Internal Control Variables Research Articles

The Relationship Between Internal Control And Compensation Appropriateness For Accounting Fraudulent Actions In Retail Companies

The background of this research is how to find accounting fraud in a retail company, which consists of internal control variables and compensation suitability. Therefore, with accounting fraud, it can be prevented from an early age so that retail companies can continue to move forward in the future. The method used in this study is to use the literature review method and use quantitative methods by conducting a survey to 22 retail companies in order to find out frauds that exist in retail companies. The problem in this research is how to find out accounting fraud in a retail company that raises variables from internal control and compensation suitability with the two variables, it will be known what fraudulent actions occurred in retail companies so that retail companies can progress and develop so that they do not the loss is getting worse. The purpose of this study is how to find out accounting frauds in a retail company, because the fraud can make a retail company close and go bankrupt. Therefore, with preventive measures, it can be seen what things can prevent the company from cheating.

Pengaruh good governance dan pengendalian internal terhadap kinerja aparatur pemerintah desa pada Kecamatan Wonodadi

The purpose of this study was to determine the effect of implementing good governance and internal control on the performance of village government officials in 11 villages in Wonodadi District, Blitar Regency, either partially or simultaneously. The method used in this research is quantitative with the type of associative research. The sampling technique used was random sampling and used the Slovin formula, which obtained a sample of 88 respondents ang 86 data that could be processed. The data analysis in this study used validity test, reliability test, classical assumption test, and multiple regression analysis. The resultsof this study partially show that the implementation of good governance and internal control variables has a sinificant positive effect on the performance of village gpvernment officials in 11 villages in Wonodadi District, Blitar Regency. Simultaneously the application of good governance and internal control has a signficant positive effect on the performance of village government officials in 11 villages in Wonodadi District, Blitar Regency.

PENGARUH PENGENDALIAN INTERNAL DAN TUNJANGAN TERHADAP KINERJA PEGAWAI PADA PENGADILAN TATA USAHA NEGARA BANDAR LAMPUNG

This study aims to analyze the effect of internal control and benefits on employee performance at PTUN. The sample was determined by saturated sampling technique and obtained 42 PTUN employees. This research is a type of quantitative research. Data analysis methods used in this study include reliability test, validity test, R2 determination test, multiple regression analysis test, f test (simultaneous), t test (partial). The results of the study indicate that the internal control variables and allowances have a positive and significant effect on employee performance at the Bandar Lampung State Administrative Court as seen from the significant value of 0.000 0.05. The results of this study are expected that the internal control variables can be used as guidelines by management in improving employee performance. Keywords: internal control, benefits and employee performance.

Understanding the relationship between organizational culture and inbound open innovation

PurposeThe relationship between corporate culture and inbound open innovation (OI) has been limited to two sub-constructs: a culture for openness and an innovation culture, but until now a richer conceptualization of corporate culture is missing.Design/methodology/approachThe authors apply Quinn and Rohrbaugh's (1983) competing values framework and regress these together with company internal and external control variables on five measures of inbound OI, reflecting product innovation, process innovation and the sourcing of innovation activities. The authors use data from a survey of more than 250 Swiss companies, primarily SMEs.FindingsThe importance of the firms' market environments suggests that the results are affected by the specific situation in which the firms found themselves at the time of the survey: after a strong currency shock, inbound OI activities seem to be a reaction to external pressure that favored planning and rule-oriented (formal) cultures to implement cost-cutting process innovations.Practical implicationsCompanies should develop a vision and a strategy, ensure open and transparent communication, have suitable reward and support mechanisms in place, adjust structures and processes, and institutionalize and formalize any change whenever they are confronted with a situation that requires a quick reaction and an adjustment to their degree of openness.Originality/valueThe paper clarifies the relationship between cultural traits and inbound OI, using a well-established understanding of corporate culture and differentiating between innovation types. It points to the importance of the external environment in order to understand the role of culture.

