Internal Control Systems and Organizational Performance
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The study was set to examine the impact of internal controls on organizational performance using a case study of Uganda Telecom Limited (UTL). The main problem of the study was that although internal controls were put in place to mitigate the occurrence of fraud, embezzlement, theft, misrepresentation, concealment and manipulation of data, UTL still experience such and this is what the study aimed at putting right. The study was aimed at achieving three specific objectives that is, to examine the influence of control environment on organizational performance, to examine the influence of risk assessment on organizational performance and to find out the influence of information and communication on organizational performance. A cross sectional study design was used to carry out the study and questionnaires and interview were employed to collect data from the sample of 104 respondents. Collected data was analyzed using correlation co efficiency and regression analysis for quantitative data and thematic anaylsis for qualitative data. The findings of the study indicated that internal controls together with its attributes of control environment, risk assessment and information and communication have a direct bearing on the performance of Uganda Telecom Limited. The study indicated that control environment account for 4% variation in organizational performance, risk assessment account for 3.5% variance in organizational performance and Information and communication account for 3% variance in organizational performance. The study recommends that there is a need to evaluate the control environment in which the business operates, risk assessment strategies and communication and information low within the organization since such components play a great part towards the performance of the organization. It can therefore be concluded that internal control systems affect greatly the performance of an organization.