EFFECT OF RISK MANAGEMENT ON QUALITY OF INTERNAL AUDIT REPORTS OF MUNICIPALITIES IN THAILAND

Abstract

          The objective of this research was to study the effects of risk management on quality of internal audit reports of financial divisions of municipalities in Thailand. The sample comprised 368 directors/chiefs of financial divisions of municipalities in Thailand. The questionnaires were used to collect data. The data were analyzed using statistics including multiple regression analysis, correlation analysis as well as Pearson’s correlation to test the effects of risk management on quality of internal audit reports. The results of this study showed that risk management in terms of internal environment, event identification, and information and communication had positive effects on quality of internal audit reports of financial divisions of municipalities in Thailand. In contrast, objective setting, risk assessment, risk response, control activity, and monitoring had no effects on quality of internal audit reports of financial divisions of municipalities in Thailand.