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MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY -By HO TUAN VU THE FACTORS AFFECTING THE EFFECTIVENESS OF INTERNAL CONTROL SYSTEMS OF THE COMMERCIAL BANKS IN VIETNAM Major : Accounting Code : 62.34.30.01 ECONOMICS PHILOSOPHY DOCTOR THESIS PROFESSIONAL ADVISER ASSOCIATE PROFESSOR, PHD: VO VAN NHI Ho Chi Minh City - 2016 This thesis is made at: Univercity of Economics Ho Chi Minh City Professional adviser: Associate Professor - Ph.D Vo Van Nhi Critic : Critic : Critic : This thesis will be presented to the Thesis Committee at At , the day month year This thesis can be found in the library:…………….… INTRODUCTION The urgency of research In Vietnam, commercial banks are not only the largest donor, providing leading banking services for businesses, but also as an important tool for the State to direct the movement to financial market, in order to achieve the objective, monetary policy in each period; is the main force in international economic integration of monetary, banking However the performance of the bank is not commensurate with its true potential, specifically in the expression as: bad debts continued to rise, low capital efficiency, banks fall into the predicament forced to merge or be acquired by stateowned banks On the other hand, when studying the characteristics of the commercial banks in Vietnam, the researcher found that the operation of the system of Vietnam's commercial banks also have unique characteristics, such as: deep intervention, administrator of the state to serve political, social goals Management activities of each bank itself bears on the strong impact from the authorities on the outside of the system of state management Besides, interest groups in banks also have affected the management and efficiency of the banking activities In other words, besides the intrinsic elements of management activities in general and internal control systems in particular, deeply influenced by the state and group interests at the same time as well as individual characteristics of the system of commercial banks in Vietnam With this situation, to ensure economic stability can be deep integrated with the region and the world, especially when Vietnam participates in AEC and TPP, state bank of Vietnam has taken many measures to stabilize the currency market as: requirement to increase charter capital, increase the required reserve ratio, merger, acquisition of weak banks, In this context, to be able to survive and grow, each commercial bank itself must have solutions to manage their banking activities to ensure effectiveness In the solution to the banking system to ensure effectiveness, develop sustainably, stably and strengthen the effectiveness of the internal control systems of commercial banks was particularly interested When researching the national and international studies regarding factors affecting the effectiveness of internal control systems of commercial banks, the author found that the world had some study authors and identify factors affecting the effectiveness of the internal control systems of banks such as: control environment; information and communication; risk assessment; control activities; monitoring; information technology, However, there is no research in the country determined what factors can affect the effectiveness of the internal control system in banks, especially commercial banks Therefore, the research to find out the internal factors and external factors that affect the effectiveness of the internal control systems in commercial banks to improve their management capacity of banks, to ensure banks operate effectively, meet the goal of financial stability monetary base of the country is an urgent requirement today Stemming from this urgency, the author has choosen topic: "The factors affecting the effectiveness of internal control systems of commercial banks in Vietnam" Research objectives + Comprehensing factors affecting the effectiveness of internal control systems of commercial banks in Vietnam + Indentifying factors affecting the effectiveness of internal control systems of commercial banks in Vietnam + Proposing research's model factors affecting the effectiveness of internal control systems of commercial banks in Vietnam Research questions Q1: Which factors affect the effectiveness of the internal control systems of commercial banks in Vietnam? Q2: What is the relationship between: control environment; information and communication; risk assessment; control activities; monitoring; political institutions; group interests? Q3: The level of the impact of these factors on the effectiveness of internal control systems commercial banks in Vietnam? Object and scope of the research - Research’s object: Research has focused on factors affecting the effectiveness of internal control systems of commercial banks in Vietnam - Research’s scope: The study has been carried out to Vietnam commercial banks not include the foreign commercial banks, commercial banks with foreign capital in Vietnam 3 Research methodology The thesis has used mixed research method which is the combination of qualitative and quantitative research methodology with the detailed following: - Qualitative