Study On The Internal Control System Of College Budget

Budget is a kind of management system. College budget is a internal controlsystem by which colleges make the plan, do the execution and evaluation ofdigitalization of resource allocation according to the development target and task ofeducational business. College internal control refers to the risk prediction,identification, evaluation and prevention for guaranteeing accounting informationquality, improving school-running benefit and advocating legal school-running,which is for the sustainable development of educational business. Internal controlsystem of college budget refers to a series of coordinating integrity of reflecting itseconomic activity, predicting and preventing school-running risks through scientificbudget, rigorous budget execution and objective budget evaluation. Internal controlsystem of college budget consists of feed-forward control system (budget planning andcompiling system), synchronous control system(budget execution system) andfeedback control system (budget evaluation system).The development of internal control theory has mainly go through five stages insequence from germination stage to growth stage to development stage to maturationstage and to post-maturation stage. The germination stage is also called internalcheck from the late15th century to the1940s. Growth stage refers to internal controlsystem from the1940s to the early1980s. The development stage refers to internalcontrol structure in the1980s. Maturation stage refers to internal control frameworkstage in the1990s. Post-maturation stage refers to enterprise-wide risk managementfrom the beginning of the21th century till now. Marked by the promulgation ofAmerican Sarbanes-Oxley Act(SOA Act) in2002and the publication of ChineseBasic Norms of Enterprise Internal Control in2008, internal control has formed asystematically round system. Compared with enterprise internal control system, college internal controlsystem featured with non-profit making, universality, complexity,and diversity.College internal control system takes budget internal control as its core, collegebudget is not only the foundation of college internal control but also the security forimplementing college internal control measures. College budget internal controlsystem is a round control process with feed-forward control (budget planning),synchronization control(budget execution, budget analysis and budget adjustment),and feedback control(budget performance evaluation). College budget internal controlsystem takes comprehensiveness,integrity, dynamic as its characteristics. In essence,college internal control refers to the risk prediction, identification, evaluation andprevention for the sustainable development of educational business. College budgetis a management system of predicting,recognizing,evaluating,controlling andpreventing risk through planning,supervising and evaluating. College budget is one ofcollege internal control systems.At present,these six problems in internal control system of college budget are asfollows: The first one is light budget awareness and backward budget concept; Thesecond one is incomplete budget management organization; The third one isincomplete budget coding content; The fourth one is unscientific budget codingmethod; The fifth one is incompetent control of budget enforcement; The sixth one isthe incomplete evaluation system of the budget enforcement result. The historicalreason, insufficient publicity,insufficient attention from leaders and low staff qualityaccount for the present situation. In order to improve college budget internal system,we should strengthen and renew budget concepts, perfect budget managementorganization, implement overall budget control in every section, adopt comprehensivebudget coding method, reinforce budget enforcement and complete budgetperformance evaluation system.The overall target of college internal control system is to realize the sustainabledevelopment of college educational business. Specifically speaking, promoting thelegal school running of college,securing the quality of college accountinginformation and enhancing school effectiveness are its three targets. Its four characteristics are as follows: The first one is the combination of strategy andperiodicity; The second one is its comprehensiveness; The third one is its economy,timeliness and flexibility.The fourth one is the combination of guidance andoperability. College budget internal control system includes systemorganization,budget coding control system,budget enforcement control system andbudget performance evaluation control system.College internal control system carries out the prediction,evaluation,analysis,controland prevention of risk of decision making, legal risk and financial risk to improveschool-running benefit and keep the sustainable development of education business.Therefore, the urgency and importance of building college budget internal controlsystem should be highlighted under the current situation that college corruption isfrequent, violation charge, debt risk expansion and college funds management leakproblems are serious.