財(cái)務(wù)會(huì)計(jì)文獻(xiàn)英譯漢

1、南華大學(xué)經(jīng)濟(jì)管理學(xué)院畢業(yè)論文英文翻譯題 目Determinants and consequences of internal control in firms: a contingency theory based analysis學(xué)院名稱(chēng) 經(jīng) 濟(jì) 管 理 學(xué) 院 指導(dǎo)教師 王 龍 輝 職 稱(chēng) 講 師 班 級(jí) 財(cái) 務(wù) 管 理 081班 學(xué) 號(hào) 20084960137 學(xué)生姓名 高 旭 2012年05月25日企業(yè)內(nèi)部控制的影響因素和后果：基于權(quán)變理論的分析摘要:為了保證企業(yè)需求內(nèi)部控制活動(dòng)的有效性和信息的可靠性以及遵守法律的適用性。因此，COCO,COSO等幾個(gè)框架顯示公司的特這個(gè)不同對(duì)內(nèi)部的控

2、制也不同。每個(gè)組織要選擇最適合的控制系統(tǒng)時(shí)，必須考慮到意外事故的風(fēng)險(xiǎn)是否切合權(quán)變理論。本文研究的是檢視這些風(fēng)險(xiǎn)特點(diǎn)的選擇是否適應(yīng)他們公司內(nèi)部控制結(jié)構(gòu)和它是否會(huì)導(dǎo)致一些更加優(yōu)惠的有效性的評(píng)估控制管理。雖然內(nèi)部控制的組成部分已進(jìn)行單獨(dú)控制，本文嘗試闡明內(nèi)部控制的關(guān)鍵點(diǎn)并將其放到更加廣闊的背景中。結(jié)果證明，基于對(duì)741芬蘭公司W(wǎng)EB調(diào)查，表明公司用內(nèi)部控制結(jié)構(gòu)來(lái)應(yīng)對(duì)環(huán)境的不確定性，并觀測(cè)控制的有效性的戰(zhàn)略對(duì)其內(nèi)部控制結(jié)構(gòu)有著顯著的效果。關(guān)鍵詞：內(nèi)部控制 成效 權(quán)變理論 結(jié)構(gòu)方塊建模1 文章概述人們普遍認(rèn)為，一個(gè)內(nèi)部控制系統(tǒng)可以幫助企業(yè)降低風(fēng)險(xiǎn)的財(cái)務(wù)報(bào)表的可靠性保證體系和法律的遵循情況（Spira a

3、nd page 2003）因此，越來(lái)越多的企業(yè)倒閉和一些廣泛宣傳企業(yè)舞弊行為導(dǎo)致企業(yè)在他們具體的操作環(huán)境下更多的關(guān)注自己的內(nèi)部控制。在巨大的管理壓力下，如何提高內(nèi)部控制的有效性以及有效的與董事會(huì)和股東溝通。由于內(nèi)部控制可能會(huì)影響長(zhǎng)期的報(bào)告，導(dǎo)致審計(jì)人員、供應(yīng)商、客戶都對(duì)內(nèi)部控制感興趣。Kinney在2000年指出，盡管內(nèi)部控制對(duì)公司影響很大，但在組織環(huán)境中內(nèi)部控制結(jié)構(gòu)卻無(wú)法實(shí)現(xiàn)。關(guān)于內(nèi)部控制的抓也文獻(xiàn)在國(guó)際研究上已取得進(jìn)展，但迄今為止，內(nèi)部控制的研究數(shù)量有限。在2004年Selto andWidener出版的專(zhuān)業(yè)文章中提出，在管理控制中研究較少的內(nèi)部控制有著很強(qiáng)的實(shí)用性。在2000年Maijo