PENGARUH PENGENDALIAN INTERNAL DAN KOMITMEN ORGANISASI DALAM PENCEGAHAN FRAUD PENGADAAN BARANG (STUDI KASUS PADA RSUD BENDAN KOTA PEKALONGAN)

This study aims to obtain information about internal control and organizational commitment in the procurement process at Bendan City Hospital, Pekalongan. The factors tested in this study were internal control and organizational commitment as independent variables. Meanwhile, prevention of procurement fraud is the dependent variable. This research is a research with a quantitative approach. The variables in this study consisted of Internal Control, Organizational Commitment and Fraud Prevention in Pekalongan. The population in this study were all employees at Bendan City Hospital Pekalongan. The sample in this study were employees at Bendan City Hospital Pekalongan. Data collection techniques were by giving questionnaires to employees and analyzed using multiple linear regression test with EVIEWS software version 8.1. The results of hypothesis testing show that partially the internal control variables and Organizational Commitment have a significant effect on the variable procurement fraud prevention. Meanwhile, simultaneously the independent variable, namely the internal control variable and the organizational commitment variable, is significant towards the dependent variable, namely the variable procurement fraud prevention variable.

Tekanan Eksternal, Faktor Politik, Pengendalian Internal Dan Gaya Kepemimpinan Dalam Meningkatkan Transparansi Pelaporan Keuangan Pemerintah Daerah

This study aims to test and prove whether external pressures, political factors, internal control and leadership styles have an influence on financial reporting of local government transparency. This research was conducted in OPD Siak district. The total population was 33 DPOs, all DPOs were sampled. The data used are primary data with a questionnaire as an instrument. Purposive sampling as a sampling method. The number of samples is 99 respondents. Respondents in this study were selected with several criteria, namely: (1) echelon II, III, IV officials who work in the Siak Regency government, (2) have a minimum work experience of 1 year, (3) financial employees who have worked for at least 1 year , because it is considered that they have experience and already know the developments in the OPD in Siak Regency. Multiple linear regression as a data analysis technique and assisted by SPSS ver.20.0 for windows. The results prove that the political factors, internal control and leadership style variables have a positive effect on financial reporting transparency. The external pressure variable has a negative effect on financial reporting transparency. The results of this study are useful for developing insights and providing in-depth understanding relating to financial reporting transparency influenced by external pressures, political factors, internal control, and leadership styles. It is also hoped that it can become a reference material for comparison information for other studies that wish to discuss this issue, and it is hoped that it will become an alternative for the government in evaluating the transparency of financial reporting, especially local governments in Siak Regency.

Pengaruh Pengendalian Intern, Tata Kelola Dan Gaya Kepemimpinan Terhadap Kinerja Pengelola Keuangan

This study aims to analyze 1) the effect of supervision on the tinancial management performance, 2) Obtain empirical approval of the requirements for managing financial governance, 3) the influence of leadership style on the performance of financial managers. In this study using Causality Design. The population in this study is the Regional Work Unit (SKPD) in Solok Regency which collects 27 SKPD. The population in this study was 27 SKPD. The method of analysis is multiple linear regression. The result of the study found 1) Control of apprenticeship in support of financial management in the Regional Work Unit of the Solok Regency, 2) Governance supports of financial management of the Solok District Work Unit, 3) Leadership style that supports financial management in the Regional Work Unit of Solok Regency, 4) Together the internal control variables, governance and leadership style are jointly agrees on the performance of financial managers in the Solok District Work Unit.

PENGARUH EFEKTIVITAS PENGENDALIAN INTERNAL, KETAATAN ATURAN AKUNTANSI DAN PERILAKU TIDAK ETIS TERHADAP KECENDERUNGAN KECURANNGAN AKUNTANSI (STUDI PADA PERUSAHAAN BADAN USAHA MILIK NEGARA DI AMBON)

This study aims to test and analyze empirically the effect of the effectiveness of internal control, obedience to accounting rules, and unethical behavior on the tendency of accounting fraud in State-Owned Enterprises (BUMN) in Ambon City. The population of this research is employees of State-Owned Public Company in Ambon city. Data collection using a questionnaire technique (questionnaire) which was distributed to 32 respondents in this study. The analytical tool used to test the hypothesis using multiple regression models. The results of this study indicate that the effectiveness of internal control variables has an effect on the tendency of accounting fraud, adherence to accounting rules has an effect on the tendency of accounting fraud and unethical behavior also affects the tendency of accounting fraud.

