| In 2002, July 30, President Bush signed the Sarbanes-Oxley Act (the Act). The Act Section 404 requires listed companies to implement strict internal control, and require non-u.s. listed companies should be as at December 31,2006 annual report make decisions about internal control assessment of written declaration. The State-owned assets supervision and Administration Commission of the overall risk management compendia requirements under all the dedicated departments internally, to prevent and control risks. As in the United States listing of State-owned holding company,They must comply with the Act and the relevant provisions of the State.HNYD company is in the fast expansion of development in recent years,at the same time, the foreign business environment has changed a lot of changes, many internal management system, and the problem has gradually exposed, internal control is a sound that is one of the most prominent issue. Based in the Sarbanes-Oxley Act "requires, How to improve the internal control system is currently an urgent need to resolve the problem.This article is based on the theoretical basis of internal control, as well as related system theory, Cybernetics and principal-agent theory,through analysing HNYD the company's internal control framework and its present, found its internal control problems, and mine their origins of the problem. On the basis of the analysis, from HNYD'weak internal control parts, It made a series of perfect HNYD company internal control methods and strategies. Mainly it includes the HNYD business environment and internal control, risk prevention and assessment, and income security to propose specific improvement measures. And on improving the financial situation of the enterprise before and after for a comparative analysis, to HNYD organizations increase operating profit up to 47.58%. |