4、or越來(lái)越重視企業(yè)內(nèi)部的控制，以及現(xiàn)有的研究不足，為其創(chuàng)造了新的研究基于和需求。這項(xiàng)研究有助于了解內(nèi)部控制結(jié)構(gòu)及其在公司環(huán)境中觀察到對(duì)公司的效果。即使內(nèi)部控制結(jié)構(gòu)框架中提出了一個(gè)標(biāo)準(zhǔn)化的結(jié)構(gòu)和內(nèi)部控制目標(biāo)，但仍然需要注意的是，有效地內(nèi)部控制是要根據(jù)公司的不同特點(diǎn)來(lái)制定的。因此，即使是內(nèi)部控制的框架中也無(wú)法提供一個(gè)企業(yè)的特點(diǎn)和其控制系統(tǒng)的關(guān)系。因此，本研究利用一個(gè)應(yīng)急方法，審查內(nèi)部控制結(jié)構(gòu)的設(shè)計(jì)，并且將其放到不同的環(huán)境下觀察其效果。研究報(bào)告分析了使用方程關(guān)系模型對(duì)SEM和芬蘭公司進(jìn)行實(shí)例證明并得到結(jié)果。這項(xiàng)研究的結(jié)果在幾個(gè)重要方面增加了有限的內(nèi)部控制研究的知識(shí)。首先，研究中提出了要利用內(nèi)部控制及

5、其在實(shí)踐中的有效性度量模型的實(shí)證研究結(jié)果。世界上有一些組織已經(jīng)將內(nèi)部控制框架建立基金會(huì)來(lái)開(kāi)展活動(dòng)。無(wú)論如何，有一點(diǎn)是值得注意的，那就是除了求證時(shí)間框架外還要更加深入的內(nèi)部控制研究模型。除了少數(shù)例子外，Stringer和Carey早在2002年就研究了在特定集中研究控制元件，如控制環(huán)境（1988DAquila）同心結(jié)構(gòu)或風(fēng)險(xiǎn)評(píng)估，在這些研究中內(nèi)部控制只是作為一個(gè)概念，是研究不同情況下的整體。第二，盡管在這之前文學(xué)的關(guān)系在內(nèi)部控制的了解中發(fā)揮了關(guān)鍵作用，但是行為對(duì)內(nèi)部控制的應(yīng)急理論尚未進(jìn)行充分研究。第三，從知識(shí)管理的角度進(jìn)行內(nèi)部控制還不成熟。該文學(xué)至今集中在外部各方的觀點(diǎn)，1998年的Felix,

6、盡管該組織將內(nèi)部控制作為管理中的職責(zé)。因此在我們的而研究中內(nèi)部控制調(diào)查研究是重點(diǎn)。第四，本文研究的重要特點(diǎn)是當(dāng)一個(gè)組織注意內(nèi)部控制時(shí)必須檢視意外事件的特征。其目的是確定哪些特征在內(nèi)部變化有助于解釋控制系統(tǒng)和觀察內(nèi)部控制的效。然而，當(dāng)對(duì)該模型進(jìn)行一元或多元變量設(shè)置時(shí)，會(huì)產(chǎn)生不同的效果。因此，本文主要論證了，如何將SEM技術(shù)應(yīng)用到內(nèi)部控制的研究。在內(nèi)部控制結(jié)構(gòu)有效替代的情況下了解差異的共同性對(duì)內(nèi)部控制討論做出很大的貢獻(xiàn)。因此，這項(xiàng)研究提供了一種方法來(lái)識(shí)別不同組織對(duì)內(nèi)部控制的特殊需求。本文的其余結(jié)構(gòu)介紹如下。接下來(lái)的部分介紹了研究框架和部分定義的介紹，研究結(jié)構(gòu)的相關(guān)問(wèn)題文獻(xiàn)。第四部分介紹了調(diào)查設(shè)計(jì)和

7、變量的測(cè)定。隨后本文詳細(xì)闡述了在SEM方法從741芬蘭公司搜集數(shù)據(jù)為基礎(chǔ)對(duì)實(shí)例論證。第六部分是對(duì)結(jié)果的討論。最后一節(jié)是對(duì)研究限制闡述。2 研究框架在2003年Chenhall運(yùn)用控制系統(tǒng)設(shè)計(jì)可以協(xié)助管理人員實(shí)現(xiàn)其公司的目標(biāo)和期望的結(jié)果。內(nèi)部系統(tǒng)控制增強(qiáng)了企業(yè)的檢測(cè)報(bào)告程序，也確保遵守法律法規(guī)。通過(guò)這種有效的內(nèi)部控制對(duì)公司成功方面有著關(guān)鍵的作用。但是，正如我們觀察到的，內(nèi)部控制在真空下是不存在的。在1994年COCO框架中指出，兩個(gè)組織不存在類(lèi)似的控制系統(tǒng)，除非該組織的中心組織機(jī)構(gòu)系統(tǒng)是相同的。內(nèi)部控制系統(tǒng)根據(jù)不同的細(xì)節(jié)需要會(huì)產(chǎn)生在不同的組織環(huán)境下。在1994年COSO在內(nèi)部控制框架中提出的聲明

