EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA

Cornelius Lagat [1] , Caroline Okelo [2]

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This study intended to establish the effect of internal control systems on financial management in Baringo County government in Kenya. Internal control systems are integral components of the management processes of a public sector institution which should be established in order to provide reasonable assurance that the financial operations are carried out transparently and accountably. The study adopted the Committee of Sponsoring Organizations of the Tread way Commission (COSO) theoretical framework for analysis of internal control systems. According to COSO framework, the internal control system is analyzed using five variables namely; control environment, control activities, risk assessment, information and communication and monitoring. The research concluded that control activities and monitoring of information communication technology, significantly influences financial management as indicated by these analysis; (F=5.836, p = 000). Control activities (â = .315, p = 0.045) and ICS monitoring (â = .432, p = 0.049) significantly predict changes in financial management, while control environment (â = .162, p = 0.186) and information and communication (â = .264, p = 0.128) does not significantly predict changes in financial management. These research findings will be of significance to the Kenyan government in formulating policies related to efficient use of government resources. The findings will also be of significance to Baringo County in strengthening its internal control systems to enhance accountability and improve on financial management.
Keywords : Internal control system, control evironment, control actities, monitoring, information and communication.
JEL Classification : G34, G38, G39

Primary Language En
Subjects
Journal Section Articles
Authors

Author: Cornelius Lagat

Author: Caroline Okelo

Bibtex @ { jefa243400, journal = {Journal of Economics Finance and Accounting}, issn = {}, eissn = {2148-6697}, address = {PressAcademia}, year = {2016}, volume = {3}, pages = { - }, doi = {}, title = {EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA}, key = {cite}, author = {Lagat, Cornelius and Okelo, Caroline} }
APA Lagat, C , Okelo, C . (2016). EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA. Journal of Economics Finance and Accounting, 3 (1), . Retrieved from http://dergipark.gov.tr/jefa/issue/22802/243400
MLA Lagat, C , Okelo, C . "EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA". Journal of Economics Finance and Accounting 3 (2016): <http://dergipark.gov.tr/jefa/issue/22802/243400>
Chicago Lagat, C , Okelo, C . "EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA". Journal of Economics Finance and Accounting 3 (2016):
RIS TY - JOUR T1 - EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA AU - Cornelius Lagat , Caroline Okelo Y1 - 2016 PY - 2016 N1 - DO - T2 - Journal of Economics Finance and Accounting JF - Journal JO - JOR SP - EP - VL - 3 IS - 1 SN - -2148-6697 M3 - UR - Y2 - 2019 ER -
EndNote %0 Journal of Economics Finance and Accounting EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA %A Cornelius Lagat , Caroline Okelo %T EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA %D 2016 %J Journal of Economics Finance and Accounting %P -2148-6697 %V 3 %N 1 %R %U
ISNAD Lagat, Cornelius , Okelo, Caroline . "EFFECT OF INTERNAL CONTROL SYSTEMS ON FINANCIAL MANAGEMENT IN BARINGO COUNTY GOVERNMENT, KENYA". Journal of Economics Finance and Accounting 3 / 1 (April 2016): -.