Internal Accounting Control Under Information Technology

Our society has become increasingly dependent on accounting information system, which have grown increasingly more complex to meet our escalating needs for information. Companies have to enhance internal control to face the growing risk of their systems as systems grow complexity and our dependence on them increases. Internal Control is one of the most important aspects in a company's operation. Not only it is the beginning of a company's management but also it is the basis of a company's running. Internal control has played a more and more important part in today's world. There are three main functions that internal control has performed. First, it will deter problem advance when some risk problem arise. Second, it will discover these problems as soon as possible when some problems arise. Third, it remedies problems discovered with detective controls. Meanwhile, internal controls consists of all the measures taken by the organization for the purpose of; (1) protecting its resources against waste, fraud, and inefficiency; (2) ensuring accuracy and reliability in accounting and operating data; (3) securing compliance with the policies of the organization; and (4) evaluating the level of performance in all organizational units of the organization. Internal controls are simply good business practices.This paper is based on the western economy theories, accounting, audit and other relative fields. It combines the research methods of theoretical analysis and demonstration to represent the features of our companies' internal control. The main contents are presented as follows:There are 7 parts in this paper.Part one tells us history about internal control in detail. How it influence a firms' operation. Part two is about the theory of internal accounting control and our development in this field, I believe this research can support the establishment of our new control mechanism.Part three introduce us the control mode of USA. We know that every country has its own mode because of their different economic condition. We can learn form these countries by knowing how they running. What's more, this part illustrates how our country's control mechanism developed. And I analyze the reason why control system of our companies is twisted It is the basic knowledge in this paper.Part four is about optimizing internal control system of our companies. Point out the measures that can optimize the internal control system of our enterprise.Part five and six is about Internal Control Limitations and future of internal accounting control system.Part seven is Concluding RemarkThough the present internal control systems are not perfect, I believe that the new mechanism will be established finally with the development and amplification of market economy in China.