The role of internal control system in improving service quality of privatized governmental banks through exploratory approach

Document Type : Original Article


1 Ph.D candidate. Department of Accounting, Islamic Azad University, Qazvin, Iran

2 Assistant professor, Department of Accounting, Rasht Branch, Islamic Azad University, Rasht, Iran.

3 Associate Professor, Finance, Payame Noor University, Rasht, Iran.


Background: Cit is generally known that conditions and challenges in the national banking industry, including the increasing intensity of competition in this industry and the quality of services have compounded the importance of assessing the current situation of the internal control systems and its role in increasing the quality of services. It should also be more vital to recognize the drawbacks in order to find new strategies to modify the system and promote it.
Objective: it is of great importance to identify the factors and characteristics affecting the internal control system of the bank and the quality of services in privatized governmental banks
Method: The statistical population of the study includes experts and banking specialists of privatized governmental banks in Hamadan province. Data collection tools included library studies and semi-structured interviews, the validity of which was validated as content validity.
Results: The test results of the model were successful and the conceptual research model was approved.
Conclusion: Description of the conceptual model obtained in privatized governmental banks


  • Taqavi Fard Mohammad Taghi, Bavandpour Shokoofeh (2016) "Presenting a Web-Based Decision Support System to Measure the Quality of Electronic Government Services (Case Study: Alborz Province Registry)" Thesis. i - Ministry of Science, Research, and Technology - Allameh Tabatabai University - Faculty of Management and Accounting. Masters
  • Hajiha Zohreh, Oradi Javad, Salehabadi Mehri (2017) "Weakness in Internal Controls and Delay of Auditing Report" Financial Accounting Quarterly / Ninth Year / No. 33 / Pp 78-96
  • Hajiha, Zohreh and Soheila Mohammad Hossein Nejad (2015) Factors Affecting Weaknesses with Importance to Internal Control of Financial Accounting Research and Conservative Auditing in Tehran Stock Exchange. Third Year Financial Accounting Research, No. 2. pp. 77-94
  • Hasas Yeganeh, Yahya and Taghi Malekshah Results, Gholam Hossein (2006) "The Relationship between Internal Control Report and User Decision Making", Journal of Accounting Studies, No. 11, pp. 1-44
  • Fakhari and Malekian (2016) Study of Determining Factors Revealing the Weakness of Internal Controls and Its Impact on Lack of Information Symmetry, phd thesis, Mazandaran university
  • Fitz Simmons, James E. And Monajee., Fitz Simmons (2003), "Service Management; Strategy, Operation and Information Technology", translated by Dr. Seyed Mohammad Aarabi and Davood Izadi, first edition, Tehran: Cultural Research Office.
  • Ghanbarian, Reza (2011) "Internal Controls from the Past to the Present", Accounting Encyclopedia 5 No. 237. Pp. 1-5
  • Angur, M. G., Nataraajan, R. and Jaheera, J. S. Jr (1999), "Service Quality in the Banking Industry: An Assessment in a Developing Economy", International Journal of Bank Marketing,13( 3), 116-23.
  • Arasli, H., Mehtap-Smadi, S. and Turan Katircioglu, S. (2005), "Customer Service Quality in the Greek Cypriot Banking Industry", Managing Service Quality,15(1), 41-56.

10)  Catherine PrenticeXuequn Wang,  Sandra Maria CorreiaLoureiro(2019) " The influence of brand experience and service quality on customer engagement" Journal of Retailing and Consumer Services Volume 50, September 2019, Pages 50-59.

  • Chunli Liu , Bin Lin ,Wei Shu(2018) " Employee quality, monitoring environment and internal control" China Journal of Accounting Research 10 (2018) 51–70
  • Ghobadian, A., Speller, S., and Jones, M., (1994), "Service Quality: Concepts and Models", International Journal of Quality & Reliability Management, 11(9), 43-66.
  • Johns, N. (1999), "What s this Thing Called Service?", European Journal of Marketing, 33(9/10), 958-973.
  • Gronroos, C., (2001), "Service Management & Marketing", Willey.
  • Karatepe, O.M., Yavas, U. and Babakus, E. (2005), "Measuring Service Quality of Banks: Scale Development and Validation", Journal of Retailing and Consumer Services, 12(5), 373-83.
  • Kerin, Hartly, Berkowitz and Rudelious (٢٠٠٦). "Marketing", USA: McGraw-Hill Irwin, pp ٢٥-٥٥
  • Lundahl, N., Veghom, F., and Silver. L. (2009)," Technical and Functional Determinants of Customer Satisfaction in the Bank-SME Relationship", Managing Service Quality, 19(5), 581-594.
  • McMullen,D.A.,K.Raghunandan.and D.V.Rama ,(1996), Internal control reports and financial reporting problems. Accounting Horizons ,December 10,PP.67-75.
  • McNulty, James E., Akhigbe, Aigbe, What do a bank’s legal expenses reveal about its internal controls and operational risk?.Journal of Financial Stability
  • Mishkin, F. S. (2001), "The Economics of Money, Banking and Financial Markets", 6th Edition, MA: Addison-Wesley, Reading
  • Othman, A., and Owen, l. (2002), Adopting & Measuring Customer Service Quality (sq) in Islamic Banks”, International Journal of Islamic Financial Services, 3, 1-10.
  • Ross& Juwaheer(2004)" service quality and store performance: some evidence from Greece" Managing Service Quality , vli.15 No 1.pp.24-50.

23)  Willy F.Zalatar(2019)" Quantifying Customers’ Gender Effects on Service Quality Perceptions of Philippine Commercial Banks"Procedia - Social and Behavioral Sciences Volume 57, 9 October 2012, Pages 268-274