Research On The Determinants Of The Establishment Of The CPC Audit Committee In China’s Public Hospitals

Since the 18 th National Congress of the Communist Party of China(CPC),the Central Committee has made a series of major decisions and arrangements regarding audit as an important part of the Party’s and the State’s supervision system,pointing out the direction for the development of the audit cause and providing fundamental guidance.The 19 th National Congress of the CPC made a decision to reform the audit management system,requiring the construction of an efficient audit supervision system to better play the role of audit supervision.When the CPC Central Committee has carried out the reform of the audit management system,the follow-up and innovation at the local and organizational levels are more worthy of attention.Up to now,all Provincial,Municipal and District/County Party committees have set up the CPC Audit Committees.In addition to the "full coverage" of the CPC Audit Committees,some leading Provinces(Jiangxi,Shandong,Hebei,Guangdong)and Autonomous Regions(Guangxi)have promoted the establishment of the CPC Audit Committee system in public hospitals.This provides a good research scenario for this paper to study whether public hospitals should introduce the CPC Audit Committee mechanism in a timely manner based on the CPC Audit Committee system and the "full audit coverage" strategy,and provides an important research opportunity for further investigating the role mechanism of the CPC Audit Committee in advanced public hospitals.What are the factors that affect the establishment or non-establishment of the CPC Audit Committee in public hospitals? These issues need to be explored urgently.This paper first combs the literature on non-profit organization governance and its audit committee,the CPC Audit Committee,and the governance of public hospitals and it’s the CPC Audit Committee,uses the stakeholder theory to determine that the core stakeholders influencing the establishment of the CPC Audit Committee in public hospitals are the government and hospital governance,and then uses the supply and demand theory to build the supply and demand model before and after the "party management audit" in public hospitals.It also combs and analyzes the regulation of the CPC Audit Committee in our country,and constructs a theoretical analysis framework of the factors affecting the establishment of the CPC Audit Committee in public hospitals.Secondly,this paper takes Jiangxi Provincial People’s Hospital as an example to study the influencing factors of the establishment of the CPC Audit Committee system in public hospitals.At the same time,Zhejiang Provincial People’s Hospital was selected for cross case comparative analysis to investigate the influencing factors of the absence of the CPC Audit Committee;and Nvivo11 Plus software is used to identify relevant influencing factors,and then three levels of dominant factors,main factors and internal factors are obtained by means of interpretive structural model.We find that government regulation is the main factor determining the establishment of the CPC Audit Committee in public hospitals.Similarly,the attitude of the government is the main reason why public hospitals do not set up the CPC Audit Committee.The government’s decision-making willingness depends on the provincial characteristics,the decision-maker’s concept,the overall level of internal audit and other factors.Among them,the provincial endowment(characteristics)may be the fundamental internal reason for the decision to fully implement the CPC Audit Committee system in public hospitals.In addition,the hospital management’s need to improve the political position,independent authority and work efficiency of the hospital’s internal audit is the dominant factor in establishing the CPC Audit Committee.Finally,through theoretical analysis and case studies,this paper puts forward the following suggestions:(1)It is recommended that government departments steadily implement the CPC Audit Committee in public hospitals;(2)It is suggested that qualified public hospitals should set up the CPC Audit Committee;(3)It is suggested that public hospitals strengthen the allocation of internal auditors.The CPC Audit Committee of the non-profit organization has many similarities with the audit committee of the foreign board of directors in terms of functional orientation,and has distinctive Chinese characteristics.It emphasizes that the party’s leadership is embedded in the political guarantee mechanism of organizational governance and the right supervision and restraint mechanism.Exploring this issue is of great significance for speeding up the construction of the audit and paying attention to and strengthening the people’s livelihood audit,promoting the "full coverage of audit" strategy proposed by the state and strengthening the effective implementation of the joint force of audit and supervision in the medical field.