Effect Of Performance Management Incentive Of Internal Audit Department Of Agricultur Bank Of China

The regulatory departments and financial organs attach much importance to and conduct comprehensive reflection on the areas of corporate governance, risk management and inside control in all countries. As one of the four foundations of the corporate governance, the internal audit is the proficient department of risk management, and obtains much attention from both domestic and abroad investors, internal administers and external regulation. As to improvement the quality of internal audit, there are two aspects to which we can put efforts. Firstly, we should perfect the rules and regulations of the internal audit, and refine the working process. Secondly, we should value the performance of the internal audit, and enhance the enthusiasm and creativity of the auditors. The performance appraisal of internal audit has been the focus of discussion and research in theory and practice. The performance appraisal mode of internal audit has been established and developed maturely in the developed countries. The research about that, however, has been in the pace of initial discovery. It is not feasible to copy the approaches from other foreign countries because of the big difference in the aspect of economy, law and humanity environment. The department of the internal audit in the Bank of Agriculture was established lately. As a result, the performance appraisal is weak in the internal regulation.The author of this paper has accumulated experience during the practice of regulation on human resource. This paper will use the cases as examples to reveal the common problems and weak aspect of the performance appraisal in the internal audit department of the Bank of Agriculture.Moreover, it will provide the three standards to review the effects of encourage though the research of performance appraisal encourage effect. In this way, the difficulty of performance appraisal will be disclosed, and the three standards will show their practicality and operability.This paper intends to provide the theoretical basis and practical standard for the improvement and perfection of the performance appraisal in the department of internal audit, and to raise the level of internal regulation in the Bank of Agriculture. This research approach and proposal will provide a better guide and reference to other audit offices in the Bank of Agriculture and other department for the enhance of performance appraisal and realization of positive influence.