Effectiveness of Internal Auditing

The study aims to investigate the factors influencing internal audit effectiveness (IAE) in the companies listed in Muscat Securities Market (MSM). The selected accounting information system (AIS) factors were reliability, relevance, flexibility and integration. A quantitative approach using structural equation modelling (SEM) was utilised as the main research design. The data was collected from a group of respondents comprising financial\accounts manager, accountant, internal auditor, audit committee member through simple random sampling. The actual survey questionnaire was distributed to 397 respondents, and the data were analysed using SEM to determine the factors influencing IAE in the companies listed in MSM. The study results indicated that AIS factors have a significant influence on IAE. The positive significant relations were reliability (β =0.255, p<0.05), followed by relevance (β= 0.200, p< 0.05), flexibility (β=0.197, p<0.05) and integration (β = 0.107, p<0.05). In conclusion, reliability is the most dominant AIS factor that influence on IAE. The main practical implication of the study is that companies listed in MSM should focus on the improvement of AIS factors to enhance IAE. To the researcher's knowledge, this study is the first of its kind in Oman that investigate the factors influencing IAE in the companies listed in MSM.

The influence of accounting information systems (AIS) on internal audit effectiveness in companies outlined on the Muscat Securities Market (MSM) is the focus of this study. The surveying, examining, comparing, and summarizing of all articles published in reputable journals in the last few years is part of the inductive technique utilized in this research. In the research reviewed, it was shown that Oman requires more deployment of accounting information systems than other developing countries. It also discovered that accounting information system is positively correlated to internal audit effectiveness than negatively linked to it. After defining the studies through a systematic review, the researchers deduced that majority of the studies on the two variables, accounting information system and internal audit effectiveness, had indicated a significant and positive impact between both. In addition, the researchers also revealed that no past researches acknowledged the mentioned correlation in the context of Oman in the companies listed in Muscat Securities Market (MSM).

ÖZ
Kurumsal yönetişim yaklaşımında denetim komitesinin
özel bir önemi vardır. Çünkü kuruluşların, faaliyetlerinde tüm paydaşların menfaatlerini koruyarak hareket
etmeleri gerekir. Bu durumu sağlamak için ise etkili bir
denetim komitesinin varlığı aranmaktadır. Tüm paydaşların menfaatlerinin korunabilmesi için denetim komitesinin taşıması gereken bazı özellikler bulunmaktadır.
Bu konuda ülkeler bazında bazı düzenleyici işlemler yapılmıştır. Ancak bütün bu çalışmaların dayandığı temel,
büyük ölçüde Ekonomik İşbirliği ve Kalkınma Teşkilatı’nın (OECD) kurumsal yönetişim ile ilgili çalışmalarıdır. Türkiye’de ise bu konuda özel sektör için Sermaye
Piyasası Kurulu’nun (SPK) düzenlemeleri önem arz etmektedir. Ancak Türk kamu yönetiminde denetim
komitesi ve benzeri bir yapılanma yoktur. Bununla
birlikte iç denetim Türk kamu yönetiminde denetim
komitesinin rolünü karşılayabilir. Fakat bunun için iç
denetim ve İç Denetim Koordinasyon Kurulu’nun Türk
kamu yönetimindeki konumu yeniden düzenlenmelidir.
Bu açıdan iç denetçilerin fonksiyonel bağımsızlığı ve tarafsızlığı çok önemlidir. İç denetçilerin bağımsızlığını ve
tarafsızlığını daha güçlü bir biçimde güvence altına alacak bir yasal düzenleme gerekmektedir.

ABSTRACT
The audit committee has a special importance in the corporate governance approach. Because organizations need
to act by protecting the interests of all stakeholders in their
activities. In order to ensure this situation, the existence of
an effective audit committee is sought. In order to protect
the interests of all stakeholders, there are some characteristics that the audit committee should have. Some regulatory actions have been taken on the basis of countries in
this regard. However, the basis on which all these studies
are based is largely the work of the Organization for Economic Co-operation and Development (OECD) on corporate governance. In Turkey, the regulations of the Capital
Markets Board of Turkey (CMB) are important for the
private sector in this regard. But, there is no audit committee or similar structure in Turkish public administration.
However, the internal audit can meet the role of the audit
committee in Turkish public administration. However, for
this, the position of the internal audit and Internal Audit Coordination Board in Turkish public administration
should be rearranged. In this respect, the functional independence and impartiality of the internal auditors is very
important. There is a need for legislation that will more
strongly ensure the independence and impartiality of the
internal auditors.