Internal Control and Corporate Governance among Cooperatives

This paper explored which domain of internal control best influenced the corporate governance of cooperatives. It applied the quantitative, non-experimental research design utilizing correlational technique, with 120 employees of cooperatives as the respondents selected through total population sampling. The researcher adapted and modified questionnaires to measure internal control and corporate governance. The Mean, Pearson r, and Regression Analysis were used as statistical treatments. Results revealed that the level of internal control of cooperatives was very high. Its indicators, risk assessment, information and communication, and monitoring, emerged with a very high rating while the indicators, control environment and control activities, obtained a high rating. Similarly, the study revealed a very high level of corporate governance among cooperatives. Its indicators, management, board, audit, and behavior, got a very high rating while the other three indicators, remuneration, members, and ownership, obtained a high rating. Based on the findings of the study, internal control is significantly correlated to the corporate governance of cooperatives, with a p-value less than the level of significance. The overall result disclosed that internal control has significant influence on the corporate governance of cooperatives. Control activities was the domain of internal control that best predicts corporate governance of cooperatives.