Internal Control as a generator of Public Value: Diagnosis and improvements in the Housing and Urban Development Service of the Biobío Region, Chile

Abstract

This article aims to assess the maturity of the internal control system of Serviu Biobío and propose an integrated matrix—risk, quality, and supervision—to optimize control planning. The method used is a mixed approach, involving a review of 98 procedures, 60 audits between 2019 and 2023, 26 meetings, and risk bases/SQMS; descriptive statistical analysis and thematic coding. The main results are: (i) imbalance between control (408 controls) and supervision (60 audits) with an overemphasis on operational processes; (ii) absence of risk management in 32% of procedures; (iii) control culture limited to ex-ante reviews. The Total Control Matrix (MCT) is presented, which integrates Control Level, Control Density, and Supervision Activities, allowing interventions to be focused on poorly audited support processes. In conclusion, we can point out that the TCM aligns internal control with the strategic objectives of Minvu (2022-26 Housing Emergency Plan) and contributes to the creation of public value by allocating control resources where the institution’s management lacks information. The main limitations were that the analysis was limited to 2019-23 and lacked longitudinal validation.