Information To Control The Impact Of The Enterprise Value Chain

Now the study of internal control has been very popular, the main idea of thissubject has always been on control on accounting or control on auditing. Internalcontrol contains five elements, which are control environment, risk assessment,control activities, information and communication and monitoring. This article ismainly from the point of control on information and its influence on value chain. Thepurpose of this article is to explain the effect of information control on each processof value chain, how to increase value chain, and the value of the corporate finally.When it comes to value chain, which was derived from Porter's 'Competitiveadvantages', scholars in China have been contributed to value chain accounting andthe management of value chain. As information technology has been developeddramatically, financial and operational activities in corporations have been changedalong with the changes of information technology, for example because of theapplication of computer, computerized accounting and internet, and the way andspeed information has been transformed, the status of information in corporation haschanged a lot. The control on information and application of information will decidein most cases whether it can make profit and increase the whole value of thecorporation itself. After explain the meaning of the value chain, this article tried toassociate information control to the value chain, raise a point of view that effectiveand efficient information control will influence the increase of corporation value chainand thus the value of the corporation. The result of the citing study shows that if corporations give effective andefficient control on information, the value chain will be optimized, so the value of thecorporation increased.