8、類(lèi)似于權(quán)變理論每一個(gè)組織特點(diǎn)采取適當(dāng)?shù)目刂葡到y(tǒng)（參考Chapman 1997； Chenhall 2003；Fisher1995； Luft and Shields 2003）因此，應(yīng)變的方法提供了在實(shí)踐當(dāng)中對(duì)內(nèi)部控制因素不同的解釋。權(quán)變理論構(gòu)成了一種新的方法來(lái)演技有內(nèi)部控制的理論和基礎(chǔ)特點(diǎn)，這些從應(yīng)急控制文件總結(jié)而來(lái)。因此管理控制在組織制度中的一個(gè)重要控制子集一直是權(quán)變理論的研究主體。研究主要集中在上下文變量對(duì)管理控制系統(tǒng)設(shè)計(jì)的影響，在這文獻(xiàn)中，是對(duì)文獻(xiàn)回顧的研究基礎(chǔ)上分析的。其目的是利用了解內(nèi)部控制結(jié)構(gòu)的特點(diǎn)和影響來(lái)觀察成效以作為制定權(quán)變理論。內(nèi)部控制和權(quán)變理論共享某些元素，但是共同點(diǎn)和不

9、同點(diǎn)的廣度取決于所用的定義。在2003年Chenhall指出，以前的應(yīng)變研究是基礎(chǔ)的管理控制研究，遵循傳統(tǒng)的感知旨在協(xié)助管理人員決策的被動(dòng)工具。一是管理控制系統(tǒng)包含了一個(gè)會(huì)計(jì)系統(tǒng)，還包括個(gè)人或家族控制的控制因素。圖1說(shuō)明了研究框架和理論基礎(chǔ)上的內(nèi)部控制框架。變量之間的關(guān)系有三組，在應(yīng)變特點(diǎn)，內(nèi)部控制結(jié)構(gòu)和觀察成效是本文研究的終點(diǎn)。前四個(gè)研究問(wèn)題（RQ1-RQ4）旨在測(cè)試（戰(zhàn)略，規(guī)模，組織應(yīng)變特征結(jié)構(gòu)和環(huán)境的不確定性）等因素對(duì)內(nèi)部控制結(jié)構(gòu)的影響。這些因素前人都有所研究（例如Chenhall 2003；Donaldson 2001；Hoque and James 2000； Macintosh 1

10、994；Simons 1987；Drazinand Van de Ven 1985；Otley 1980)指出，指出這些因素對(duì)控制結(jié)構(gòu)和企業(yè)的績(jī)效產(chǎn)生一定的影響。第五個(gè)研究因素（RQ5）集中于內(nèi)部控制結(jié)構(gòu)與內(nèi)部控制有效性的關(guān)系上。變量之間的理論關(guān)系是基于COSO1994年提出的。指出根據(jù)特定的情況對(duì)內(nèi)部控制的需求不盡相同，但是內(nèi)部控制組成的部分功能可以引導(dǎo)有效地內(nèi)部控制系統(tǒng)。Fisher 1998年指出，成功的剪裁控制系統(tǒng)以適應(yīng)企業(yè)的特點(diǎn)等類(lèi)似的權(quán)變理論對(duì)公司的業(yè)績(jī)有著突出的貢獻(xiàn)。然而企業(yè)可能有著傳統(tǒng)性能的其他目標(biāo)。因此根據(jù)Fisher1995年的建議，在模型中所設(shè)想的一個(gè)非財(cái)務(wù)目標(biāo)對(duì)內(nèi)部控制

