Effects of Internal control to the future of business

The study conducted by Jackie Lohray (2014) says that the quality control determines the integrity of the
business. In ideal scenario, internal control brings on environment that allows the company to live out its
mission and objectives. The quality of each control and how the employees cleave to procedures, control
rules and policies can affect the business in two manners, positive and negative. Internal control molds
the future of the business, either by means of failure or success.

Effects of the internal control to the profitability of the business

The research made by James Monday (2015) was made to determine the effects of internal controls on
the profitability of the small businesses in the Lagos Metropolis. Questinnaires were given to the 200
small business chosen for accesible sampling to gather primary data. Based on Committee of Sponsoring
Organization Treadway Commission (COSO) there are six determinants of internal control that include,
control environment, control activities, risk assessment, information and communication, monitoring
and information technology affects the financial and operational performance of small business. The
results showed that these determinants affects significantly the profitability of the small businesses. The
study concluded that, these determinants affects the profitabilityband survivality positively. - James
Monday, 2015

Determinants of internal control affects the growth of SME

The study by Eric Antony Ngugi Njaramba & Dr. John Karanja Ngugi (2014) shows that these skills,
entrepreneur, managerial, human resource practice and technology as internal control factors have a
significant relationship with growth of mission providers in Nairobi. The results provided that there was a
significant relationship between all the managerial varaiables and the growth of SMEs. The study
recommends that business operators must train themselves to enhance the internal control. -

Internal Control reduces fraud

The research done by Eniola, Omoniyi Jacob & Akinselure, Oluwafemi Philip, (2016) said that the
internal control has significant association with fraud committed in the organization. The study
recommends that management should keep develop more effective strategies that guarantees the
effectiveness and efficiency of the internal control, with that being done, the happening of fraud within
the organization will be reduced.

Effects of internal control to the managament

The analysis made by Nike Lake Resort Hotel (2015) among other things unveil the effectiveness of
internal control system on the improvement of the financial management. The recommendation from
this study is to suggest readers for the research on this topic. The findings are based on data analysed.
For the management to be able to obtain an understanding about the concept of internal control,
frequent lectures should be made for the top management of the organization. The management of
parastatals should take measures to guarantee that they maintain internal control to improve financial
management, reliability of the financial informations and credibility of the organization to government,
investors, leaders and the public at large.