AN ASSESSMENT OF INTERNAL AUDIT PRACTICE IN CASE OF LION INTERNATIONAL BANK.

Abstract

Internal audit has an important role in helping a firm to achieve its objective when it is implemented, operated, and managed effectively. Organizations which effectively implemented, operated and managed internal auditing were better able to identify their business risks and system inefficiencies for the sake of taking corrective actions and improvement in the process. The main purpose of this study was to assess the internal audit practice: the case of Lion international bank. The study used purposive sampling method and covered the head office and Branches internal auditors in Lion International Bank. This study includes both quantitative and qualitative research methods. The quantitative research method used through 30 usable self-administered questionnaires. These questionnaires were constructed in 5-point Likert scale, distributed to internal auditors of Lion International Banks, and The collected data from the questionnaires were coded, they were entered into the Statistical Package for Social Sciences (SPSS) version 26 computer package for analysis. The qualitative research method used through personal interview with selected internal audit managements. According to the research findings, the bank has strong organizational independence for internal auditors. The top management support to internal audit and management’s perception of internal audit value is good that it is facilitating the practice of internal auditing. Lion international bank should provide adequate support and encouragement for training and development of the internal audit staff. Furthermore, the management should acknowledge on the internal audit recommendations as a tool which contributes to the improvement of risk management, control and governance using a systematic and disciplined approach in the bank. The researcher mainly recommended; give attention on the development of certified personnel and internal audit work should be assessed externally by an independent reviewer.