A Dissertation Submitted in Partial/Fulfillments of the Requirements for Award
of the Masters of Accounting and Finance (MSc A&F) of Mzumbe University
It is now an undeniable truth that Information Technology (IT) has grown to the extent of
influencing almost every aspect of organizational activities. This study specifically
focused on the impact IT has had on internal auditing in Tanzanian organizations.
The study is based on fieldwork that concentrated in Dar-Es-Salaam region and involved
internal auditors and IT staffs, audit managers, senior management officials from 40
Corporations/organizations belonging government institutions, private companies, public
companies and parastatals. The study targeted those organizations with internal audit
departments and applies IT in their duties.
To illustrate some of these “impacts” 40 Tanzanian organizations with computerized
Information Systems (IS) were studied. The study examined IFAC suggested IT
evaluations by internal auditors, the extent to which audit is supported by IT solutions, the
familiarity and applications of CAATs by internal auditors, internal auditors involvement
during system development and the overall ability of internal auditors to audit
computerized systems. The study also looked into the internal auditor’s qualification
requirements resulting from IT influence.
The study found that the practice of internal auditing in Tanzanian organizations has not
so far adequately changed to cope with the increasing computerization of IS. In most of
Tanzanian organizations internal auditors are well qualified and well with relevant
experience except that they lack better IT knowledge and infrastructure to simplify their
work. Most of internal auditors are still using the same techniques and tools when
auditing computer-based applications as they used, when these were performed manually.
The researcher hence recommends that the NBAA, educational institutions, auditing firms,
and Tanzanian organizations, including the Government, make stronger and coordinated
efforts to minimize the possibility of economic damage through a lack of proper internal
auditing of computerized IS.