research methodology: having used survey interviews with qualified experienced experts directly related to the field of study to induct and affirm the determinants affecting the effectiveness of internal control systems of commercial banks in Vietnam - Quantitative research methodology: on the basis of factors have been identified, which will start measuring the impact of factors by experiment and quantitative methods are used to explain these effects Significance of the research * Scientific significance: The thesis has explored the factors affecting the effectiveness of the internal control system of the commercial banks in Vietnam and has indicatied the level of the order as well as the affecting of these factors on the effectiveness of internal control systems in commercial banks Vietnam * Practical significance: Based on the discovery and point out the factors that affecting the effectiveness of the internal control systems of commercial banks in Vietnam in a systematic way that the thesis may be references to organizations and individual research on internal control systems and risk system in general and the internal control systems of commercial bank in particular The structure of the thesis Chapter 1: Overview the previous studies Chapter 2: Theoretical foundations and research's models Chapter 3: Research methods Chapter 4: Results of research and inference Chapter 5: Conclusion and policy implications 4 CHAPTER OVERVIEW OF PREVIOUS STUDIES 1.1 The foreign studies 1.1.1 The study on the internal control system - Studies on internal control systems towards governance: COSO (2001), COSO (2004): conducting risk management business systems researches In addition, Merchant, K.A (1985); Anthonny, R.N Dearden, J.Bedford (1989); Laura F.Spira Micheal Page (2002); Yuan Li, Yi Liu, Younggbin Zhao (2006) believe that internal control has the role of market-oriented business and impacts new product development Mawanda, (2008) believe in relationship of internal control systems and financial performance at the university in Uganda William & Kwasi, (2013) concluded that the Internal control systems support managers and auditors in the performance of their duties Varipin Mongkolsamai & Phapruke Ussahawanitchakit, (2012) concluded that: the impact of internal control strategies to the performance of listed companies in Thailand - Studies on the internal control system in the direction of independent audit and internal audit: In the field of an independent audit, the US auditing standards also switched to using COSO's report underlying assessment of internal control systems, includes: SAS 78 (1995), SAS 94 (2001), ISA 315, ISA 265 In the field of internal audit, some studies also mention internal controls in relation with the internal audit: Victor Z.Brink Herbert Witt (1941); Karagiogos, Drogalas, Dimou, (2014) studied the interaction between the components of the internal control systems and effectiveness of internal audit - Studies on the impact of the internal control system to the value of the enterprise: Ge & McVay, (2005); Shenkir & Walker, (2006); Doyle, (2005); Hammersley, (2007) - Studies on the relationship between the internal control system and the quality of financial accounting information of listed: J.Altamuro,(2010); Angella.A, (2009); DeFond (1991) 1.1.2 The study on the factors affecting the effectiveness of internal control systems Angella Amudo & Eno L Inanga (2009) believe that factors that may affect the effectiveness of internal control systems include: (1) control environment, (2) risk assessment, (3) information and communication system, (4) control activites, (5) monitoring, (6) information technology Sultana & Haque, (2011); Gamage & colleagues (2014) believe that there are factors that affect the effectiveness of internal control systems include: (1) control environment, (2) risk assessment, (3) information and communication system, (4) control activities, (5) monitoring Besides the above mentioned study, also studies the effects of each component of the internal control systems to the effectiveness of internal control systems such as: Research on the control environment: D"Aquyla, (1998) & Ramos (2004), Rae & Subramaniam (2006); Research on risk assessment: Lannoye (1999), Walker (1999); Research on information and communication: Steihoff (2001), Hevesi (2005); Research on the control activities: Jenkinson (2008), Ramos (2004); Research on monitoring: Springer (2004), Muhota (2005), Diamond (1984), Calomiris & Khan (1991); Research on political institutions: Zingales (1998), Beck and colleagues (2003), Kaufmann & colleagues (2009), Kenjegalieva &Simper (2011); Research on the group interests : Rawls, J.A (1971), Frank Scarpatti (1977), Allan J.Cigler & Burdett A Loomis (1995) 1.2.The national studies 1.2.1.The studies related to theories of internal control system Economic university of Ho Chi Minh City (2007); Nguyen Quang Quynh (2006); Tran Thi Giang Tan & audit department (2012); Pham Quang Huy (2014) 1.2.2 Studies on internal control systems in specific units Ngo Tri Tue & colleagues (2004); Pham Binh Ngo (2011); Nguyen Thu Hoai (2011); Bui Thi Minh Hai (2012); Nguyen Thi Lan Anh (2013); Ha Xuan Thach & Nguyen Thi Mai Sang (2016) 