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INTERNAL AUDIT AND THE SHIFTING OF HIERARCHY TO HOLACRACY BUSINESS STRUCTURE A STUDY ON PT X
FINAL THESIS
Submitted to the Faculty of Economics and Business In Order to Fulfill The Requirements
For Achieving Bachelor’s Degree in Economics
Written by:
AFGANJAYA PINDONGO 232019506
FACULTY OF ECONOMICS AND BUSINESS SATYA WACANA CHRISTIAN UNIVERSITY
SALATIGA
2023
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STATEMENT OF THESIS AUTHENTICITY
The undersigned below,
Name : Afganjaya Pindongo Student ID : 232019506
Study Program : International Management (ICMAP) Faculty of Economic and Business
Satya Wacana Christian University Salatiga
Declare truthfully that the final thesis:
Title : Internal Audit and The Shifting of Hierarchy to Holacracy Business Structure A Study on PT X
Supervisor :
David Adechandra Ashedica Pesudo, S.E., M.Ak.Date Examined : 24 March 2023
is truly my work.
This working paper does not contain the whole or part of other people’s writings or ideas that I took by copying or imitating in the form as a series of sentences or symbols which I pretend to be my own writing without giving acknowledgment to the original author.
If it is later proven that I have been copying or imitating other people’s writings as if it were my own my thoughts, I am willing to accept sanctions in accordance with the applicable regulations at the Faculty of Economics and Business, Satya Wacana Christian University, including the revocation of my bachelor’s degree.
Salatiga, 2 February 2023
Afganjaya Pindongo
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ABSTRACT
This research is a qualitative research, data collection is done using test and interview methods.
This study aims to analyze how the structure of a company called holacracy in the view of internal auditors in a company in Indonesia. Many businesses have relied on a corporate structure known as the hierarchy over the years. The most common sort of structure is the hierarchical structure. This organizational chart is shaped like a pyramid, with the chief executive officer at the top (CEO). The move from hierarchy to holacracy, on the other hand, is not without its difficulties. Business observers have noted a variety of problems, including its applicability on a wide scale. Some have argued the need for ideal pre-conditions for the experiment to take off, such as enterprises based in small locations with strong community ties, as a lesson from the past. Internal control can be affected due to the holacracy is a system for managing a company where there are no assigned roles and employees have the flexibility to take on various tasks and move between teams freely. Different interpretations of the shifting structure by the auditors could have an impact on how the business is run. In conclusion, the study will be helpful to businesses that is looking to switch to a holacracy framework. This study might be made as part of the agile management company's internal audit task considerations.
Keywords: Business, Holacracy, Internal Audit, Internal Control, Good Corporate Governance
