Evaluating the Role of Accounting in Ensuring Quality Financial Controls in Laboratory Operations in Selected Companies in the Philippines

Erlinda L. Labalan, MBA¹, Jay A. Sario, MPA, DBA, Ed.D²
https://orcid.org/0009-0000-7849-1362¹, https://orcid.org/0000-0003-4755-3510
ellabalan.2020@gmail.com¹, docjayasario@gmail.com²
University of Perpetual Help System DALTA, Philippines^1-2
Philippine Christian University, Manila, Philippines²

DOI: https://doi.org/10.54476/apjaet/

                                                                                          Abstract

Financial controls play a crucial role in ensuring stability, risk management, and operational efficiency in laboratory settings, where accuracy and compliance are paramount. This study examines the influence of accounting practices on financial controls in laboratory operations within a selected companies in the Philippines. Using a descriptive-correlational research design, the study explores how accounting techniques such as financial reporting, budgeting, internal auditing, and compliance monitoring enhance financial control mechanisms. A stratified random sampling approach was utilized, with 337 respondents categorized into laboratory managers, financial personnel, regulatory compliance officers, laboratory technicians and other relevant staff. Data were gathered through a structured questionnaire assessing perceptions of accounting practices and financial control effectiveness. A strong correlation between accounting practices and the quality of financial controls is noted. Findings indicate that regular financial audits, transparent reporting and robust internal controls significantly enhance financial governance. However, challenges include aligning international accounting standards with the local regulatory environment and ensuring cost-effective financial control mechanisms. This study highlights the role of technology in improving financial insights oversight and recommends training programs for financial literacy among laboratory personnel. This research contributes to financial governance literature by identifying best practices and proposing strategies to strengthen financial control frameworks in laboratory operations. Policy makers, financial analyst, and laboratory managers can leverage these findings to enhance financial accountability, minimize risks, and foster financial sustainability in the industry. Future studies should explore industry- wide regulatory compliance frameworks and the adoption of financial technology in laboratory financial management.

Keywords: Financial controls, accounting practices, laboratory operation, regulatory compliance, financial governance

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