1.2.3 Studies on internal control systems in commercial banks Phan Hung An (2005), Hoang Huy Ha (2006); Dinh Pha Minh (2006); Vu Thuy Ngoc (2006); Nguyen Duc Thao & Tran Quoc Dat (2006); Viet Dung (2007); Phan Van Tinh (2007); Dao Van Phuc & Le Van Hinh, (2012); Nguyen Thi Huong Lien (2015) in their research showed that the internal control systems in commercial banks in Vietnam still has several shortcomings and has built the modern effective control model meeting the needs of integration in the new period Vo Thi Hoang Nhi & Le Thi Thanh Huyen (2014) in their research showed the reality of the internal control systems in the commercial banks in Vietnam and provide completed navigation internal control systems of commercial banks in Vietnam by perfecting the model factors in the model of factors of the COSO organization Nguyen Anh Phong & Ha Ton Trung Hanh (2010) based on the principles of Basel and pointed out that there are five groups of factors that affect the effectiveness of the internal control systems in commercial banks including: (1) control environment and supervision of the board of directors; (2) identify and assess risks; (3) control activities and division of responsibility; (4) information and communication; (5) performance monitoring and correction of errors Nguyen Tuan & Duong Nguyen Hung (2015) in their research suggested model factors affecting the performance and risks of commercial banks in Vietnam including: control environment, risk assessment, control activities, information and communication, monitoring 1.3 Some comments on the study 1.3.1 For foreign studies 1.3.2 For national studies 1.4 Research gaps and orientation of the author 1.4.1 Identify research gap With the overall presentation of the study at national and foreign with the identification of gaps in research can be found that there is not a direct, full research and system related to problems identified factors affecting the effectiveness of the internal control systems towards ensuring operational efficiency of commercial banks in Vietnam 1.4.2 Research orientation of the author In view of inheritance and continue to develop the prior studies, thesis will continue the research on the effectiveness of the internal control systems in commercial banks But to enhance the effectiveness of internal control systems to enhance the operational efficiency of the banks we will need to consider the factors that affect and level of affect of these factors on the effectiveness of the internal control systems in commercial banks Vietnam So, thesis will focus on the examination of the impact factors and the level of impact of these factors on the effectiveness of the internal control systems in commercial banks 7 CONCLUSION OF CHAPTER The main content of this chapter, the author has systematized previous national and foreign studies on the factors affecting the internal control systems On the basis of the assessment a number of studies and identification of research gaps authors hypothesize and main research questions as the basis for the presentation of the next chapter of the thesis The analysis and evaluation of studies is presented in two items simultaneously based on the selection of typical studies pulished Through the comments are presented in the final section of chapter can conclude that the study of factors affecting the effectiveness of the internal control systems in Vietnam commercial banks in the current conditions is still a new topical problem CHAPTER THEORETICAL BASIS AND RESEARCH MODEL 2.1 Internal control systems and the effectiveness of internal control systems 2.1.1 Internal control system 2.1.2 The effectiveness of internal control systems Effective internal control systems (considered at a specific time) if the board of directors and managers gain reasonable assurance of these following criterias: - They understood the operational goals of the organization is achieving in what extent - Annual financial report is prepared and presented in a reliable way - Laws and regulations are being followed 2.1.3 Report of BASEL on internal control systems Theoretical system of internal control banks in accordance with Basel reporting consists of 02 sections: Section 1: Goals and roles of internal control principles in banking ; section 2: Internal control principles in banking 2.2 Related theoretical basis of the factors affecting the effectiveness of the internal control systems: The theoretical basis for the studies of internal control systems such as: regulatory theory, agency theory, institutional theory, contingency theory of organizations, social psychology of organization theory 8 2.3 Factors affecting the effectiveness of internal control systems: Control environment; risk assessment; information communication; control activities; monitoring; political institutions; group interests 2.4 Proposed research model Proposed research model Figure 2.5: Study model of determinants affecting the effectiveness of ICS of the commercial banks in Vietnam The research hypothesis is defined as following: Hypothesis H1: There is a positive impact of control environment to the effectiveness of internal control systems in the commercial banks in Vietnam Hypothesis H2: There is a positive