The Impact of Supply Chain Integration and Internal Control on Financial Performance in the Jordanian Banking Sector

The aim of this paper is to use a recently developed framework of supply chain integration (SCI) to examine the influence of a set of relationships between SCI and internal control on financial performance in the Jordanian banking sector. SCI consists of external integration and internal integration. External integration includes customer integration and supplier integration. This study utilizes survey data from 249 employees in the Jordanian banking sector and tests the research framework and hypotheses using exploratory factor analysis. The impact of supply chain internal and external integration and internal control significantly affected financial performance. The impact of the examined factors on financial performance is as follows, in decreasing order: internal integration, supplier integration, customer integration, and internal control. This study’s contribution to supply chain management is in its integration of SCI and internal control variables to propose a practical framework for the banks to use, and its development of a measurement tool for managers to determine the effects of internal and external integration and internal control on financial performance.

PENGARUH PENGENDALIAN INTERNAL, KESESUAIAN KOMPENSASI DAN BUDAYA ORGANISASI TERHADAP KECENDERUNGAN PRAKTEK KECURANGAN

This study aimed to analyze the influence of internal control (PI), Compensation Compliance (KK) and Organizational Culture (BO) to Tendency of Fraud Practices (PK) in Electricity Company incorporated in the Association of Indonesian Electricity Contractors, especially DKI Jakarta. Through good internal control is expected to reduce the action to commit fraud. Data collection techniques through survey using primary data. Data processing using SPSS software version 20. The results showed that simultaneously Internal Control variables (PI), Compensation Compliance (KOM) and Organization Culture (BO) have a significant effect on Tendency of Fraud Practices (PK). Coefficient of Determination (R2 ) shows the number of Adj R 0.352 which means 35.2% dependent (Y) Tendency of Fraud Practices (PK) influenced by three independent factors (X) while the rest of 64.8% is influenced by other variables.

Inferencia estadística de las variables del control interno en una entidad hospitalaria de acuerdo con la percepción de sus actores

Al ser un aspecto que se aplica a múltiples procesos, el control ha sido denominado de diferentes maneras: control de gestión, financiero, administrativo, de calidad, de producción o interno. En la actualidad, los directivos se enfrentan a la difícil tarea de entender su funcionamiento, una labor notable por su complejidad, pues es efectuada en primer lugar por la dirección y el resto del personal. El objetivo de este artículo es realizar una inferencia estadística de las variables del control interno en una entidad hospitalaria, con información derivada de la percepción de sus actores. Con ese propósito, se desarrolló un instrumento de veintiséis ítems que abarcan los cinco componentes del control interno. En concordancia, se recurrió a unas de las ciencias pertinentes para el análisis de inferencias: la estadística multivariada, la cual es representada por el análisis factorial y el clúster. Como resultado, se obtienen los componentes según la debilidad de las variables, que son medidas de acuerdo con la percepción de los actores, su validez y su fiabilidad. Además, esta proporciona una estrategia a los directivos de la entidad hospitalaria que es objeto de estudio, de acuerdo con el diagnóstico de las variables del control interno.

THE EFFECT OF INTERNAL AUDITORS AND INTERNAL CONTROL ON COMPANY PERFORMANCE (Case study in Sukoharjo Regency)

The purpose of this study is (1) to determine the effect of internal auditors on Company Performance (2) to determine the effect of internal controls on company performance. This research was conducted in 4 manufacturing companies in Sukoharjo regency. The number of respondents in this study is 50 respondents from 50 questionnaires that have been distributed. Respondents in this study are internal auditor staff who work in a company. The method used is purposive sampling method. Data analysis method uses multiple linear regression analysis and the process of using SPSS 22. Determination of the coefficient of adjusted R Squared testing results of 0.37 indicates that 37% of the company's performance variables can be explained by internal auditor and internal control variables, while 63% is explained by factors other than research. From the tests that have been carried out f test and t-test, the research shows that (1) internal auditors affect the company's performance as evidenced by comparing the value of t count> t table at a significant 5% is 2,175> 2,0129 (2) internal control affects the company's performance with the proof proved by comparing the value of t count> t table at 5% significant is 4,751> 2,0129.

