Impact of Auditing for the Enhancement of Accountability in Public Sector
CHAPTER ONE
OBJECTIVES OF THE STUDY
The broad objectives of this study involve the following:
- To examine auditing as effective tool for enhancing accountability in Ministry of Finance, Uyo, Akwa Ibom State.
- To examine how auditing could enhance effective revenue generation and curb extravagant spending of government funds by officers of Ministry of Finance, Uyo.
- To determine the extent to which auditing could be used to influence the behaviour of public officers on management of public funds.
- To find out how auditing could serve as a check on government accounting system by which public funds could be safe-guarded from waste, fraud and inefficient management.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
Integrity System for Accountability in Public Sector
Initially the Roman philosophers developed integrity as a moral notion that has a general meaning of moral uprightness and/or wholeness (Bauman, 2013). The theory of integrity concept has been discussed not only in ethics area but also in many fields such organizational behaviour, human resource management, psychology as well as leadership (Bauman, 2013; Trevinyo-Rodríguez, 2007). In organizational view point, integrity or ethical behaviour refers to not only being corrupted or fraudulent but it lies in quality or characteristic of individual or organizational behaviour that represents the quality of acting in accordance to the moral values, standards and rules accepted by the organization’s members and society (Kolthoff et al., 2010); Bauman, 2013). It is also considered as a matter of coherence and consistency between organisational aims, personal values and beliefs, and individual behaviour (Badaracco & Ellsworth, 1991). Therefore, it is assumed to have a direct influence on organizational action and decisions or moral choices (Trevinyo-Rodríguez, 2007), and the management has an important role in shaping the integrity of an organization (Kaptein, 2003). Integrity is deliberately needed for establishing relationships of trust, within the boardroom and with stakeholders (Coulson-Thomas, 2013). While in the government, according to Mutula & Wamukoya (2009), their ultimate aim is to safeguard the public interest through an efficient and effective governance system that enhances protection of rights, demonstrates accountability and integrity in their daily activities and also its public officers. Mintrop (2012) fund the initiative by the government in encouraging the good value, ethics and integrity has a positive impact on accountability. Jones (2009) added that strength of integrity is indicated by good balance between external demand values, and perceived needs, rooted from culture that takes external performance responsibilities especially to the public which lead to accountability. Allocating the resources to cultivate organizational environments which lead to the increment of democracy perception levels will support the building of organizational and operational integrity. Integrity stimulates employees to comply and helps to instil values that support a commitment to ethical conduct. Therefore, integrity system is very important to play a major role in ensuring accountability and transparency within the organization.
CHAPTER THREE
RESEARCH METHODOLOGY
RESEARCH DESIGN
The researcher used descriptive research survey design in building up this project work the choice of this research design was considered appropriate because of its advantages of identifying attributes of a large population from a group of individuals. The design was suitable for the study as the study sought to Impact of auditing for the enhancement of accountability in public sector
SOURCES OF DATA COLLECTION
Data were collected from two main sources namely:
Primary source and Secondary source
Primary source: Personal interview was conducted with the staff of first bank of Nigeria plc.
Secondary source: The secondary formed the major theoretical part that was derived through critical review of library and also other related literature (material written by others researchers).
CHAPTER FOUR
PRESENTATION ANALYSIS INTERPRETATION OF DATA
Introduction
Efforts will be made at this stage to present, analyze and interpret the data collected during the field survey. This presentation will be based on the responses from the completed questionnaires. The result of this exercise will be summarized in tabular forms for easy references and analysis. It will also show answers to questions relating to the research questions for this research study. The researcher employed simple percentage in the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was to evaluate the effect of auditing guidelines on the manufacturing company’s company
In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges the of auditing guidelines on the manufacturing company’s company.
Summary
This study was on the effect of auditing guidelines on the manufacturing company’s company. Four objectives were raised which included: To examine the completeness that all transactions and asset, liability and equity account have been recorded, to identify claim that the company holds the assets and owes the liabilities on the balance sheet, to evaluate those assets, liabilities and equity are held in the financial statement at the correct amount, to find out that the transactions that resulted in the figures on the income statement actually took place. In line with these objectives, two research hypotheses were formulated and two null hypotheses were posited. The total population for the study is 200 staff of ministry of finance, Uyo. The researcher used questionnaires as the instrument for the data collection. Descriptive Survey research design was adopted for this study. A total of 133 respondents made up directors, cahiers, administrative staff and junior staffs was used for the study. The data collected were presented in tables and analyzed using simple percentages and frequencies
Conclusion
In a time like this when government reporting and transparency are being questioned, it is as a priority, important for government to establish a greater level of trust between themselves and their constituents. To establish trust it is important for government to provide complete and accurate information on the assets and liabilities; revenue and expenses of the government. Lawmakers and the public look to audits for assurance that public sector actions are ethical and legal, and that financial statement accurately reflect the true measure of operations of the government. Ability to provide complete and accurate information on the asset and liabilities; revenue and expenses of government depicts proper transparency and accountability, boosts credibility and provide clear and precise information on the financial consequences of social, economic and political decisions taken by the government.
Finally, accountability is an emerging tri-lateral relationship between the auditor, the auditee and the stakeholder that is expected to upgrade accountability practices in the public sector. Audit which mainly focuses on highlighting the anomalies, irregularities and disparities within the financial or managerial working of an organization, cannot evolve without a self-realization on the part of the stakeholders about their roles, duties and the collective responsibility of the civil society. Auditing systems transform changes and enhance the process of public accountability. Therefore everybody, every individual, every citizen of a country is a stakeholder in this process of public accountability.
Recommendation
The leaders should be prioritised as it effects directly to the public sector accountability. The government training systems and facilities should be strengthened. The conducive environment around the public sector’s organisation is vital to develop human capital which shares the vision and mission with the stakeholders. Leaders are needed to guide the followers to the right path. Perhaps, by applying variety sets of leadership styles in different situation and organisation, it could nurture the ability of the department in instilling accountability within its employees and environment as well as the public sector at large.
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