Factors Influencing Effectiveness of Internal Auditing in The Public Sectors in Tanzania

Abstract

The study aimed to assess the factors influencing the effectiveness of internal audits in government-led organizations in Tanzania. It focused on four predictive variables, including management support, independence and objectivity, auditors' competence, and the application of ICT. A sample of 100 randomly selected TCB staff members participated in the data collection process through structured questionnaires, which were then analyzed using SPSS. The study employed both descriptive and inferential statistics to gauge the impact of these variables on the effectiveness of internal audits. The findings revealed that management support for auditors, independence and objectivity of auditors from top management pressure, and auditors' competence had a positive and statistically significant effect on the effectiveness of internal audits. However, the application of ICT did not significantly impact the effectiveness of internal audits. In summary, the study underscores the importance of top management support in enhancing the effectiveness of internal audit functions within public organizations in Tanzania. Furthermore, it suggests that the effectiveness of internal audits in public MDAs is closely tied to the independence and objectivity exhibited by internal auditors, who also possess significant competence. The study concludes by recommending that management in public organizations invest in and ensure the availability of capable ICT infrastructure to effectively leverage technology in audit activities and realize its potential benefits.