IDEAS home Printed from https://ideas.repec.org/a/ibn/ijbmjn/v12y2017i9p186.html
   My bibliography  Save this article

The Role of Internal Auditing in Controlling the Performance for Jordanian Industrial Companies: Empirical Evidence

Author

Listed:
  • Faris Soud Alqadi

Abstract

The aim of this study is to investigate the role of internal auditing in controlling the performance of Jordanian industrial companies. To achieve the study objective, the researcher distributed a questionnaire to (150) of the employees in the Jordanian industrial companies, (91) questionnaires were returned which was (60.67%). In addition, the study attempted to verify the basic hypotheses and that of the study. On order to analyze the data, the researcher used the Mean, Standard Deviation, Percentages, and T-test. The result of the study revealed the presence of a very high degree relationship between the independence and objectivity of the internal auditor and his ability to control financial and administrative performance with (89.2%), also there is a very high degree relationship between the adoption of clear criteria-tools for internal auditor and his ability to control the financial administrative performance with (75.76%). Based on the result of hypotheses tested, the two null hypotheses of the study were rejected. In the light of the finding, the researcher gave a number of recommendations that are necessary to achieve the competitive advantages and quality assurance. The results of this study revealed that the internal audit function is one of the basic functions in Jordanian industrial companies and the internal auditor has the ability to discrimination indicator mistakes and distortions in the records and financial statements.

Suggested Citation

  • Faris Soud Alqadi, 2017. "The Role of Internal Auditing in Controlling the Performance for Jordanian Industrial Companies: Empirical Evidence," International Journal of Business and Management, Canadian Center of Science and Education, vol. 12(9), pages 186-186, August.
  • Handle: RePEc:ibn:ijbmjn:v:12:y:2017:i:9:p:186
    as

    Download full text from publisher

    File URL: http://www.ccsenet.org/journal/index.php/ijbm/article/download/69232/38121
    Download Restriction: no

    File URL: http://www.ccsenet.org/journal/index.php/ijbm/article/view/69232
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Arwa H. Amoush, 2017. "The Internal Auditing Procedures Effectiveness in the Jordanian Commercial Banks," International Business Research, Canadian Center of Science and Education, vol. 10(3), pages 203-214, March.
    2. Gjesdal, F, 1981. "Accounting For Stewardship," Journal of Accounting Research, Wiley Blackwell, vol. 19(1), pages 208-231.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mohammad Naser Musa Hamdan, 2017. "The Relationship between Network Security Policies and Audit Evidence Documentation: The Accounting Information Security Culture as a Mediator," International Journal of Business and Management, Canadian Center of Science and Education, vol. 12(12), pages 168-168, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Winter, Peter, 2007. "Managerial Risk Accounting and Control – A German perspective," MPRA Paper 8185, University Library of Munich, Germany.
    2. Rã‰Al Labelle, 1990. "Bond covenants and changes in accounting policy: Canadian evidence," Contemporary Accounting Research, John Wiley & Sons, vol. 6(2), pages 677-698, March.
    3. Dirk E. Black & Ervin L. Black & Theodore E. Christensen & Kurt H. Gee, 2022. "Comparing Non-GAAP EPS in Earnings Announcements and Proxy Statements," Management Science, INFORMS, vol. 68(2), pages 1353-1377, February.
    4. Ole‐Kristian Hope & Wayne B. Thomas, 2008. "Managerial Empire Building and Firm Disclosure," Journal of Accounting Research, Wiley Blackwell, vol. 46(3), pages 591-626, June.
    5. Barbara Schöndube-Pirchegger & Jens Robert Schöndube, 2017. "Relevance versus reliability of accounting information with unlimited and limited commitment," Business Research, Springer;German Academic Association for Business Research, vol. 10(2), pages 189-213, October.
    6. Gick, Wolfgang, 2015. "A Theory of Delegated Contracting," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113069, Verein für Socialpolitik / German Economic Association.
    7. Armstrong, Christopher S. & Kepler, John D., 2018. "Theory, research design assumptions, and causal inferences," Journal of Accounting and Economics, Elsevier, vol. 66(2), pages 366-373.
    8. Anthony D. Miller & David Oldroyd, 2018. "An Economics Perspective on Financial Reporting Objectives," Australian Accounting Review, CPA Australia, vol. 28(1), pages 104-108, March.
    9. Bui, Dien Giau & Chen, Yehning & Chen, Yan-Shing & Lin, Chih-Yung, 2023. "Managerial ability and financial statement disaggregation decisions," Journal of Empirical Finance, Elsevier, vol. 74(C).
    10. Zhang, Ying & Andrew, Jane, 2022. "Financialisation and the Conceptual Framework: An update," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 88(C).
    11. Neu, D. & Warsame, H. & Pedwell, K., 1998. "Managing public impressions: environmental disclosures in annual reports," Accounting, Organizations and Society, Elsevier, vol. 23(3), pages 265-282, April.
    12. David Alexander & Anne Le Manh-Béna & Olivier J. Ramond, 2013. "Can the conceptual framework be all things to all (wo)men?," Post-Print hal-00991959, HAL.
    13. Christian Blecher, 2009. "Die Bilanzierung von Aktienoptionsprogrammen aus Sicht der Messperspektive," Schmalenbach Journal of Business Research, Springer, vol. 61(6), pages 603-627, September.
    14. Nahum D. Melumad, 1989. "Asymmetric information and the termination of contracts in agencies," Contemporary Accounting Research, John Wiley & Sons, vol. 5(2), pages 733-753, March.
    15. Ashita Agrawal & Pitabas Mohanty & Navindra Kumar Totala, 2019. "Does EVA Beat ROA and ROE in Explaining the Stock Returns in Indian Scenario? An Evidence Using Mixed Effects Panel Data Regression Model," Management and Labour Studies, XLRI Jamshedpur, School of Business Management & Human Resources, vol. 44(2), pages 103-134, May.
    16. Hermalin, Benjamin E. & Katz, Michael L., 1994. "Corporate Diversification and Agency," Department of Economics, Working Paper Series qt3568z5kq, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
    17. Bushman, Robert M. & Smith, Abbie J., 2001. "Financial accounting information and corporate governance," Journal of Accounting and Economics, Elsevier, vol. 32(1-3), pages 237-333, December.
    18. Smith, Julia A. & Cordina, Renzo, 2014. "The role of accounting in high-technology investments," The British Accounting Review, Elsevier, vol. 46(3), pages 309-322.
    19. Baber, William R. & Kang, Sok-Hyon & Kumar, Krishna R., 1998. "Accounting earnings and executive compensation:: The role of earnings persistence," Journal of Accounting and Economics, Elsevier, vol. 25(2), pages 169-193, May.
    20. Pierre Jinghong Liang, 2000. "Accounting Recognition, Moral Hazard, and Communication," Contemporary Accounting Research, John Wiley & Sons, vol. 17(3), pages 458-490, September.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ijbmjn:v:12:y:2017:i:9:p:186. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.