EFFECTIVENESS OF INTERNAL AUDITS AMONG SELECTED HEALTH CARE FAITH

Abstract

The effectiveness of internal audits is critical for ensuring accountability, transparency, and resource management within healthcare Faith-Based Organizations (HFBOs), especially those operating in resource-limited contexts. In Tanzania, HFBOs play an essential role in healthcare delivery, managing significant resources and public funding. Despite their importance, limited research addresses the effectiveness of internal audits in these organizations, particularly in terms of professional competence, auditor independence, and adherence to standards. This study investigates the effectiveness of internal audits within selected HFBOs in Arusha City, Tanzania, using qualitative methods to explore perceptions among auditors, management, and board members. Employing a descriptive research design, data were collected from 80 respondents across 28 HFBOs through focus group discussions (FGDs). The study applied thematic analysis to evaluate responses regarding professional competence, independence, and standards adherence. Findings reveal key challenges, including limited ongoing training and professional development, significant management influence on audit processes, and inconsistent adherence to the International Standards for the Professional Practice of Internal Auditing (ISPPIA). These issues are exacerbated by resource constraints and outdated auditing procedures, which compromise the effectiveness of internal audits. The study concludes that enhancing auditor training, establishing policies to safeguard auditor independence, and implementing systematic standards compliance are essential for improving audit quality in HFBOs. Recommendations include increasing investment in auditor capacity-building, adopting updated audit software, and developing regulatory frameworks to protect auditor autonomy. This study contributes to the limited body of knowledge on internal auditing within HFBOs, offering insights to strengthen governance, transparency, and accountability in faith-based healthcare organization