Risk-oriented Network Based On The Internal Control Of Enterprise Financial

Enterprise management process, risk is everywhere, and some even lead to business risk end to failure. Risk is a shrewd manager of each should be concerned about. How to achieve the management of these risks become issues of concern. Internal control can be used as a management tool, through the managers establish and improve an appropriate internal control system, reduce business risk, to help companies achieve the desired management objectives. The financial internal control is the center of the internal control and strengthen the financial internal control to achieve business goals has an important role. Control measures in the management intent and embedded through ERP management system is recommended best practices and successful implementation of the internal control system and the effective integration of business operations. All enterprises should attach great importance to risk management, focusing on internal control, into the enterprise resource, the use of advanced computer technology, risk management, internal control and integration of computer technology, and promote the steady development of enterprises.This article explores the perspective from the risk of financial control, risk management and enterprise business systems (ERP) combined. In order to control the business risk, improve the management level needs.This article is divided into six chapters to analyze the described issues related to corporate financial control, as follows:The first chapter is an introduction, including research background, literature review, research methods, ideas, scope, lack of innovation and introduction.The second chapter is the basic theory of financial internal control study.This chapter is the definition of financial control, in essence, the relationship with the relevant control concepts, including the evolution of internal control theory, new developments in internal control, financial internal control three-part definition. First, the author describes the historical development of internal financial control process. Secondly, the introduction of "enterprise risk management framework", and its constituent elements, described elements of risk management and corporate goals, corporate relations at all levels and departments, focusing on analysis of the internal control and enterprise risk management relations, draw cross-cutting, fusion, until the reunification is the inevitable trend of their development. Again, the author analyzes some of the most authoritative on the basis of the definition of financial control, financial control, this paper put forward the understanding of the meaning that the essence of financial control is to improve corporate governance. Finally, the author of the "internal financial control and internal control, accounting control" relationship to the conceptual clarification of the links and differences between them.The third chapter analyzes the power status of corporate financial internal control and risk characteristics of financial internal control orientation.This chapter is the focus of this article. First, the author discusses the existence of power grid enterprises in the business:investment, facilities scattered, capital-intensive, large-scale assets, management, multi-level and other operating characteristics. Financial risk mainly in the larger systemic financial risk, financial risk with regional, outstanding risk capital management, internal controls have a greater impact on the financial risk characteristics of four. Secondly, the interpretation of the current status of internal control grid proposed the concept of risk-based internal controls. End of the chapter discusses the establishment of risk-based internal financial control is the power needs of enterprise-wide risk management and their own development needs. And further illustrates the feasibility of the implementation stage. Is divided into 7 small sections. Including: the establishment of risk indicators and risk identification systems; trade-off analysis can be divided into high, middle and low; to determine the risk weight; risk warning; attitude toward risk and measures; analyze risk, locate the root causes of control measures; use of advanced information technology, internal financial control. Through the above risk-oriented theory of financial control, financial control practices to provide a foundation for the risk-based practices made possible by financial control.The fourth chapter discusses the business risk of building a network of financial internal control-oriented ideas, and discuss its construction goals, principles, which proposed to build ideas.First of all, discusses the three levels of internal control objectives, and discussed the relationship between all levels, noting that enterprises in the design and improvement of internal controls, you can follow the steps for local conditions. Secondly, the building should follow the "comprehensive, the importance of checks and balances, appropriateness, cost-effective" five principles of respect. Finally, the construction ideas, including the five stages, namely the planning stage, evaluation stage, the promotion phase, testing phase and the summary and report stage. Pointed out that the construction of internal control is a complex process based on the above steps, which contains many technical details and operational skills, and multi-sectoral collaboration and coordination. Therefore, managers need to consider both the overall condescending, but also insight into the nuances.Chapter Z grid company through financial reporting, financial management, procurement, fixed assets and intangible assets, guarantees, related party transactions the risk of several types of typical business specific application-oriented financial internal control, demonstrating the importance of a risk will be necessary in accordance with ERP system, financial control link embedded in an application example. Good corporate culture of risk awareness and risk control sooner, curing the part of management, execution of the enhanced fully reflected the risk-based superiority of financial internal controls. But also recognizing the aging of knowledge structure, internal evaluations carried out not in place as the current play a role in restricting the two major bottlenecks. Grid need to rise to the use of corporate and other business practices when the attention.Chapter VI summarizes the full text.The main contribution of this paper are:(1) The point of innovation. Currently, the system of financial control of construction and control of many of the "business risk" in this perspective less, and this paper, from the perspective of risk for financial control of the necessity and feasibility. (2) This article is based on the IT environment, ERP (SAP), financial management and control system, risk, and the internal control of the use of research for modern enterprises to adapt to changing network environment changes, how to promote the financial internal control management, and promote business target completion to enhance corporate value with reference value. The main deficiencies are:(1) This article is from a risk point of view to start discussion on the financial controls, restrictions on the research enterprise level, not on the industry risk has a very complete summary; failed to effect the implementation of financial controls conduct relevant research, the lack of depth of this study. (2) From the start of business risk point of view of the financial control to Z grid companies targeting more Chinese enterprises failed to examine the status of implementation, the conclusions will inevitably biased. No lack of good business in China, the selected subjects may not be representative.