Research On Information And Communication Element For Internal Control In China Commerial Banks

Information and communication as the basic elements play irreplaceable roles of internal control, moreover they provide information to support and organically link other elements within the internal control. Internal control of information and communication includes two aspects——information and communication. Information is the object and content of communication whereas communication is the means and methods of information transfer, information and communication which have mutual linkage and influence work functionally in the internal control.Finance is regarded as the core of one country's economy while banking industry is considered to be the most important areas of the financial sector, thus, the regulation from the nation on commercial banks' internal control is the most stringent, since it influences the stability and efficiency of commercial banks' development. As the important elements within internal control, information and communication obtain crucial impact on commercial banks, their efficiency can directly influence the image, competibility or even the life and death issue of the bank.However, so far, the researches and practices on information and communication elements of commerical banks' internal control are still scarce. This paper, using information and communication of the commercial bank as the theme, first extensively refers to literatures domestic and abroad, explains the inner meanings and development of information and communication and analyzes the COSO Committee, the Basel Committee as well as the documents of requirements on information and communication of internal control proposed by related department of China. Then, due to the special nature of commercial bank itself, the paper describes the significance of information and communication on the operations and development of commercial banks. At last, combining the status quo of China's commercial banks, the paper analyzes the possible problems and proposes suggestions and measures of the establishment of information and co(?)munication respectively from the bank information system, internal and external communication, information disclosure and anti-fraud mechanism, etc.