Auditing practices and accountability in local government authorities: a case study of Tanzania: theory of wrestling for internal efficiency

This research investigates the phenomenon of auditing practices and accountability in four Tanzanian Local Government Authorities (LGAs). Specifically, the study explores the manner and the extent to which auditing practices interact with accountability and internal efficiency. The study adopts an interpretive approach and executes a grounded theory strategy in the data collection and analysis. The findings of this research reveal that there are apparent struggles to make LGAs accountable, and efficient and the need for efficient and accountable LGAs causes the LGAs’ stakeholders to introduce various measures and reforms. Auditing is revealed to be a catalyst for organizational change, as most of the accounting and administration reforms undertaken in the LGAs in Tanzania were initiated, adopted and implemented as a result of anomalies and deficiencies uncovered by auditing practices. This research concludes that, despite being a catalyst for organizational efficiency, neither internal nor external audit can bring about efficiency in an organisation unless it is backed by powerful and influential stakeholders.