Proceedings of The 12th International Conference on New Ideas in Management, Economics and Accounting
The Perceptions of Actors in Tanzanian Local Governments on the Implementation of Audit Recommendations
Abeid Francis Gaspar
This study explores the implementation of audit recommendations of the Controller and Auditor General by the Local Government Authorities (LGAs) in Tanzania. It applies interpretive case studies to explore on factors that are associated with the extent of implementation of the audit recommendations, from the perspectives of external and internal auditors, management, councilors as well as members of the audit and parliamentary committees responsible for the accounts of LGAs. Data for the study were gathered through documentary review and in-depth interviews with a total of thirty-six respondents. The findings revealed a slow pace of the implementation of the external audit recommendations. The situation is associated with several factors including weaknesses in the oversight processes, auditees’ attitude and characteristics, external auditors’ attributes, lack of effective implementation plans, and inadequate resources. In the lens of the agency theory, the main findings of the study indicate that the implementation of audit recommendations in the LGAs is largely influenced by the existence of multiple, and in some contexts conflicting and weak agency relationships. The paper provides additional empirical and theoretical insights on the implementation of audit recommendations from the perspectives of multiple groups of LGAs actors involved in the process. It also addresses the recent call for qualitative studies on public sector auditing, especially in the context of emerging economies (Mattei et al., 2021).
keywords: Audit recommendations, Factors, LGAs,Tanzania