The Impact of Internal Control Framework on Overall Organizational Effectiveness in Bahrain
摘要
The study aims to examine the impact of internal control on organization effectiveness in Bahrain. More specifically, it examines the impact of the five components of internal control (control environment, risk assessment, control activities, information and communication, and monitoring) on overall organizational effectiveness. The study used a questionnaire to collect the date from 152 employees whom working in organizations in Bahrain. The study result revealed that the internal control has a significant influence on financial performance. Additionally, the findings indicate that each component of internal control plays a distinct role in enhancing organizational effectiveness, with control activities and monitoring emerging as particularly critical factors. This study provides valuable insights for organizational leaders and policymakers in Bahrain, emphasizing the importance of strong internal control frameworks to achieve optimal performance and sustainability. The research also highlights areas for further investigation, such as the relationship between internal control and non-financial performance metrics, thereby offering a comprehensive understanding of internal control's role in organizational success.