Effect of internal control systems on service delivery in non-governmental organizations (NGOS) in Uganda:

Abstract

This study examined the Effect of internal control systems on service delivery in NGOs in Uganda. To resolve to study this topic the researcher was prompted by the many NGOs in Uganda with almost full funding available by the sponsors and across the whole country yet with all those resources there still evidently seen poor service delivery in NGO work . Even with almost the best internal control systems in place, NGOs still are not utilizing them properly to service deliver on their promises to the poor. The research was based on the following objectives. To examine the effect of Control Environment on service delivery ,to examine the effect of Internal Audit on service delivery and to examine the effect of Control Activities on service delivery in World Vision Uganda. The research design was case study following both quantitative and qualitative approaches and the study was also cross sectional in nature carried out from Western and Eastern Uganda. Simple random sampling techniques were used in selecting the most of sample, also purposive sampling was used to select key informants of the study. Questionnaire was the main instrument of data collection and the Statistical Package for Social Sciences (SPSS) was used for analysis. Information got using interview guide was very useful during interpretations and making conclusions too. The findings of the study revealed that that according to the study objective one, control environment positively affects service delivery( r=0.390 , p <0.01), a significant relationship between internal audit and service delivery (r=0.127) although the relationship is weaker than the control environment and control activities. Also on the third objective, the findings showed a significant positive relationship between control activities and service delivery (r =0.451, p < 0.01). In general there is a significant positive relationship between the two variables studied (Internal Control Systems and Service Delivery). Furthermore, the findings showed that strong internal control systems are significant determinants of good service delivery. In addition, it was revealed that there were also other predictor of service delivery apart from an organization having in place good internal control systems. Therefore researcher recommends that NGOs should establish or strengthen their internal control systems in order to enhance service delivery so as to ensure efficient, effective, and equitable service delivery. More so NGOs should emphasize policy implementation, recruiting competent/knowledgeable staff, putting in place systems to monitor and evaluate performance, and providing refresher courses on leadership and management to management and other staff.