The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey Study

Focusing on providing added value to the organization by examining and improving business operations, the primary goal of internal audit is to help achieve business objectives. Business performance is generally expressed as the level of success shown in reaching the goals. . In this direction, the m...

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Main Authors: Yılmaz Uzun, Sinan Aslan
Format: Article
Language:English
Published: Istanbul University Press 2023-03-01
Series:Muhasebe Enstitüsü Dergisi
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Online Access:https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/D1350252983F4D9F8930A064F04D2084
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author Yılmaz Uzun
Sinan Aslan
author_facet Yılmaz Uzun
Sinan Aslan
author_sort Yılmaz Uzun
collection DOAJ
description Focusing on providing added value to the organization by examining and improving business operations, the primary goal of internal audit is to help achieve business objectives. Business performance is generally expressed as the level of success shown in reaching the goals. . In this direction, the main purpose of the study is to determine the relationship between internal audit and business performance in industrial enterprises. In this context, it was examined whether the senior management’s support, the internal audit’s independence, the internal auditors’ professional competencies and the internal control system have an effect on the financial performance (return on assets, return on equity and net profit margin). In the study, the data obtained through applicaiton of a questionnaire on the manufacturing industrial enterprises in Borsa Istanbul were analyzed with Kruskal-Wallis H Test, a non-parametric method via SPSS (Version 26). As a result of the analysis; it has been determined that the return of asssets had a significant relationship with senior management support, professional competence and internal control system; and a non-significant relationship with the independence of internal audit. It has also been determined that the return on equity had a significant relationship with senior management support, professional competence and internal control system; and a non- significant relationship with the independence of internal audit. Also, a non-significant relationship was detected between net profit margin and senior management support, professional competence, internal control system and the independence of internal audit.
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spelling doaj-art-00c4ff36a43e40c0919f735b89a88c362025-08-20T03:52:38ZengIstanbul University PressMuhasebe Enstitüsü Dergisi2667-69822023-03-016811410.26650/MED.1149150123456The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey StudyYılmaz Uzun0https://orcid.org/0000-0002-4751-6288Sinan Aslan1https://orcid.org/0000-0002-4245-142XMilli Eğitim Bakanlığı, Ankara, TurkiyeMarmara Üniversitesi, İstanbul, TürkiyeFocusing on providing added value to the organization by examining and improving business operations, the primary goal of internal audit is to help achieve business objectives. Business performance is generally expressed as the level of success shown in reaching the goals. . In this direction, the main purpose of the study is to determine the relationship between internal audit and business performance in industrial enterprises. In this context, it was examined whether the senior management’s support, the internal audit’s independence, the internal auditors’ professional competencies and the internal control system have an effect on the financial performance (return on assets, return on equity and net profit margin). In the study, the data obtained through applicaiton of a questionnaire on the manufacturing industrial enterprises in Borsa Istanbul were analyzed with Kruskal-Wallis H Test, a non-parametric method via SPSS (Version 26). As a result of the analysis; it has been determined that the return of asssets had a significant relationship with senior management support, professional competence and internal control system; and a non-significant relationship with the independence of internal audit. It has also been determined that the return on equity had a significant relationship with senior management support, professional competence and internal control system; and a non- significant relationship with the independence of internal audit. Also, a non-significant relationship was detected between net profit margin and senior management support, professional competence, internal control system and the independence of internal audit.https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/D1350252983F4D9F8930A064F04D2084internal auditbusiness performanceperformance measurement
spellingShingle Yılmaz Uzun
Sinan Aslan
The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey Study
Muhasebe Enstitüsü Dergisi
internal audit
business performance
performance measurement
title The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey Study
title_full The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey Study
title_fullStr The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey Study
title_full_unstemmed The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey Study
title_short The Effect of Internal Audit on Business Performance in Industrial Enterprises and a Survey Study
title_sort effect of internal audit on business performance in industrial enterprises and a survey study
topic internal audit
business performance
performance measurement
url https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/D1350252983F4D9F8930A064F04D2084
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AT sinanaslan effectofinternalauditonbusinessperformanceinindustrialenterprisesandasurveystudy