Peran Manager Puncak Sebagai Pemoderasi Tekanan Eksternal, Komitmen Organisasi dan Pengendalian Internal Pada Kinerja Anggaran

This study aims to analyze the extend of the role of top manager can influence the relationshio of external pressure and internal control on the public organization’s budget performance. The samples are used in this study were 91 questionnaires are filled based on employees and strucural officials perceptions who are directly involved in the budgeting process at KPK. This study aims to analyze the extend of the role of top manager can influence the relationshio of external pressure and internal control on the public organization’s budget performance. The samples are used in this study were 91 questionnaires are filled based on employees and strucural officials perceptions who are directly involved in the budgeting process at KPK. The method of analysis used in processing the data using the method of Ordinary Least Square (OLS) model of multiple regression equation with residual test. Dependent variable in this study is budget performance. Independent variables are external pressure, organizational commitment and internal control. The role of top manager is used as a moderating variable. The results show that the role of top managers can influence the relationship of external pressure and internal control on budget performance. External pressure, organizational commitment and internal control variables have an individual effect on budget performance with a significance <0.005.

PENGARUH PENGENDALIAN INTERNAL DAN INTEGRITAS PADA KECENDERUNGAN KECURANGAN AKUNTANSI (Studi Kasus Pada Dinas SKPD Kota Mataram)

This study aims to determine the Influence of Internal Control and Integrity on Fraud Accounting Trend (Case Study on SKPD Office of Mataram City). This type of research includes associative research. The population used is the employees who are on the SKPD Office of Mataram City, while the number of samples taken are as many as 60 employees who are at the Office SKPD Mataram using purposive sampling techniques. Data collected are primary data in the form of questionnaire. The data has been collected and then analyzed using multiple linear regression analysis, by utilizing SPSS for Windows application program. The result of data processing shows that the internal control and integrity variables have a negative and significant effect on accounting fraud. Next for internal control and integrity variable simultaneously have significant effect on the tendency of accounting fraud in office SKPD Kota Mataram.

The Impact of Internal Control Systems on Financial Performance: The Case of Health Institutions in Upper West Region of Ghana

The significance of upholding effective internal control system in organizations have been persistently and immensely emphasized, due to its positive effects on financial performance. Efficient internal control enables the prevention and detection of fraudulent activities in the institution. In line with this, persistent efforts by policy makers to pursue policies that would improve internal control system in the ministry of health have yielded abysmal results with regards to financial performance in health institutions in the Upper West Region of Ghana. This study sought to determine the impact of internal control variables on financial performance among five health institutions in the region using an ordered logistic regression model for a sample of fifty (50) respondents. We found a positive relationship between internal controls and financial performance. But only three of the control variables remained significant with pvalues less than 5%. It is recommended that the governing body of the institutions, possibly supported by the audit reports implementation committee (ARIC), ensure that the appropriate internal control systems recommended by the auditors in health institutions are monitored periodically.

PENGARUH PENGENDALIAN INTERN DAN TINDAK LANJUT TEMUAN AUDIT TERHADAP KUALITAS LAPORAN KEUANGAN YANG BERIMPLIKASI TERHADAP PENCEGAHAN FRAUD

The Influence of Internal Control and Audit Findings Follow-up Toward the Quality of Financial Statement Which Imply in Preventing Fraud. This research aimed to find out the influence of internal control and audit findings follow-up toward the quality of financial statement which imply in preventing fraud. The analysis sample of this research was all Government Universities (Perguruan Tinggi Negeri) in West Java which was 15 of those universities were the population of this research (census). Besides giving questionnaires and having interview, doing observation and studying documentation of divisions that handle the financial report in each university were necessary to get the secondary data and interview result of Internal Auditor, if the university was part of Internal Auditor. According to the output of counting path analysis by using Lisrel 8.3 program, it was concluded that the internal control (20.27%) was more dominant than the audit findings follow-up (12.27%) in influencing the quality of financial statement and the influence of financial statement quality in preventing fraud was 2.89%. Based on the whole internal control variables, audit findings follow-up, and quality of financial statement altogether showed the influence toward the fraud prevention was 35.96%.

Theory of Mind Deficit Is Associated with Pretend Play Performance, but Not Playfulness, in Children with Autism Spectrum Disorder

