Impact of internal control systems on grant management in Community based organizations in Turkana Central sub-county: A study of district Livestock Marketing council.

Abstract

Grants and other funding are provided by governments and donors to support the achievement of objectives consistent with government policy and specific organization’s vision and mission. Grants may be covered by legislation or regulation or be subject to Cabinet, Ministerial or administrative discretion. Grant programs at Turkana Central Sub-County Community Based Organizations may be diverse in their structure, purpose and risk, and range in their accountability requirements from highly complex to relatively simple. The main purpose of this study is to have effective internal control systems, which adheres to compliance, Manages risk, creating efficient control environment and control activities to preserve value of these CBOs. The other purpose is to have successful CBOs know how to take advantage of opportunities and counter threats, through effective application of internal controls to improve organizational performance. Specifically this research proposal will study three Community Based Organizations in Turkana Central Sub-County. The CBO to be studied upon will be from Lodwar township ward. The study will aim at determining how internal control systems are essential in managing grants, compliance to the grant policies, effective internal control systems to be used and how control environment as an element of internal control is effective in grant management in reference to DLMC. The researcher is going to find out the impact of control systems on grant management in Turkana Central Sub-county CBO. This study will pose questions such as how internal control systems are applicable to grant management?, does compliance factor relate to grant management, Is control environment essential to organization in grant management and what are the effective control activities required to manage grants in this CBO. Questionnaire will be used to administer the questions to the target population. The target population for this research proposal will be 50 employees of DLMC and a sample size of 20 employees will be selected randomly, 6 from the management level, 5 from the finance department, 3 from the risk & compliance department and 6 from the project department. Quantitative measures will be used for that sample size of 20 individuals and simple random techniques will be used to identify the respondents.