Improved Study On Value-added Internal Audit In X Company

With flexible management system and advantage of adjusting quickly to thechanges of domestic and international situation, private foreign trade enterprises getrapid development and growth in recent years. And they play an increasinglyimportant part all over the world with their great competitiveness, big market shareand good ability to resist the risk. But on the other hand, the private foreign tradeenterprises are still struggling on the road to add more value to themselves. Facing thevarious problems, those private foreign trade enterprises urgently need to implementthe management of globalization, so that foreign institutions abroad could beeffectively monitored and controlled, and timely management advice could beprovided to the management. At this point, the internal audit is undergoing drasticchanges. With its advanced concept of increasing organization value and successfulapplication experience in the domestic and international large enterprises, thevalue-added audit quickly get the management of private foreign trade enterprises’favor and developed to be used more effectively.This article is based on the firsthand internal audit material of a private foreigntrade company X in Guangdong province, studies and analyses the present problem ofinternal audit in this company as well as the reasons, and put forward the suggestionsfor improvement. The way of normative research and case study has been used. Basedon the research background, the introduction of this paper introduces and appraisesthe present situation of domestic and foreign value-added internal auditing theory andapplication. The second part of this article, on the basis of the previous studies,introduces the present situation of value-added audit in X company, which includesinternal activity orientation, organization mode, dimensions, work condition, auditpersonnel training, team construction situation and so on, and serves as a steppingstone for the latter part of this article. The third and forth parts play an important rolein this article. The third part compares the internal audit of X company with standardsand excellent examples to get the whole picture of it, and analyzes the main problemsof internal audit of X company, which stand in the way of value-adding, namely theinternal audit service field, audit contents, audit plans, implementation effects and soon, to the value-added audit in X company. And the reasons to the failure ofvalue-added audit could be summarized in two part, the subjective reasons and objective ones. According to the present situation of internal audit, the fourth part putforward several suggestions for improvement, which include improvingorganizational structure, adjusting the strategic orientation, changing the audit content,improving the risk management system, constructing performance evaluation system,strengthening the training of audit personnel and so on. The last part includes theconclusion and limitations of this study.This article realizes the gap between X company and other leading companies byanalyzing the construction and execution in value-added audit. In order to propel thevalue-added audit work, it is necessary to start with the basic problems for us,choosing perfecting organization structure of internal audit, adjusting strategicposition of internal audit, developing the service field, heightening treatment, buildingsystem of evaluation achievement of value-added internal audit, enforcing intensivetraining of staffs and so on. Combining with the actual situation of X company, thisarticle put forward some suggestions and hope to play a certain reference to theconstruction and perfection of value-added internal audit in other companies.