Objective/BackgroundThis study aimed to examine the relationships of theory of mind (ToM) to both pretend play and playfulness in children with autism spectrum disorder (ASD).MethodsTwenty children with ASD aged between 3 years and 7.11 years were assessed with the ToM test, and then placed in a free play condition and a pretend play condition to assess pretend play and playfulness with the Child-Initiated Pretend Play Assessment and Test of Playfulness, respectively. In addition, the children's symptom severities of ASD and verbal abilities were also assessed with the Childhood Autism Rating Scale (CARS) and Receptive and Expressive Vocabulary Test—second edition, respectively.ResultsThe results of the regression analysis confirmed that ToM significantly predicted pretend play variables, namely, Number of Object Substitutions (R2 = .158, p = .002) and Number of Imitated Actions (R2 = .175, p = .001), but not playfulness. The CARS score was a significant predictor of the Percentage of Elaborate Pretend Play Actions of pretend play (R2 = .075, p = .034), as well as the internal control (R2 = .125, p = .006) and framing (R2 = .071, p = .039) variables of playfulness.ConclusionThe findings support the idea that children with ASD who have better ToM might be able to develop better pretend play, but not better playfulness, which might be more strongly related to their autistic severity.

The influence of internal audit and internal control on fraud prevention in Bandung regency government

This research is conducted in Bandung regency government. The phenomenon that occurs is the case of internal control weaknesses, such as accounting and reporting control weaknesses, as well as cases of weakness of internal control structure. The existence of such fraud is non-compliant with the regulations resulting in a loss of area and the surrender value of assets or deposit cash into countries/regions. The research objectives are to determine how big the influence of internal audit is on fraud prevention and internal control on fraud prevention in District of Bandung Government. The methods used in this research are descriptive and verification method. Descriptive method is used to determine the variable picture of internal audit, internal control variables and variables of fraud prevention. To determine the effect of internal audit and internal control statistical tests were performed. The test statistic used is designing the structural model, designing a measurement model, construct the path diagram and test the model fit. Suitability test structural models and hypotheses were tested using software SmartPLS 2.0.M3.The result of this research reveals the coefficient of correlation between internal audit on fraud prevention is 0.422. The internal audit influence on fraud prevention in District of Bandung Government in percentage is 8.566%. The rest of it with a value of 91.434% is influenced by other factors unobserved in this research. The correlation coefficient between internal control on fraud prevention in District of Bandung Government is about 27.878%. The rest of it with a value of 72.122% is influenced by other factors unobserved in this research.

Correlates of External Quality Assessment and Improvement Programs in Internal Auditing: A Study of 68 Countries

ABSTRACT We use survey responses from 1,053 chief audit executives (CAEs) of public companies located in 68 countries to investigate the theoretical correlates of the use of external quality assessment and improvement programs (ExternalQAIP) for the Internal Audit Function (IAF). Our test variables are (1) internal quality assessment and improvement programs (InternalQAIP) and its related components and IAF performance measures, (2) chief audit executive competence, (3) audit committee involvement with the internal audit, (4) IAF age, (5) IAF outsourcing status (in-house or outsourced), and (6) the nature of the IAF's work (work performed by IAF). We find support for our hypothesized associations between various measures of InternalQAIP and ExternalQAIP. We also find significant and positive results for associations between audit committee involvement and IAF age and ExternalQAIP. However, we do not find significant results for in-house or outsourcing of internal audit activities, CAE competence, or control variables. Our results should be of interest to management, CAEs, corporate boards, regulators, and external auditors. Data Availability: Please contact The Institute of Internal Auditors Research Foundation (IIARF) that owns the CBOK (2010) database used in this study.

Internal control effectiveness – a clustering approach

Purpose – This study aims to examine and visualize the adopted internal control structure and effectiveness in firms and present a typology of firms. Control structure and effectiveness are measured based on the assessment of management, rather than using reported material weaknesses as most studies do. This type of evaluation is more purposeful for firms that do not apply the Sarbanes-Oxley Act. Internal control frameworks provide only broad guidance concerning internal control concepts, leaving the details to the adopting firms. Design/methodology/approach – The survey data (from 741 CEOs) are clustered using the self-organizing map, a visual artificial neural network approach. A three-dimensional effectiveness proxy is used. Findings – The analysis reveals four alternative types of internal control effectiveness in firms and visually presents how the components of the internal control structure are associated with each one. A typology of internal control structure and effectiveness is then created. Practical implications – The findings suggest that there are interrelated, but not straightforward, relationships between internal control variables and that there is a link between some of them and higher internal control effectiveness in practice. These findings have important implications for those responsible for improving or assessing internal control, such as management, personnel and internal and external auditors. Originality/value – This paper uses a clustering approach to create a typology for alternative types of internal control structure and effectiveness, based on data from actual firms. Instead of using material weaknesses as a measure, this study uses managers’ own assessments of internal control effectiveness.