11、的有效性產(chǎn)生理想的效果。用內(nèi)部控制因素管理眼力大的公司已成為關(guān)鍵的因素（Sutton在2006年指出）。內(nèi)部控制在組織中的影響和傳統(tǒng)性能的可靠性措施可以衡量?jī)?nèi)部控制系統(tǒng)的業(yè)績(jī)，不過(guò)在過(guò)去的文獻(xiàn)中發(fā)現(xiàn)了許多相關(guān)文獻(xiàn)?？傊?，本文進(jìn)一步研究了不同情況下應(yīng)變特性對(duì)內(nèi)部控制結(jié)構(gòu)的有效性的有力評(píng)價(jià)結(jié)果。3 結(jié)構(gòu)定義和研究的問(wèn)題在本節(jié)中提出了定義的適用范圍，并且給出了以前的研究對(duì)構(gòu)造問(wèn)題因素之間的關(guān)系。3.1內(nèi)部控制框架根據(jù)內(nèi)部控制的廣泛研究，它涵蓋了一個(gè)組織的方方面面，在這里運(yùn)用了匯集控制器的概念將內(nèi)部控制架構(gòu)的方法形成一個(gè)完整的整體，明確內(nèi)部需求。在著名的內(nèi)部控制框架（COCO,COSO）中包括有效地內(nèi)

12、部控制定義和目前內(nèi)部控制結(jié)構(gòu)的組成部分。舉例來(lái)說(shuō)，在1994年COCO的內(nèi)部控制狀態(tài)可以再董事會(huì)和管理層的理解程度上，該實(shí)體的目標(biāo)正實(shí)現(xiàn)公布財(cái)務(wù)報(bào)表以及保證遵守法律法規(guī)。因此，著這中間的內(nèi)部控制的研究進(jìn)行有效的界定，如何控制好這三個(gè)目標(biāo)在管理的觀念上實(shí)現(xiàn)。同樣的，可以在一個(gè)適當(dāng)?shù)膬?nèi)部控制框架結(jié)構(gòu)中描述五個(gè)不同組成部分的條款，其可以確定為：1 控制環(huán)境的界定是一個(gè)組織得以運(yùn)作的精神支柱。這個(gè)組件可以給人們創(chuàng)造一個(gè)他們可以進(jìn)行他們的活動(dòng)和執(zhí)行它們的責(zé)任氛圍。他創(chuàng)建了這家公司整體控制文化。2 風(fēng)險(xiǎn)評(píng)估部分是指，處理風(fēng)險(xiǎn)如何威脅公司實(shí)現(xiàn)目標(biāo)的過(guò)程。他設(shè)計(jì)到對(duì)風(fēng)險(xiǎn)的識(shí)別、分析和相應(yīng)的評(píng)估。3 控制活動(dòng)的

13、組成部分，是指對(duì)政策、程序和做法對(duì)分先環(huán)節(jié)戰(zhàn)略的實(shí)施是的管理目標(biāo)得以實(shí)現(xiàn)的過(guò)程。4 信息和通信組建是指確保有關(guān)信息在形式和時(shí)限上的識(shí)別，是工作人員履行其職責(zé)和責(zé)任的有效溝通過(guò)程。5 監(jiān)測(cè)組件是指評(píng)估內(nèi)部控制的質(zhì)量過(guò)程，談涵蓋了有管理人員進(jìn)程外的其他各方面進(jìn)行內(nèi)部控制的外部監(jiān)督和定期評(píng)估。 在本文中這五個(gè)組成部分定義了內(nèi)部控制的架構(gòu)。根據(jù)1994年COCO架構(gòu)，為了有足夠的內(nèi)部控制系統(tǒng)使其組件部分正常運(yùn)行。大大部分的研究將這一部分作為重點(diǎn)研究領(lǐng)域設(shè)定控制元件（DAquila 1998; Hooks et al. 1994; Mills 1997）。在2002年Stringer and Carey

14、研究的五個(gè)組成部分，以及單個(gè)因素對(duì)內(nèi)部控制研究是在此研究領(lǐng)域的一個(gè)質(zhì)轉(zhuǎn)變。在這項(xiàng)研究中觀察到的內(nèi)部控制原件及其有效性能分析的潛在變量。應(yīng)當(dāng)指出的是，理論和具體的個(gè)人控制或判斷分析水平并不是主要的研究焦點(diǎn)。此外，分析應(yīng)用水平受公司首席執(zhí)行官和其他管理人員的控制。3.2應(yīng)急變量(Fisher1995；Gerdin2005在以前的研究中指出，控制系統(tǒng)可能經(jīng)過(guò)調(diào)試來(lái)進(jìn)行應(yīng)對(duì)多種相互矛盾情形下的需求。為了研究?jī)?nèi)部結(jié)構(gòu)設(shè)計(jì)的復(fù)雜性，本文選擇研究四個(gè)變量的特征。該研究探討了戰(zhàn)略，規(guī)模，組織結(jié)構(gòu)和環(huán)境的不確定性對(duì)內(nèi)部控制結(jié)構(gòu)的影響，并且對(duì)其有效性進(jìn)行考證。早先的研究中證明，這些特征隨內(nèi)部控制結(jié)構(gòu)的性能設(shè)計(jì)有一

