Research On District And County-level Administrative Institution Internal Control Evaluationmodel

Establishing a scientific and reasonable internal control evaluation system for government administrative institutions is the requirement of raising internal management efficiency and is an important measure to push forward country governance and rule of law of the government. This system introduces the theory and measures of enterprise internal control into administrative institutions and helps to create a counterbalancing mechanism through exercising powers according to specific matters, establishing powers based on different positions, authorizing powers to different levels and corruption prevention. With the aim of effectively promoting the reform and innovation of internal control evaluation theory and management practice, this paper focuses on district and county-level administrative institution internal control evaluation system and applied research which is based on the financial private network. This paper’s main research and innovation are as follows:Firstly, the establishment of a Comprehensive Dynamic Circular Evaluation Model for the Internal Control of Administrative Institutions. On the basis of administrative institution principal theory, internal control and evaluation theory, system theory, and taking consideration of Norms for Internal Control of Administrative institutions(Trail Implementation) and key elements of COSO internal control, this research paper raises internal control evaluation to the level of a systematic research based on an open, dynamic and circular vision. This research gives full attention to institution and operational levels, internal control design and its operation, control process and objectives, control activities and methods as well as institution and stakeholder demands. While dividing each evaluation cycle into four phases of evaluation prerequisite, evaluation process, evaluation results and evaluation improvement, this research also reflects a continuous improvement process for the effectiveness of internal control design and operation in different evaluation phases. The modeling of a comprehensive dynamic circular evaluation further enriches the theory of internal control evaluation.Secondly, the establishment of District and County-level Administrative Institution Internal Control Evaluation Management Model Composed by “Comprehensive Dynamic Circular Evaluation Model for the Internal Control of Administrative Institutions- Qualitative and Quantitative Evaluation Indicator System – Evaluation Information System Based on the Financial Private Network”.On the basis of conceptual model, drawing on the reference of available research, according to the requirement of the Ministry of Finance and Beijing Municipal Finance Bureau on administrative institution internal control evaluation management and based on the practical operation of administrative institutions, a group of 203 academic experts and representatives from operational levels selected the evaluation indicators. The apportioning of weight of indicators is based on Analytic Hierarchy Process and manualselection. In the end, 3 first-level indicators, 16 second-level indicators and 52 third-level indicators were set up. This modelwill be able to realize the consolidation of district and county-level administrative institution internal control self-evaluation and supervision institution external evaluation in terms of content and standards, network environment, evaluation report, deficiency identification, improvement supervision, data analysis and filing.Thirdly, the case analysis of District and County-level Administrative Institution Internal Control Evaluation Management Model.The application research is carried on in 10 institutions in Pinggu District in Beijing. Self-evaluation and external evaluation were both conducted in the 10 institutions and evaluation reports were formed based on the evaluation. According to the statistical analysis on the data of effectiveness of internal control, the internal control deficiency and deficiency improvement, the author gavesuggestions for the supervisors to enhance internal control construction guidance andevaluation result appliance, and creatively raised the “classification of administrative institution internal control effectiveness and improvement strategy based on the Comprehensive Dynamic Circular Evaluation Model”. The case analysis is in compliance with the real situation of internal control of administrative institutions. The application proves that the evaluation model is scientific, the indicator system is reasonable, the information management system is convenient and efficient and the district and county-level evaluation management model boasts a broad range for cascading all over the country.