The Enterprise’s Internal Control Research Based On Typical Case

In recent years, the global financial and economic fields appear serious distortion ofaccounting information, management runaway problems, this series of events is largelybecause of the failure of internal control, thence the enterprise’s internal control is becomingwidespread concern of all countries, the United States promulgated the《Sarbanes-Oxley Act》on July30,2002. In China recent years, from Enron Guangxia event, Zheng Baiwentrickery event to the emergence of huge losses in the CAO oil speculation, listed companies’accounting scandals occur frequently, seriously disrupting the order of the capital market, hasshaken the investment ’s confidence. The occurrence of this series of events to explain all theconfusion of internal control management, mapping out the lack of supervision of the internalcontrol. Internal control enterprise on the basis of day-to-day operation and management toensure that the now normal business operation of internal control problems, then it is likely toaffect the normal production and operation of enterprises. Since China’s accession to theWTO, the economic environment has become increasingly complex, facing more intensecompetition, the construction of internal control is particularly important in order to adapt tothe increasingly fierce market competition. Therefore to establish a sound internal control ofthe enterprise, without further ado, is of great theoretical and practical significance.This paper is divided into five parts. The first part is an introduction, an overview of arange of issues of internal control relevant background and significance of the study methods,etc., and then pointed out that the innovations and shortcomings of this paper. The second partdescribes the internal control theory. Including the meaning and role, the various stages andthe five elements of internal control. The third part is the analysis of the pros and cons of thecase related to the internal control. The internal control of Kodak and Wal-Mart Stores Inc.,and get some inspiration mainly from the internal control the angle of the five elements. Thefourth part is through the summary of these cases, Put forward the main problems of internalcontrol of our country combined with China’s actual conditions. The last part is a combinationof the issues raised in the fourth part gives the corresponding solutions by drawing on theexperience of Wal-Mart’s success, and want to be able to provide some valuable comments orideas for the establishment and improvement of our internal control system.