The Role of Internal Audit Governance in Supporting Competitive Advantage in Companies: A field study on Companies Operating in the Cement Industry in Aden Governorate (Yemen)

Résumé

The study aims to identify the role of internal audit as one of the governance mechanisms in support of competitive advantage, through its role in improving processes (governance, risk management, internal control). Yemeni cement manufacturing companies in Aden's governorate represent the study's population. The study sample is (Al-Wehda Company and Al-Watania Company), and a questionnaire was formed to collect the necessary data and information to achieve the study's objectives.  It was distributed to the study sample members (general manager, deputy general manager, department manager, department head, internal auditor, and accountant). The number of questionnaires distributed was (80), and The number of questionnaires recovered was (71), with a recovery rate of 88.75%.

According to the results of the study, there is a statistically significant effect of internal audit governance in supporting the competitive advantage of companies by improving the processes (governance, risk management, and internal control) and the resulting (cost reduction, time reduction, and increased efficiency) and thus support competitive advantage. The study suggested Giving more importance to internal auditing by corporate management. Also, giving the internal auditor more independence and authority so that he can perform his duties with impartiality and objectivity to improve the company's internal operations and support its competitive advantage. Based on the importance of the independence of the internal auditor, the duties of the accountant and the internal auditor should be separated. According to the same study companies, most accountants perform the internal audit function