The Evaluation Study On Effectiveness Of Internal Control Of Service Listed Companies

In the1960s, the economic centre of the western capitalist countries was transferred fromindustrial economy to service economy, and the industrial structure changedtremendously.The service economy drives the development of the western capitalist economy.In terms of employment and GDP growth, the positive influence of industry was replaced byservice industries. Since the reform and opening in China, the economic structure had beenadjusted after the serious hysteresis. The service economy, as the third industry, enhanced itsmain dominance gradually in the national economy. A country or region’s production leveland social level depends on the level of development of the service much. So, the serviceindustry is an important part of the whole economic system.However, the services company which came into the market existing defects in theinternal control in the process of the development of the companies, these defects leading tothe existence of various risks. Under the background of the international financial crisis,many service listing Corporation have the fraud of the accountant and the management fraudbecause of the lack of the internal controls. Although the enterprise’s internal control cannoteliminated the operation risk, but the effective internal control can make the enterpriseachieving the sustainable growth when it up against the complicated competition of themarket economic system.This paper suggested establishing an effective comprehensive validity evaluation modelof the internal control in terms of the effect of the implementation of internal control ofservices listed companies.This paper will give the descriptive statistical analysis of the related variables and thecorresponding conclusion in allusion to the internal control effectiveness evaluation of theservices of the services listed companies. Overall framework of this article introduces therelated theory of the internal control effectiveness first, it is based on the understanding of thetheory study, and this article defined the services listed companies. Based on reading a lot ofliterature of the methods of the evaluation of internal control effectiveness, select the internalcontrol goals determine the effectiveness of internal control evaluation index variable, takingthe method which combining the qualitative indicators and quantitative indicators, to theindicators dimensionless, setting up a comprehensive evaluation of the effectiveness ofinternal control evaluation model. After empirical research, according to the results ofcomprehensive evaluation, starting from the five internal control target, put forward thecorresponding policy recommendations, guidance services on internal control of listedcompanies sustainable.