The Impact of Promotion Opportunities and Performance Evaluation Criteria on Commitment, Job Satisfaction, and Turnover Intention of Internal Auditors

Document Type : Research Paper

Authors

1 Prof., Department of Accounting and Auditing, Faculty of Accounting and Financial Sciences, College of Management, University of Tehran, Tehran, Iran.

2 MSc. Student, Department of Accounting and Auditing, Faculty of Accounting and Financial Sciences, College of Management, University of Tehran, Tehran, Iran.

3 PhD. Candidate, Department of Accounting and Auditing, Faculty of Accounting and Financial Sciences, College of Management, University of Tehran, Tehran, Iran.

10.22059/acctgrev.2025.391729.1009083

Abstract

Objective
This study investigates the impact of two organizational factors—promotion opportunities and performance evaluation criteria—on the commitment, job satisfaction, and turnover intentions of internal auditors. The preliminary purpose is to identify effective strategies for reducing turnover intention by enhancing organizational commitment and job satisfaction, as frequent turnover can adversely affect the efficiency and performance of the internal audit function.
Methods
This quantitative research utilized a correlational design and employed a survey for data gathering. The statistical population was carefully selected to include internal auditors, with data collected from 161 respondents through convenience sampling. A structured questionnaire was designed, comprising items that measured organizational commitment, job satisfaction, turnover intention, promotion opportunities, and performance evaluation criteria. Data analysis was conducted using Smart-PLS3 software and the structural equation modeling (SEM) technique, chosen for its ability to assess complex relationships and causal paths among variables simultaneously.
Results
Internal auditors who demonstrated higher levels of organizational commitment also reported greater job satisfaction. Furthermore, satisfaction with promotion opportunities and performance evaluation criteria had direct and positive impacts on both organizational commitment and job satisfaction. These results indicate that auditors who are satisfied with their opportunities for advancement and the fairness of performance evaluations tend to exhibit a more substantial commitment to the organization and higher levels of job satisfaction. However, the study did not confirm a significant inverse relationship between job satisfaction and turnover intention, nor between organizational commitment and turnover intention. This finding suggests that neither job satisfaction nor organizational commitment alone may be sufficient to reduce turnover intention among internal auditors. Additional factors, such as external job opportunities, organizational culture, or economic conditions, may also influence turnover decisions. These results highlight the complexity of turnover intention and the need for a broader understanding of its underlying causes within the internal audit profession.
Conclusion
The findings underscore the importance of offering meaningful promotion opportunities, ensuring fairness and transparency in performance evaluation criteria, and reinforcing organizational commitment to enhance job satisfaction. These measures can guide organizations in designing effective human resource policies aimed at reducing turnover intention and improving the retention of skilled internal auditors. Organizations are advised to develop programs such as creating a supportive work environment and promoting an organizational culture based on trust and mutual respect in order to strengthen organizational commitment among employees, especially internal auditors. Managers can also strengthen employee commitment to the organization by designing clear and long-term career paths that demonstrate the relationship between performance, competence, and career advancement. This involves providing learning and professional growth opportunities, as well as creating fair career advancement policies. Future research should also examine the impact of these control variables on the research results regarding reasons for turnover intentions among internal auditors. It is also recommended to use longitudinal methods to examine changes in the relationships between variables over time.

Keywords

Main Subjects

References

 
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Accounting and Auditing Review
Volume 32, Issue 4
2025
Pages 787-820

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