Assessment of effectiveness of internal control systems in the Tema Development Corporation

Abstract

The current economic trends have made it important for all institutions; both private and public to maintain effective internal control systems. Internal control has attracted intense debate and attention across industries in accounting and auditing literature over the past decades. The regulatory and institutional framework has improved significantly over the years yet still the Tema Development Corporation (TDC) in particular is faced with lots of challenges. It is against this background that this study was conducted into the effectiveness of the internal control systems of TDC. The main objective of the study is to assess the effectiveness of internal control system at TDC. Related literature was reviewed. The study adopted the explanatory research. The study population was staff of TDC. A sample size of fifty (50) respondents was used for the study.The purposive sampling technique was adopted. Data was collected through interview and questionnaire.The data collected were analysed using Statistical Package for Social Scientist (SPSS) computer software program. Summary of all findings made included: it was revealed from the study that, the control environment at TDC is effective as majority of the respondent agree to that assertion with a few not being sure of the effectiveness of the control environment.In reviewing the risk assessment component of the internal control system at Tema Development Corporation, the study found that, the risk assessment is also effective. The last element of internal control considered by the study was monitoring and this happened to be the most effective in the TDC with most respondents showing that they perceive monitoring to be effective.