impact of the risk assessment to the effectiveness of internal control systems in the commercial banks in Vietnam Hypothesis H3: There is a positive impact of the information and communication to the effectiveness of internal control systems in the commercial banks in Vietnam Hypothesis H4: There is a positive impact of the controlling to the effectiveness of internal control systems in the commercial banks in Vietnam Hypothesis H5: There is a positive impact of the monitoring to the effectiveness of internal control systems in the commercial banks in Vietnam Hypothesis H6: There is a positive impact of the political institutions to the effectiveness of internal control systemsin the commercial banks in Vietnam Hypothesis H7: There is a negative impact of groups interests on the effectiveness of internal control systems in the commercial banks in Vietnam CONCLUSION OF CHAPTER The main content of this chapter helps the reader grasp the whole basis of the theory of internal control, internal control systems in general and internal control systems of commercial banks in particular; model of the internal control systems in accordance with Basel commission In this chapter also presents the theoretical basis for the background factors affecting the effectiveness of internal control systems in Vietnam commercial bank: regulatory theory, agency theory, institutional theory, contingency theory of organizations, social psychology of organization theory This is the basis of the theoretical background for modeling the factors affecting the internal control systems of commercial banks in Vietnam CHAPTER 3: RESEARCH METHOD 3.1 Research method and research process 3.1.1 Research method: Mixed methods including qualitative research and quantitative research 3.1.2 Research process Step 1: Summarizing previous studies related to the effectiveness of internal control systems Step 2: Qualitative research by using in-depth interviews method with experts Step 3: Checking the results of qualitative research Step 4: Data collection and implementation of quantitative research 3.2 Data sources and methods of collecting and analyzing data in qualitative research - Secondary data: from the final reports, magazines, thesis, scientific studies have been published - Primary data: from analysis, synthesis, results obtained through in-depth interviews with experts with experience in the field of auditing of groups: leaders of commercial banks; state management agency on bank; professional associations; researchers in accounting, banking; magazines leaders 10 Processes and methods of qualitative data analysis The author has used the pattern analysis method to determine the level of the factors affecting the effectiveness of internal control systems According to this method, depending on the information of the data provided and the nature of the factors, the data will be sorted to extract, classify and encryption on each level Figure 3.4: The process of qualitative data analysis 3.3 Data source and data collection methods in quantitative research - Data sources has used in quantitative research: the data are collected directly, via letter or email from the survey has been cleaned - Processes and methods of quantitative data analysis: Step 1: Design survey questionnaire Step 2: Select survey samples and determine survey’s format Step 3: Send questionnaire and get answer Step 4: Handle the raw data Step 5: Accredit size (Cronbach’s Alpha) Step 6: Explore factors analysis (EFA) Step 7: Recommend research model and method for multiple regression analysis Step 8: Model regression assessment (MRA) 3.4 Generalized regression equation Correlation analysis model has used in the general thesis takes the form: Y = f (X1, X2, X3, …, Xi) 11 Linear regression equation shows the impact of these factorss on the dependent variable takes the form: Y= β0+β1X1+β2X2+β3X3+ + βiXi CONCLUSION OF CHAPTER The author has used qualitative and quantitative research methods to identify and assessment the factors affecting the effectiveness of internal control systems in the commercial banks in Vietnam In qualitative methods, the author used methods of analysis, synthesis, comparison, thinking, systematic approach, descriptive statistics to describe, theoretical generalizations related to contents of thesis and analysis and comments to decide on the factors affecting the effectiveness of internal control systems in the commercial banks in Vietnam In quantitative methods were used to test the factors affecting the effectiveness of internal control systems in the commercial banks in Vietnam For data processing and analysis, the author has used SPSS software and analysis tools EFA, MRA for inspection and the determinants influencing the results of the model CHAPTER 4: RESULTS OF RESEARCH AND INFERENCE 4.1 Research results on situation and an assessment of the effectiveness of the internal control systems of the commercial banks in Vietnam 4.1.1 The reality of the operation of commercial banks in Viet Nam In this part, the author has focused on analyzing the current situation of the banking operations through statistical tables for the period from 2010 to 2015 4.1.2 The reality of the internal control systems of commercial