Recommendation

Based on the aforementioned conclusions, the following recommendations were hereby

made and given:

Further research could be carried out for each sector separately, and resulting in
comparative conclusions about the existence and the extent of operation of internal control.

Management should communicate and train all staff regarding their duties and
responsibilities to enable them to acquire knowledge and skills for an efficient and effective
work. Moreover, a manual which provides detailed description of organizational chart, functions,
duties and responsibilities of employees, and work procedures which may help the employees
to perform actions required and needed especially those related to short and long term
objectives of the company.

With regards to improving control activities, management should apply job rotation and
enforce vacation policies. Except from the fact of having someone to do the job of another out of
an emergency, it also prevents potential committers to defraud by knowing their job will be
handled by someone for a period of time. With this, another person handling the job is likely to
disclose fraud. Mostly, fraud needs a substantial amount of attention and infrequently stands up
to inspection, review and more. This is indispensable because it helps to discover errors and
inefficiencies. Job rotation and enforced vacation are practical solutions to expose hidden
weaknesses in the internal control processes.

Concerning information and communication system, management should impose or

ensure proper and well-communicated reporting procedures in order to have a balanced and
understandable account of the company’s position and procedures. Moreover, management
should have at least an annual survey and ask feedback from its employees. This will make the
operations to be more effective by resolving problems encountered by the employees. On the
other hand, management should maintain a strong relationship with its customers and suppliers
because it assists the company to figure out the current trends and demands, and meet its
short-term and long-term obligations.

When it comes to monitoring, firstly, all staff must be encouraged by the management to
promptly report significant internal control failures and weaknesses. With this, management will
be able to address the concerns quickly, and take corrective actions if needed. Secondly,
management should test the processes by doing follow-up procedures to ensure appropriate
actions are done in response to controls and risk levels. Also, this will assess the performance
of routine activities and review the efficiency of internal control system.