Governance Architecture or Competence Deficit? Examining the Effectiveness of Internal Audit Functions on Organizational Performance in a Malawian Statutory Body

Abstract:

Internal audit units in many developing countries exist on paper more than in practice - and Malawi's Greenbelt Authority (GBA) is a striking example of exactly that. This study sets out to understand why, surveying 71 employees across the organisation with a remarkable 97.3% response rate. What the findings reveal is both clear and troubling. GBA's auditors are technically competent. The problem isn't their skills – it's the system they're working inside. Nearly 68% of respondents said the audit function isn't truly independent from management. Around 75% said audit reports don't even reach the Board. And over 71% confirmed that recommendations are simply ignored after they're made. The research concludes that structural adequacy and implementation quality together explain 55% of the variation in organizational performance – which means fixing GBA's audit problem isn't about retraining people. It's about rebuilding the governance architecture around them entirely.