The Research On Enterprise Financial Control Mechanism

The loss of enterprise caused by the imperfection or invalidation of its financial control mechanism is common occurrence in actual work. How to strengthen the enterprise financial control is one of the hottest topics in the theory and practice field. In order to enrich the theories of financial control and give some help to practice, the enterprise financial control mechanism is discussed in the paper by the method of normative analysis and by using the beneficial results of the correlative theories with corporate governance structure for reference and according to the basic mode of thinking from theory to practice.The purpose of the paper is to construct a combinative mode of enterprise financial control mechanism of interior and exterior. Firstly, under the modern enterprise system and corporate governance structure, the principal part, target, rode and method of financial control is more discussed. Compared with traditional idea, it enriches its content and enlarges its extension and expands its meaning accordingly. It is considered that the actual enterprise control mechanism is 'insider's control' under administrative intervention by understanding the financial control mechanism and its functions of cooperation, adaptation and balance and reviewing the development of our country's enterprise financial control mechanism. Secondly, by analyzing and concluding all sorts of the viewpoints of corporate governance structure at home and abroad, the connection of supplement and acceleration each other between corporate governance structure and financial control mechanism is expounded, and it is considered that history coupling and practical symmetry are existing between them. It is also gone into that how to configure the principal part of financial control rationally and considered that it ought to distribute residual income symmetrically according to the magnitude of risk and power of the principal part. Finally, the mode of my country's enterprise financial control mechanism, a combinative control mode of internal control mechanism and external monitor and control mechanism giving priority to the board of supervisors and being assisted by the capital market, namely a combinative control mechanism of interior and exterior, is brought forward on the basic of comparing the characteristic of financial control mechanism between Britain & America and Germany & Japan and by using their experience for reference. To offer a favorable system environment for the mode, three aspects of relevant reformation are thought to be carried through including state-owned capital management system, enterprise property right system and market system.