Affiliations:
Department of Business Administration, National Economics University, Hanoi, Vietnam
In a rapidly changing business environment, organizational culture plays an important role in shaping internal control systems. However, prior studies mainly focus on the general relationship between organizational culture and control systems, with limited attention to how different culture types influence internal control effectiveness. This study examines whether the four organizational culture types identified by the Competing Values Framework, namely clan, adhocracy, hierarchy, and market, have different effects on firms’ internal control effectiveness (ICE), and whether the internal control system (ICS) mediates this relationship in manufacturing firms in a developing economy such as Vietnam. Data were collected from 235 manufacturing companies in Vietnam and analyzed using structural equation modeling (SEM). The results show that all four culture types have a positive effect on internal control effectiveness, and that the internal control system significantly mediates the relationship between organizational culture and ICE. This study contributes to the literature on organizational culture and internal control in developing-economy manufacturing contexts and provides practical implications for managers and policymakers by highlighting the importance of fostering supportive organizational cultures and strengthening organizational capabilities to enhance the competitiveness of small and medium-sized enterprises (SMEs).
Organizational culture, Internal control effectiveness, Internal control system, Manufacturing firms, Developing economy
https://doi.org/10.21833/ijaas.2026.02.023
Nguyen, L. T. P., Pham, V. T., & Tran, N. H. (2026). Impact of culture types on internal control systems in Vietnamese manufacturing firms. International Journal of Advanced and Applied Sciences, 13(2), 220–228. https://doi.org/10.21833/ijaas.2026.02.023