The Impact of Internal Control System on Revenue Generation

ABSTRACT This study examines the impact of internal control systems on revenue generation within the University of Abuja Teaching Hospital Bursary Department. The primary objective is to evaluate how internal control mechanisms contribute to an organization’s financial performance. Specifically, this research seeks to evaluate the effect of the control environment on revenue generation, assess the impact of risk assessment on revenue, investigate how control activities influence revenue outcomes, analyze the role of information and communication in revenue generation, and examine the impact of monitoring activities on revenue. Adopting a descriptive survey design, data were collected from 110 staff members involved in financial operations. Using multiple regression analysis in SPSS, findings reveal that each internal control component has a significant positive effect on revenue generation, collectively explaining 72% of the variance in revenue. The control environment and risk assessment emerge as the most impactful factors, suggesting that ethical values, clear organizational structures, and effective risk management practices are crucial for revenue enhancement. In conclusion, the study underscores the importance of a comprehensive internal control system as a strategic tool for revenue optimization and financial resilience. Strengthening control activities, enhancing communication channels, and implementing consistent monitoring can help public institutions improve financial outcomes, thereby reinforcing fiscal integrity and operational transparency.