15、定的影響(比如Chenhall 2003; Donaldson 2001; Hoque and James 2000; Macintosh 1994; Simons 1987; Drazin and Van de Ven 1985; Otley 1980)然而，特征選擇不是唯一的，并且對(duì)內(nèi)部控制結(jié)構(gòu)有著相關(guān)的影響。接下來(lái)，本文研究了文獻(xiàn)回顧的特點(diǎn)和發(fā)展中研究的問(wèn)題。3.2.1戰(zhàn)略O(shè)tley (1980) 和 Dermer (1977) 分別指出，企業(yè)戰(zhàn)略應(yīng)當(dāng)屬于會(huì)計(jì)控制系統(tǒng)設(shè)計(jì)的主要特征之一。公司的戰(zhàn)略不同將采用不同的控制系統(tǒng)，正如Miller etal. (1986)，Miles and S

16、now (1978)和 Porter (1980)等指出的。Simons在1990年發(fā)現(xiàn)，公司憑輕的會(huì)計(jì)控制系統(tǒng)在不同的公司策略下所選擇的方式不同。雖然這些早期的研究表明，不同企業(yè)戰(zhàn)略的不同往往會(huì)引起不同的控制系統(tǒng)配置。戰(zhàn)略也會(huì)導(dǎo)致內(nèi)部控制的一些分歧。然而，迄今為止進(jìn)行的實(shí)例研究都沒(méi)有取得戰(zhàn)略與控制系統(tǒng)的自然鏈接。在1978年MILES和Snow研究得多大多數(shù)控制前者與后者的差異為重點(diǎn)。Miles和Snow發(fā)現(xiàn)控制系統(tǒng)類(lèi)型側(cè)重于發(fā)現(xiàn)問(wèn)題并且能夠幫助一個(gè)組織靈活的應(yīng)對(duì)環(huán)境的變化。在1977年正如Langeld-Smith所指出的組織控制可以分散結(jié)果為導(dǎo)向。這就意味著，監(jiān)測(cè)通過(guò)強(qiáng)有力的控制環(huán)境，從

17、未確保有力的控制意識(shí)。Simons在1987年發(fā)現(xiàn)通過(guò)監(jiān)測(cè)異常報(bào)告與月度報(bào)告的預(yù)算偏差。監(jiān)測(cè)需要從市場(chǎng)上尋找機(jī)會(huì)，將各種不同的信息通過(guò)通信組件提供對(duì)未來(lái)預(yù)測(cè)有用的信息。Simons在1987年的結(jié)論，在正式的控制系統(tǒng)的屬性差異的捍衛(wèi)下，得到這些屬性對(duì)公司的業(yè)績(jī)有著深遠(yuǎn)的影響。根據(jù)之前的管理研究控制（Langeld-Smith 1997; Chenhall 2003）表明，某些類(lèi)型的控制系統(tǒng)將適用特定策略。監(jiān)測(cè)通過(guò)靈活的控制來(lái)應(yīng)對(duì)不確定性的環(huán)境，減少不確定性的發(fā)生和公司效率最大化。相對(duì)于哪些保衛(wèi)的公司，監(jiān)測(cè)型公司根據(jù)用戶的不同在不斷地改變他們的管理系統(tǒng)，根據(jù)以上的要論研究我們的問(wèn)題。Determ

18、inants and consequences of internal controlin firms: a contingency theory based analysisAnnukka JokipiiPublished online: 8 March 2009Springer Science+Business Media, LLC. 2009Abstract In order to ensure the efficiency and effectiveness of activities, reliabilityof information and compliance with app

19、licable laws, firms demand adequateinternal control. However, several frameworks (COSO, CoCo etc.) assume that theneed for internal control varies according to a firms characteristics. This concurs with contingency theory, which claims that each organization has to choose the most suitable control s