banks in Vietnam - Internal control work (especially qualifications of staff working in internal control) does not keep up the rapid development of the banking business - Shortage of human resources in the work of internal control systems in banking - Internal control systems and other monitoring institutions in a number of banks show signs of "disabled" - Internal control, contradictions and conflicts of interest 12 4.2 The results of qualitative research to explore factors that affect the effectiveness of internal control systems in the commercial banks in Vietnam 4.2.1 Method and implementation process 4.2.2 Qualitative research results By means of expert interviews, through proposals discussed with the experts by the method of analysis of form King (2004) and process analysis of Cresswell (2003) Qualitative research results are as follows:  There are factors that affect the effectiveness of internal control systems in the commercial banks in Vietnam are shown in table 4.3 - The author has discovered new elements compared to the previous study: Angella Amudo & Eno L Inanga (2009) and Sultana & Haque, (2011) are shown in table 4.3 Table 4.3 Factors affecting the effectiveness of internal control systems of the commercial banks in Vietnam No Symbol Names of factors Nature of factor MTKS Control environment inherit DGRR Risk assessment inherit HDKS Cotrol activities inherit TTTT Information and communication inherit GS Monitoring inherit TCCT Political institutions The new findings LIN Group interests The new findings To ensure the objectivity of qualitative research results, result of statistical test showed that all factors identified in the qualitative research have reached consensus between 70% - 90% This shows the considerable objectivity and reliability of research results Therefore, after examining the qualitative, compared to model of the factors affecting the effectiveness of the internal control systems in accordance with the Basel's report, the studies of Angella Amudo & Eno L Inanga (2009) and Sultana & 13 Haque, (2011), there are inherited factors including: control environment, risk assessment, cotrol activities, information and communication, monitoring However, there are new factors affecting the effectiveness of the internal control systems is detected including: political institutions, group interests This is consistent with the characteristics of the market economy in accordance with socialist orientation of Vietnam, the impact of the state in managing direct banking activities and interests of the group of bank 4.3 Quantitative research results and inference 4.3.1 Sample 4.3.2 Results of measurement of factors affecting the effectiveness of the internal control system in the commercial banks in Vietnam - Through analysis of Cronbach's Alpha test, scales of model to ensure good quality for 30 specific variables - The result of explored factor analysis (EFA): Testing the suitability of EFA, testing correlation of observed variables in representative measure, testing the level of explanation for observed variables on factors, results in line with the parameters defined in quantitative research - Multivariate regression analyze (MRA): The real factors directly effect the effectiveness of the internal control systems is expressed through linear regression equation: The effectiveness of internal control systems = -0.684 + 0.088 (control environment) + 0.377 (risk assessment) + 0.322 (control activities) + 0.154 (information and communication) + 0.120 (monitoring) + 0.145 (political institutions) - 0.038 (Group interests) 14 Results of hypothesis testing: Figure 4.16 Results testing hypotheses about the factors affecting the effectiveness of internal control systems of commercial banks in Viet Nam No Hypotheses Results H1: There is a positive impact of control environment to the Accepted effectiveness of internal control systems in the commercial banks in Vietnam H2: There is a positive impact of the risk assessment to the Accepted effectiveness of internal control systems in the commercial banks in Vietnam H3: There was a positive impact of the information and Accepted communication to the effectiveness of internal control systems in the commercial banks in Vietnam H4: There was a positive impact of the controlling to the Accepted effectiveness of internal control systems in the commercial banks in Vietnam H5: There was a positive impact of the monitoring to the Accepted effectiveness of internal control systems in the commercial banks in Vietnam H6: There was a positive impact of the political institutions to the Accepted effectiveness of internal control systems in the commercial banks in Vietnam H7: There is a negative impact of groups interest on the Accepted effectiveness of internal control systems in the commercial banks in Vietnam Research results show that through the inspection, can confirm that the factors affecting the effectiveness of internal control systems in order of importance as following: 15 Table 4.17 The importance of the factors affecting the effectiveness of internal control systems of the commercial banks in Vietnam No Independent variable Values Density (%) Affect order Control environment (X1) 0,090 7,2 Risk