Effective Corporate Governance And Internal Control System Integration

With lots of scandals appearing, internal control had been examined againand its importance had been stressed since 2000.Some governments enactedseries of regulations and systems strengthening corporate internal control,however these rules seemed not work well.This thesis studies how to improve internal control effect, pointing out thebasic means is the effective combination between internal control systems andcorporate governance structures. Next, the thesis analyzes the issue ofEntrust-Surrogate brings up internal control and corporate governance issues.And the inherent relations and influences each other between the two issuesmake that combination inevitable, three examples like CHINA AVIATION OILalso presented. Finally, the thesis discusses the combination means in detail,and concludes that (1) improving corporate structures, ensuring the core status ofboard of directors, (2) reinforcing control, (3) evaluating and supervising risk, (4)communicating information, (5) increasing timing inspect, are the effectivecombination means between internal control systems and corporate governancestructures.