B USINESS, MANAGEMENT AND EDUCATION
ISSN 2029-7491 print / ISSN 2029-6169 online
2011, 9(2): 236–247
ANALYSIS OF INTERNAL AUDIT FUNCTIONING IN POLAND –
EMPIRICAL RESEARCH FINDINGS
Department of Strategic Analysis, Cracow University of Economics, ul. Rakowicka 16, 31-510 Kraków, Poland
Received 18 November 2010; accepted 15 January 2011
Abstract. The purpose of the article was to present the research conducted in companies, concerning the functioning of internal audit in Poland. During the research, the author identified a number of barriers reducing the efficiency of the cells of internal audit and audit as an instrument for company improvement. One also indicated areas which, from the point of view of internal audit efficiency as well as of the company functioning, should be improved.
Keywords: audit, system of internal audit, improvement, company, instrument. Reference to this paper should be made as follows: Bielińska-Dusza, E. 2011. Analysis of internal audit functioning in Poland – empirical research findings, Business, Management and Education 9(2): 236–247. http://dx.doi.org/10.3846/ bme.2011.16
JEL classification: H83, M42.
Proper business management, as shown by the most recent economic events, is presently becoming one of the most significant factors not only of its competitive advantage, but even of its existence. Undoubtedly, an important role may be played by internal audit. However, only its existence does not guarantee the company’s success. Therefore, the author decided to carry out an empirical research, aimed at identification of the actual condition for internal audit application in a company, the principles of its functioning, indication of barriers making it difficult to use it, specification of the scope of implemented internal audit tasks, and the possibility to use it as a tool for the company improvement.
The purpose of the article is to present and analyze the results of empirical research concerning the functioning of internal audit in Polish companies. Additionally, we will try indicating the areas of audit functioning which require improvement.
Copyright © 2011 Vilniaus Gediminas Technical University (VGTU) Press Technika www.bme.vgtu.lt
Business, Management and Education, 2011, 9(2): 236–247
2. Internal audit as evaluated by empirical research
The purpose of the research, as mentioned above, was to identify the functioning of internal audit in companies1. Due to the differences resulting from the principles of functioning and conducting internal audit in private and public companies, one decided to conduct the research in these two sectors separately2.
The entire research was conducted in the period from October 2008 to May 2009. The survey covered 137 enterprises in total (57 institutions operating in the public sector, and 80 from the private sector). The survey was sent to people who know the principles of audit functioning in the company. These were mainly managers of internal audit cells, auditors working in cells, directors, company managers, presidents or members of the management board, supervisory board3.
In the research, one applied research methods, such as: survey questionnaire, personal interviewing (direct), telephone interviewing (CATI, PAPI), document analysis technique, analysis of reference books, with particular focus on comparative analysis, diagnosis, synthesis and deduction.
Statistical methods, including non-parametric measures of stochastic dependence – measures of quality features association (i.e. V Cramér coefficient, φ Yule coefficient), Pearson’s independence test χ 2. In the case of quantitative variables – measures of location, variability and asymmetry (Bielińska-Dusza 2009)4. 1
Companies in Poland, from the point of view of the ownership form, are divided into two sectors: public and private. Public sector includes: the...
Please join StudyMode to read the full document