assessment (X2) 0,326 26,2 Cotrol activities (X3) 0,325 26,1 Information and communication (X4) 0,156 12,5 Monitoring (X5) 0,114 9,2 Political institutions (X6) 0,143 11,5 Interest of groups (X7) 0,090 7,2 Total 1,244 100% CONCLUSION OF CHAPTER With content in this chapter, the author clearly shows the status of the commercial banks in Vietnam in general, the status of the effectiveness in the internal control systems of commercial banks in Vietnam in particular Despite many positive changes after the restructuring period, Vietnam commercial banking system in general and the effectiveness of the internal control systems in commercial banks in Vietnam in particular, which still need to overcome limitations Through qualitative and quantitative research methods in Chapter 4, the author has shown that the model and the scale used in the study was significant Results of the study clearly stated: there are factors affecting the effectiveness of the internal control systems in the commercial banks in Vietnam Each factor has an impact on the level of different effectiveness and are arranged in order from high to low as following: risk assessment, control activities, information and communication, political institutions, monitoring, control environment and group interests The results of this chapter is the basis for the author to make the orientation, views and solutions to enhance the effectiveness of the internal control systems in Vietnam's commercial banks, which are now in Chapter 16 CHAPTER CONCLUSION AND POLICY IMPLICATIONS 5.1 Conclusion The results of qualitative research has identified factors that affect the effectiveness of the internal control systems in Vietnam commercial banks as following: control environment; risk assessment; control activities; information and communication; monitoring; political instituations; group interests 5.2 Orientation and perspective to enhance the effectiveness of internal control systems in terms of integration 5.3 Oriented measures to enhance the effectiveness of the internal control systems of the commercial banks in Vietnam 5.3.1 Oriented measures to enhance the effectiveness of the internal control systems in the commercial banks in Vietnam - Create control environment and focuse on business ethics - Adjust the assessment process and response risk timely - Improve the effectiveness of control activities - Transparency of information and implementation of internal communication channels with the external and effective - Strengthen supervision and improve the efficiency of internal audit - Control group interest in the bank - Complete the political institutions to conform to the trend of regional integration and the world 5.3.2 Conditions for the implementation of solutions For the state management agencies, the bank of Viet Nam, banking association, commercial banks in Vietnam, training facilities 5.4 Limitations of the study and direction of next study Besides the results obtained as above, this study is still limited, the problem exists in the thesis will be continued to study in the future, includes: Firstly, the review of the theories and various studies about the effectiveness of internal control systems, particularly in the banking sector has not been summarized methodically and throughout by scientists, the authors' research is mainly based on the internal control systems in accordance with Basel organization However, internal 17 control theory is rich and diverse, and based on many different research goals So, the question for the researchers is to continue next research framework of internal control in general and in particular the effectiveness of internal control systems in units Secondly, about scope of the study, the subjects of this study primarily is Vietnam's commercial banks, which have not mentioned the foreign banks Therefore, the next studies need to expand the scope of research to many other subjects Thirdly, In this study, the author mainly has based on the factors of the internal control systems by Basel organizational and has added factors consistent with conditions in Vietnam: Political institutions and group interests This is where the next research can perform and additional checks other factors, especially those belonging to intrinsic factors in Vietnam's commercial banks GENERAL CONCLUSION Enhancing the effectiveness of internal control systems contribute to improving management efficiency and effectiveness of Vietnam's commercial banks themselves The study of the factors affecting the effectiveness of internal control systems and level of influence of each factor, thereby proposing appropriate solutions to contribute to enhancing the effectiveness of internal control systems in Vietnam commercial banks is an urgent requirement and is the main objective of this study Based on the theoretical basis about internal control: regulatory theory, agency theory, institutional theory, contingency theory of organizations, social psychology of organization theory, combined with the systematization of the studies related to the subject, thesis has clarified the reasoning about internal control issues, the effectiveness of internal control systems in the commercial banks, analyzed the influencing factors