The study involved a global cross-site review that utilized a risk assessment process, involving 10 expert pharmaceutical microbiologists with significant industry experience and a risk management subject matter expert. The review assessed various uses of environmental isolates, such as growth promotion testing, disinfectant qualification studies, and method suitability testing, with a focus on regulatory requirements, external audit commitments, and scientific rationale. Regulatory guidance for the use of environmental isolates was reviewed, and a requirement for their use was noted in specific documents, such as the EU Guidelines for Good Manufacturing Practice for Medicinal Products² and various USP chapters. The literature review provided external viewpoints and aligned with the approach within AstraZeneca, confirming the need for a risk assessment in the use of isolates. The paper concludes by outlining the scientific rationale for the use of environmental isolates and provides guidance on when and how to select the most appropriate EIs for different test types. The study resulted in the production of a global guidance guideline, allowing sites to implement a standard approach to the use of EIs, leading to a significant reduction in their overuse and a standardisation across the business. The conclusion emphasises the importance of utilising environmental isolates where they add the most value or where they are required by regulations. This paper provides valuable insights into the evaluation and standardisation of the approach to using environmental isolates in AstraZeneca's microbiology laboratories, offering a foundation for a global standard and a reduction in their overuse.

ANALISIS BIBLIOMETRIK AUDIT OPERASIONAL MENGGUNAKAN VOSVIEWER DI INDONESIA DENGAN PUBLISH OR PERISH

Operational audits serve to assess the effectiveness and efficiency of a company's activities, and provide recommendations for improvement. In an increasingly complex context, these audits have become essential to ensure that companies can meet stakeholder expectations and improve overall performance. This research focuses on a bibliometric analysis of operational auditing in Indonesia, using VOSviewer and Publish or Perish software to explore the characteristics of publications in this field. The main objective of this research is to identify research trends and patterns in the field of operational auditing through a bibliometric approach. The research data was obtained using the Publish or Perish (POP) application. The data collected was obtained from search results containing the keyword “operational auditing” obtained through Google Scholar. This study identified a total of 500 articles from 2000 to 2024. The results showed that the number of operational auditing studies conducted between 2000 and 2024 continued to increase. The analysis showed a close relationship between various keywords that reflect the main focus of the research, such as “technology audit” and “internal audit”.

Enterprise internal audit data encryption based on blockchain technology.

Internal auditing demands innovative and secure solutions in today's business environment, with increasing competitive pressure and frequent occurrences of risky and illegal behaviours. Blockchain along with secure databases like encryption improves internal audit security through immutability and transparency. Hence integrating blockchain with homomorphic encryption and multi-factor authentication improves privacy and mitigates computational overhead. Recently, blockchain applications for internal audits in the enterprise sector are still emerging. Thus, blockchain technology in auditing provides the benefits of enhanced transparency and immutability in data processing, which can establish new solutions for internal auditing but still lacks encryption techniques. The research proposed a framework called "BlockCryptoAudit" to enhance internal audit processes through cryptographic encryption methods and blockchain technology, ensuring secure and transparent audit operations. The proposed approach integrates an additive homomorphic Paillier encryption scheme with blockchain to create a safe and tamper-resident audit trail. Utilizing homomorphic Paillier encryption, BlockCryptoAudit ensures that computations may be performed on encrypted audit data while safeguarding data privacy. The applied blockchain hyperledger component guarantees the immutability and transparency of encrypted audit records, resulting in a decentralized and tamper-resistant record. By limiting data accessibility to authorized individuals based on specified responsibilities, role-based access restrictions handled using smart contracts further strengthen security. The study protects audit data's security and confidentiality by encrypting it and putting it on a blockchain. The study compares the proposed BlockCryptoAudit with models like B-OAP, BSE-DF, and EG-FLB regarding risk mitigation, audit quality, security overhead, and audit trail effectiveness. With little security overhead, BlockCryptoAudit beats out B-OAP, BSE-DF, and EG-FLB in terms of risk mitigation (98%) and audit quality (99%). It is an effective way to improve internal audit processes and guarantee data integrity due to its high performance.

Internal Audit Governance Factors and their effect on the Risk-Based Auditing Adoption of Commercial Banks in Jordan

IntroductionThis paper aims to explore the impact of internal audit governance factors on the risk-based auditing adoption of commercial banks in Jordan. The population targeted in this paper were managers of the accounting and finance departments in the commercial banks listed on the Amman Stock Exchange. MethodsUsing the purposive sampling method, 339 responses were obtained in the final sample, which constituted a validity rate of 73.7%. Structural equation modeling (SEM) was adopted as a statistical approach for hypotheses assessment. ResultsThe findings of this paper confirmed the positive impact of internal audit governance factors, including internal audit attributes, audit committee attributes, risk management system, and internal control system, on risk-based auditing adoption. ConclusionA set of recommendations was provided to bank managers, such as enhancing the Board's supervision and monitoring of the internal audit function's actions by encouraging Board members to grasp risk-based auditing thoughts and the value it delivers to the Bank.

The moderating effect of the effectiveness of the internal audit function on the relationship between CAATS and corporate governance and the quality of financial reports in commercial banks: Evidence from the Kingdom of Saudi Arabia

This study sought to determine how CAATS, corporate governance (CG), and EIAF positively and directly influence the quality of financial reports (QFR). In addition to identifying the moderating effect of EIAF on the links between CAATS, CG and QFR in Saudi commercial banks. To this end, data was collected from 293 participants, including administrative managers, board members, internal auditors, certified public accountants, and staff members from the audit and internal audit departments as well as the accounting departments. Using structural equation modelling (SEM) via SmartPls, data was analyzed. The study showed that QFR is positively and significantly affected by CAATS, CG, and EIAF. Moreover, EIAF does not moderate the effect of CAATS and CG on QFR. Hence, this study enriches accounting literature and has implications for both practitioners and policymakers.

Investigating The Effective Factors In The Internal Audit Of Organizations

Investigating The Effective Factors In The Internal Audit Of Organizations

The Impact of The Government Financial Information Management System in Improving The Quality of Internal Auditing in Government Departments: A Case Study of The Maternity and Children’s Hospital In Buraydah

The Impact of The Government Financial Information Management System in Improving The Quality of Internal Auditing in Government Departments: A Case Study of The Maternity and Children’s Hospital In Buraydah