초록/요약

Purpose This study aims to examine the relationship between the internal control manager attributes and the firms' operational efficiency. The internal control manager designs and maintains the firms' policies and procedures to certify the effectiveness of its internal control system. Design/methodology/approach The study is an empirical research based on a sample of public companies listed on the Korean Stock Exchange from year 2011 to 2015. The authors derive measures of operational efficiency using the data envelopment analysis tool. Findings This study shows that the operational efficiency increases with internal control managers' task-related knowledge and diverse firm knowledge, consistent with human capital theory. Also, the results reveal that internal control managers, equity ownership has a curvilinear relationship with the operational efficiency, indicating that excessive managerial ownership can deteriorate the firm value. Originality/value While many studies have examined the association between the internal control system and financial reporting quality, this paper is differentiated from prior studies by focussing on the internal control managers' personal attributes. This is important, as the internal control system is essentially built by internal control managers who are in charge. This study contributes to accounting literature by shedding light on the role of internal control managers in enhancing the firms' operational efficiency.