20、ystem by taking into account contingency characteristics. This study examines which contingency characteristics firms choose to adapt their internal control structure and whether it results in a more favorable assessment of the effectiveness of control by the management. While the components of inte

21、rnal control have been examined individually in the control literature, this paper attempts to shed light on internal control and place it in a broader context. The results, derived from a web-based survey of 741 Finnish firms, indicate that firms adapt their internal control structure to deal with

22、environmental uncertainty and to achieve observed control effectiveness. Also the strategy has statistically significant effects on internal control structure.Keywords Internal control Effectiveness Contingency theory Structural equation modeling1 Introduction It is generally believed that an intern

23、al control system reduces risks and helps firms ensure the reliability of financial statements and compliance with laws and regulations (Spira and Page 2003). So, an increasing number of business failures and some widely publicized frauds have encouraged firms to put more emphasis on their internal

24、control systems, which are specific to their particular operating environment. Management is under increased pressure to enhance the effectiveness of internal control and to effectively communicate this to the board of directors and shareholders (Sutton 2006). Reference groups like auditors, supplie

25、rs and customers are also interested in internal controls since they may affect long-term confidence in reporting, accountability and in the corporate form of organization (Rittenberg and Schwieger 2001). Despite the fact that internal control is an essential factor affecting the firm, the evidence

26、of the actual performance of an internal control structure within the organizational environment is almost non-existent, and the topic relatively unexplored by researchers, as noted by Kinney (2000). The professional literature on internal control has made progress toward developing international co

27、ntrol frameworks, but so far the amount of internal control research is limited. Selto andWidener (2004) analyze published research and professional articles and find thatthere were fewer internal control topics in the management control research literature than in practical literature. Increasing e

28、mphasis on the role played by internal control in business (Maijoor 2000), and the lack of existing research, creates new research needs and opportunities. This study contributes to the understanding of the internal control structure and its observed effectiveness in company contexts. Even though th

29、e internal control frameworks (COSO, CoCo etc.) present a standardized structure and objectives for internal control, they still advise that the need for effective internal control varies according to a firms characteristics. However, neither frameworks nor prior literature provide an adequate pictu

30、re of the relationships between a firmscharacteristics and its control system. Therefore, this study utilizes a contingency approach to examine the design of the internal control structure and its observed effectiveness in different contexts. The study examines relationships using structural equatio

31、n modeling (SEM) and presents empirical results from 741 firms in Finland. The results of this study add to the limited internal control research knowledge in several important respects. First, the study presents empirical findings using measurement models for internal control and its effectiveness

32、in practice. There are organizations worldwide which have used internal control frameworks as a foundation for conducting activities. At any rate, there is little evidence about frameworks outside practice, and thus the models deserve more intensive research attention (COSO 1994; Selto and Widener 2

33、004). With a few exceptions (e.g.,Stringer and Carey 2002) earlier studies have usually concentrated on particularcontrol elements, such as the control environment (DAquila 1998), communication (Hooks et al. 1994) or risk assessment (Mills 1997). In this study the internal control concept is examine

34、d as a whole in different contexts. Second, the action of contingency theory on internal control has not been examined sufficiently within the prior literature even though that relationship plays a critical role in better understanding internal control within organizations. Third, there is a lack of

35、 knowledge about internal control from the point of view of management. The literature has so far concentrated on the external parties view (Felix 1998), although organizing internal control in the organization is in fact the responsibility of management. Therefore, in this study the perceptions of

36、the management of the surveyed firms are the focus. Fourth, this study examines important contingency characteristics that should be taken into account when focusing on the internal control in an organization. The aim is to determine which characteristics are helpful in explaining variations in an i

37、nternal control system and its observed effectiveness. However, the model examined, yields different results when examined in a bivariate or in a multivariate setting. Therefore, this paper demonstrates how a contingency approach and SEM technique may be applied to internal control research. Underst

38、anding commonalities and differences in internal control structures and observed effectiveness in alternative contexts makes a significant contribution to the internal control discussion. Thus, the study provides a means to identify the special needs of different organizations. The rest of the paper

39、 is organized as follows. The next section presents a research framework and the following section presents definitions of constructs and the literature related to the research questions. The fourth section explains the survey design and measurement of variables. Following that, the paper elaborates