and measurement criteria Thesis research using mixed of qualitative and quantitative methods, including the findings of qualitative research is the basis for determining the pattern of determinants affecting the effectiveness of internal control systems and measure the impact of these factors to the effectiveness of internal control systems in the commercial banks in Vietnam Results of the study are the basis for the authors proposes for the direction and measures to enhance the effectiveness of internal control systems in Vietnam 18 commercial banks in the context of restructuring and extensive international economic integration The research results has achieved by the thesis has brought theoretical and practical significants Through the systematization of theory about internal control and internal control systems has created an overall picture of the object of interest to study issues related to the topic Results of the study also open up new research avenues that other writers can turn to Practically, results of the study contribute to the construction orientation policies, mechanisms for state management bodies about banking, auditing, the bank's management, improve the efficiency of training education institutions, universities The study results also contributed to the transparency of information in the field of finance and banking, improved management efficiency and operational efficiency of banks and trust to attract domestic and foreign investment However, the study also has some limitations in scope, space and study time These restrictions are also implications for the directions of this followed research With the trend of economic development, economic integration roadmap and world region, with the determination of the entire political system, the support of the professional organizations, the general consensus of the entire health staff in the system of commercial banks, we hope in the near future there will be a breakthrough, and constantly growing both in quality and quantity in order to assert its position in the process of international economic integration 19 LIST OF RESEARCH HAVE BEEN PUBLISHED BY AUTHOR RELATED TO THE THESIS * Science research topic The theory of financial reporting in the public sector in accordance with accounting standards and international public transportation orientation for Vietnam Scientific subjects and technology university level, (2014), University of economics Ho Chi Minh city, Code: CS-2014-85 (Participants) * Articles: Applying the PDCA cycle in the implementation of internal control systems in commmercial banks An article published on Accounting Journal, No 81, (2009), page: 18-19 International integration strategy in accounting of the countries in the world and lessons for Vietnam An article published on Auditing Journal, No (113), (2010), page: 51-53 Improving governance advisory role of internal audit in commercial banks in Vietnam An article published on Banking Science and traning review, No 97, (2010), page: 2830 Solutions to enhance international economic integration of Vietnam audit services in the current context An article published on Auditing Journal, No 12 (121), (2010), page: 42-47 The benefits and drawbacks of these acquisitions and bank mergers An article published on Auditing Journal, No (130), (2011), page: 20-24 Solutions for commercial banks Vietnam prior to the trend mergers and acquisitions An article published on Duy Tan University Journal of science and technology, No 1, (2011), page: 119-127 Solutions to limit risks in internet banking transactions in commercial banks in Vietnam An article published on Banking Science and traning review, No 114, (2011), page: 93-99 20 Experience developing credit information systems of the countries in the world and lessons for Vietnam An article published on Banking review, No.10, (2012), page: 5760 Development solutions for homebanking services at commercial banks Vietnam An article published on Duy Tan University Journal of science and technology, No (7), (2013), page: 89-97 10 Audit of public debt–Solutions contributed publicity and transparency of information for public debt in Viet Nam Workshop debt crisis in some European Union countries and lessons for Vietnam Duy Tan University & Institute of European Studies, (2014), Page: 317-321 11 Correlation and differences in accounting regulations of Viet Nam financial instruments and international accounting standards IAS 32, IAS39 and international financial reporting standards IFRS Proceedings of the national scientific conferences: Accounting and Auditing in the reform process and integration, the Ministry of Finance and Economic University of Da Nang, (2014), page: 119-122 (ISBN: 978-604-0-06501-8) 12 Some cases about accounting recognition of investment real estate, property goods and finished products property in accordance with the accounting standard No 05 (VAS05) and circular 200/2014/TT-BTC An article published on Accounting and Auditing Journal, No 11 (146), (2015), page: 32-34 13 The research of factors affecting the effectiveness of internal control systems in comercial banks – Empirical evidence in Viet Nam, International Business Research, Vol.9, No.7, 144-153 Doi: 10.5539/ibr.v9n7p144