International Journal of Accounting, Auditing and Taxation

International Journal of Accounting, Auditing and Taxation ISSN 2143-5572 Vol. 2 (4), pp. 167-175, May, 2015. © International Scholars Journals

Full Length Research Paper

A study on the specific factors associated with the success of internal audit in the Greek business environment

*Konstantinos G. Kouik, Giorgos Stavrakakis and G. O Vangelis

Department of Business Administration, Panteion University, Athens, Greece.

Corresponding author E-mail: [email protected]

Accepted 24 April, 2015

Abstract

The current study investigates the specific factors associated with internal audit effectiveness in the Greek business environment. Empirical evidence was collected by means of a mailed survey. Factor Analysis and regression analysis are used in order to illustrate the gathered information. The findings indicate that the main factors affecting internal audit effectiveness are: (1) quality of internal audit, (2) competence of internal audit team, (3) independence of internal audit and (4) management support. The results also reveal that independence of internal audit is the foundation of internal audit effectiveness, as it is the most crucial factor in our model. Finally, the paper concludes that internal audit is of major importance for Greek business.

Key words: Internal audit, Auditing, effectiveness of internal audit, Accounting, Greece.