The Study On Internal Control Of Inventory Management In Mk Auto Parts Company

In recent years, continued global economic recession and European debt crisisintensified, so that we more clearly understand that excess capacity caused by pastproducing extensive mode of economic development make traditional economicdevelopment model unsustainable. The enrichment of the vehicle models and thejust-in-time delivery requirements of vehicle manufacturers to parts manufacturer, forcedthe increasing product variety and material type of auto parts enterprises. At the sametime, due to the increasing inventory pressure, inventory management has also exposedsome problems, high inventory cost, capital takes up big and low capital utilization hasbecame the main problem restricting the development of auto parts enterprises. Internalcontrol is one of the important means of modern enterprise management, it cansignificantly improve business efficiency and prevent the occurrence of fraud, to ensurethe security of corporate assets. For auto parts enterprises, therefore, how to strengthenthe inventory management and establish the effective internal control system is an urgentproblem in the enterprise.MK corporation is an auto parts manufacturing enterprises, with the ongoingbusiness expansion and the expansion of business scale, the inventory managementproblem also will increase in recent years. Specifically, the issues facing the company hasa serious backlog of inventories, inventory backlog, serious material loss, increasinginventory costs, low capital efficiency. From the actual situation of MK’s view, the use ofinternal control of this important modern enterprise management system, strengthen thecompany’s internal control over MK inventory management, improve enterpriseinventory management system deficiencies, but also enhance the level of internal control,improve cash flow rate, reduce inventory, improve capital efficiency and accelerateinventory flow in response to to provide reasonable assurance for rapid development ofthe enterprise.Writing full text is divided into four parts.：The first part is an introduction. Introduces the research background andsignificance, literature review, research methodology and the main content and abroad,focusing on domestic and foreign literature states the authority needed for this study. The second part is the case description, which introduces the basic situation of theMK Corporation, and the internal control of the company stock structure, focusing on theproblems of the company MK inventory management internal control specificdescription.The third part is a case study. First applied to the case of internal control inventorymanagement theory elaborated, and then analyze the problem MK Corporation internalcontrol inventory management based on a theoretical basis, focusing on analyzing thecause of the problem.Part IV recommendations and conclusions. First, inventory management is for theMK system of internal control problems of practical concrete measures to improve thecompany’s internal control inventory management. Focus from environmental, inventorycontrol processes, inventory information management, inventory management andinventory management daily supervision of internal control recommendations forimprovement. Then the height of the full text came as the summary and generalization.