Developing a conceptual framework for factors that influence the effectiveness of internal audit within eThekwini Municipality

Internal Audit effectiveness (IAE) is a relatively new field of study in the South African public sector. There are limited studies that have been conducted in this field, especially as it relates to Local Government. This study sought to identify factors that influence Internal Audit effectiveness for the development of a conceptual framework within the eThekwini Municipality. The study comprises of a qualitative and quantitative component. Twelve officials (92%) occupying senior management roles within Internal Audit were interviewed in the performance of the qualitative component whilst three hundred and eighty-eight (95%) municipal officials were surveyed during the performance of the quantitative component of the study. Quantitative data was analysed using the Statistical Package for Social Sciences and thematic analysis was applied to the qualitative data. The quantitative results indicate the need to improve Internal Audit Effectiveness within eThekwini Municipality. Municipal officials surveyed indicated that there were several improvement areas within specific factors influencing IAE which should be implemented to improve the effectiveness of the Unit. Respondents to the qualitative component of the study agreed with the quantitative results and further confirmed key factors with an influence on Internal Audit effectiveness, namely; the Chief Audit Executive Profile, Internal Audit Team Competency, Internal Audit Independence, Internal Audit Functioning, Effective Communication, Internal Audit Status, Compliance With IIA Standards, Senior Management Support, an effective Audit Committee and support by Political office-bearers. Both components of the study agreed that the Internal Audit Unit faced challenges, in varying degrees, on all the identified factors and that reforms should be introduced to improve Internal Audit effectiveness. A conceptual framework was then developed to serve as a basis for reforms to improve Internal Audit effectiveness. Internal Audit effectiveness, therefore, is a sum of all the influences of the identified factors and improvements thereto is not caused by improving one factor. There is a need to bring change through each of the identified factors. Iqoqa: Ukucutshungulwa kwangaphakathi kwendlela yokusebenza, phecelezi i-Internal Audit effectiveness (IAE) umkhakha omusha wocwaningo ekulethweni kwezidingo zomphakathi lapha eNingizimu-Afrika. Luncane ucwaningo olwenziwe kulo mkhakha, ikakhulukazi uma kubhekwa uhulumeni wasekhaya. Lolu cwaningo luhlose ukucubungula indlela okuqhutshwa ngayo ukucutshungulwa kwangaphakathi kwendlela yokusebenza nokuthuthukiswa kwendlela yokucabanga nokwenza kuMasipala waseThekwini. Lolu wucwanigo lwekhwalithethivu kanye nekhwantithethivu. Izikhulu eziyishumi nambili (92%) eziqhoqhobele izikhundla eziphezulu kulolu hlelo lokucutshungulwa kwangaphakathi kwendlela yokusebenza kwabanjwa izingxoxo ezisakuhleleka nazo ukukhiqiza imininingo eyikhwalithethivu kwathi imininingo eyikhwantithethivu yona yakhiqizwa kubahlanganyeli abangamakhulu amathathu namashumi ayisishagalombili neshishagalombili (95%) ezisebenzi zikaMasipala. Imininingo yekhwantithethivu yahlaziywa kusetshenziswa indlela yokuhlaziya izinombolo yakwa-Social Sciences kanti ukuhlaziya imininingo yekhwalithethivu khona kwenziwa ngokusebenzisa ukuhlaziya ngokwezindikimba. Imiphumela yekhwantithethivu iveza ukuthi kunesidingo sokuba uMasipala waseThekwini uthuthukise izinga lokwenza ukucutshungulwa kwangaphakathi kwendlela yokusebenza. Izisebenzi zikaMasipala zona zaveza ukuthi lukhona ushinstho olukhona ezinhlakeni ezithize mayelana nokucutshungulwa kwangaphakathi kwendlela yokusebenza. Abahlanganyeli bekhwalithethivu bayavumelana nemiphumela yekhwantithethivu futhi baqhubeka bafakaze ukuthi kukhona izinto ezibalulekile ezigqugquzela ukucutshungulwa kwangaphakathi kwendlela yokusebenza, okubalwa kuzona; isipiliyoni salabo abenza ucwaningo, ulwazi lwalabo abenza ucwaningo, ukusebenza ngokuzimela kwalabo abenza ucwaningo, indlela elungile yalabo abenza ucwaningo, ukuxhumana okuhle, isithunzi sokucutshungulwa kwangaphakathi kwendlela yokusebenza, ukulandela imigomo yokucutshungulwa kwangaphakathi kwendlela yokusebenza, ukwesekwa ngabaphethe, ikomiti elaziyo ukuthi lenzani, kanye nokusekwa ngosopolitiki. Zombili izinhlaka zalolu cwaningo ziyavumelana ukuthi ukucutshungulwa kwangaphakathi kwendlela yokusebenza kubhekene nezinselelo eziningi ezahlukene, kuzona zonke lezi zinto ezibalwe ngenhla, ngakho-ke ushintsho luyadingakala ekucutshungulweni kwangaphakathi kwendlela yokusebenza. Uhlaka lwemicabango lwabeseluyakhiwa ukuze kutholakale indlela yokuthuthukisa ukucutshungulwa kwangaphakathi kwendlela yokusebenza. Ukucutshungulwa kwangaphakathi kwendlela yokusebenza, ngakho-ke kubandakanya izinto eziningi ezinomthelela ekuthuthukiseni indlela yokwenza, hhayi nje ukuthi kugxilwe entweni eyodwa. Kumele kulethwe ushintsho kuzona zonke lezi zinto ezibalulwe ngenhla.