Internal Control Of Sales Process Of Yunnan Copper Company In Implementation Of ERP

On June 28,2008, five ministries and commissions of China jointly issued the first Basic Norms of Internal Control, which was firstly implemented in listed company from July 1,2009 and encouraged to be implemented in non-listed large and medium enterprises. This is another major reform in line with international standards following the implementation of accounting standards and auditing standards, which is sure to promote standardization of internal control work in enterprises of China.Yunnan Copper Co., Ltd. is the leading enterprise of Yunnan Copper Group and one of its listed companies in Shenzhen Stock Exchange. Affected by the management concept of Aluminum Corporation of China characterized by "Severity, carefulness, practice, novelty, perseverance, and completeness" and Yunnan Copper Group’s new development strategy of "Optimizing structure, highlighting the main industry, strengthening management, and giving priority to efficiency", the enterprise faces the transformation from the decentralized control mode of the past to the centralized management and control mode characterized by "Two-level administration, combination of unification and separation, centralized management, and responsibilities for different levels"Sale is one of the key points of enterprise management. The purpose of this research lies in:through analysis of the case of internal control in implementation of ERP in sales of Yunnan Copper Co., Ltd., explore and study the counter policies, measures, and programs in ERP, so as to provide enterprise that have implemented or will implement ERP with positive references in terms of construction of sales module and improvement of internal control.The logical structure of the dissertation is:expounding the theories of internal control of enterprises first and then introducing and analyzing the statues quo and risks of internal control of sales process in Yunnan Copper Co., Ltd. Based on this, efforts are made to put forward planning and objectives of internal control of sales process construction in the implementation of ERP, and the specific measures and programs. According to the above-mentioned consideration, the dissertation is divided into five parts.The first part is Introduction. In this part, the background and objectives of the dissertation are introduced, the main contents and structure are explained, and the expected contribution of the dissertation is stated.The second part is Application of ERP System in Enterprises and Internal Control Theory. In this part, information construction of enterprise and application of ERP are expounded. The relations between information construction and ERP system, the functions of ERP system in enterprises, and ways to implement ERP system are analyzed. The latest domestic and foreign research results of internal control theories, the development and application of internal control theories in China, and the objectives and five factors of internal control of China’s enterprises are introduced. Meanwhile, the internal control objectives of enterprise sales process, key points of implementation of internal control, and assessment and disclosure of internal control of sales process are introduced.The third part is Status Quo and Risks of Internal Control of Sales Process. In this part, the status quo and risks of internal control of sales process of Yunnan Copper Co., Ltd. are analyzed in terms of responsibility division and authorization approval, and sales and delivery.The fourth part is Informatization Construction Planning in Sales Process. In this part, analysis is made in terms of strategic positioning, development orientation, objectives, overall construction, guidelines, principles, specific objectives, and implementation procedures. And the internal control objectives and specific steps of ERP implementation of sales process in Yunnan Copper Co., Ltd. are expounded.The fifth part is Measures and Programs of Internal Control in Sales Process. In this part, the specific measures and programs in implementation of ERP system in sales process are analyzed and put forward, and the main benefits of these internal control measures are expounded. Priorities are given to material data management, customer data management, pricing policy management, resource allocation, logistics, shipping, marketing execution, inventory management overseas subsidiaries, connection between warehouse and MES, business process specifications, and the management of futures delivery.The main contribution of this paper lies in:through analysis of the latest international results of internal control theories, analysis and study of the new system of internal control in China, and combining implementation of enterprise ERP system, specific internal control measures in implementation of ERP system in Yunnan Copper Co., Ltd. and the benefits of these measures are expounded. While providing the company with meaningful references in establishment of internal control of sales process in implementation of ERP system, the dissertation will help the achievement of the company’s strategic objectives to "Construct a first-rate enterprise and create a time-honored company". Meanwhile, the author hopes that the dissertation will serve as a catalyst of similar studies and provide the smelting and processing enterprises of the nonferrous industry with useful lessons and reference in establishing and improving internal control system.