MODEL OF THE RELATIONSHIP BETWEEN THE COMPETENCE OF THE CHIEF EXECUTIVE OFFICER, THE QUALITY OF INTERNAL CONTROL AND THE QUALITY OF FINANCIAL REPORTS THAT AFFECTS THE FINANCIAL EFFECTIVENESS OF COMPANIES LISTED ON THE STOCK EXCHANGE OF THAILAND

Abstract

Recently, the global economy has become borderless, increasing competition. Financial efficiency determines an organization's success. Consequently, financial effectiveness is essential for a business. This prompted academics to investigate financial effectiveness aspects. This study's objective was to examine the relationship between the competency of the Chief Executive Officer (Triyani & Setyahuni), the quality of internal control, and the quality of financial reports and their impact on the financial effectiveness of companies listed on the Stock Exchange of Thailand. During the years 2015 through 2019, the sample comprised 362 businesses. The analysis of secondary data by structural equations. After controlling for variable error, the research findings revealed that the prototype model and empirical data were harmonious. The overall variable path analysis demonstrated that the competency of the chief executive officer positively affected the quality of internal control and financial performance. The size of the entity has a beneficial impact on the quality of internal control and financial efficacy.