40、 on the empirical analysis using the SEM method based on data collected from 741 Finnish firms. The sixth section includes a discussion of the results. The last section ends with the conclusions and limitations of the study.2 Research framework Control systems are designed to assist managers to achi

41、eve their firms goals and desired outcomes (Chenhall 2003). An internal control system potentially enhances a firms monitoring and reporting processes, as well as ensuring compliance with laws and regulations. In this way effective internal control has a critical role to play in a firms success. But

42、, as we can see from the practical findings, internal control does not exist in vacuum. The COSO framework (1994, p. 18) states that two organizations should not have similar internal control system unless the organizations are identical. The need for, and the specifics of, internal control systems

43、may vary in organizational contexts. This statement presented in the internal control framework (COSO 1994) is analogous to contingency theory that claims that each organization has to choose the most suitable control system by taking into account contingency characteristics (see reviews in Chapman

44、1997; Chenhall 2003; Fisher 1995; Luft and Shields 2003). The contingency approach therefore offers an explanation for the variety of internal control systems found in practice. However, contingency theory constitutes a novel approach to studying internalcontrol and thus, theoretical fundamentals an

45、d chosen characteristics are derived from the contingency-based control literature. Consequently, management control is a major control sub-system in organizations which have been the subject of contingency theory research (Collier 2004). The research has mainly focused on the influence of contextua

46、l variables on management control system design (for example Langfield-Smith 1997; Chenhall 2003) and in this paper, the literature is reviewed along with an analysis of the research based on these studies. The aim is to use contingency theory to understand characteristics affecting internal control

47、 structures and its observed effectiveness rather than to elaborate on contingency theory as such.Figure 1 illustrates the research framework based on contingency theory and internal control frameworks. The relationships between three sets of variablesthe contingency characteristics, the internal co

48、ntrol structure and the observed effectivenessare the focus of this research. The first four research questions (RQ1RQ4) aim to test if contingency characteristics (strategy, size, organizational structure and environmental uncertainty) affect the internal control structure. Thereis evidence in earl

49、ier management control studies (for example Chenhall 2003; Donaldson 2001; Hoque and James 2000; Macintosh 1994; Simons 1987; Drazin and Van de Ven 1985; Otley 1980) that these characteristics may have some impact on the design of control structures and on firm performance. The fifth research questi

50、on (RQ5) concentrates on the relationship between an internal control structure and observed internal control effectiveness. The theoretical relationship between variables is based on the COSO (1994) that states that depending on circumstances the need for internal control varies, but internal contr

51、ol components that are presented and function properly lead to effective internal control systems. The relationship also parallels contingency theory that states that successfully tailoring a control system to suit the firms characteristics will result in better firm performance (Fisher 1998). Howev

52、er, firms may also have goals otherthan traditional performance. Therefore, as proposed by Fisher (1995), a desired outcome envisaged in the model is that of a non-financial goal, namely internal control effectiveness. This has become more important due to management beingunder increased pressure to

53、 enhance it in firms with proper internal control (Sutton 2006). Internal control affects many processes in an organization and reliabletraditional performance measures, which can be claimed to measure performance due solely to the internal control system, can not be identified in thepreviousliterat

54、ure. To summarize, this paper examines if contingency characteristics affect the internal control structure and further, whether the internal control structure will result in a more favorable assessment of effectiveness if applied in alternative contexts.3 Definition of constructs and research quest

55、ions In this section the definitions of the constructs used are presented, and the literaturethat contributes to the relationships between constructs is reviewed alongside theresearch questions that have been developed.3.1 Internal control frameworkAccording to the broad view of internal control, it

56、 covers all aspects of anorganization and there was a clear demand for a method of pulling together controlconcepts to form an integrated internal control framework. Well-known frameworks (COSO, CoCo, the Basle Framework, the Combined Code and the Turnbull Guidance) include a definition of effective

57、 internal control and present the components of the internal control structure. For example COSO (1994) states that internal control can be judged to be effective when the board of directors and management have reasonable assurances that they understand the extent to which the entitys operational ob

58、jectives are being achieved, the published financialstatements are being prepared reliably, and the applicable laws and regulations are being complied with. Therefore, in this study effectiveness of internal control is defined in terms of managements perceptions of how well these three internal control objectives are met. Similarly, in the frameworks a proper internal control structure is described in different terms, but the following five compone