Research On The Internal Controls Of F Administrative Institution

With the deepening of the reform and opening-upto the outside world, the economy as well as the market economic system in our country has achieved progresses by leaps and bounds. However, the administration institutions in charge of public affairs of our country are commonly in rough management, inefficiency and bureaucracy, which seriously restrict the administrative institution’s innovation and reform. At the same time, for the information’s transparency and the civil rights consciousness’enhancement, the problems above have been exposed. Especially in recent years, a lot of reports of corruption cases brought more doubt and criticism to administrative institutions’ inefficiency. To strengthen the internal control becomes urgent to ease the contradiction at current time.Along with the reform of the economic system, the reform of the administrative system has been formally staged. Under the requirements and provisions of the government, the administrative institutions started to implement a series of management methods of internal controls, such as enhancing information construction, standardizing work processes and establishing internal control system. But due to the lack of recognition of the internal controls, the special system and management mode, limited reference and learning channels, the reform of internal controls of the administrative institutions have had little effect so far. Although through the reform of internal controls, the existing administrative institutions have already standardized work processes, simplified the usual procedures, increased the internal supervision and restricted the space of power rent-seeking to some extent, the reform has only achieved limited results due to the failure to form a comprehensive system of internal controls, the scattered internal control system, its inefficient operability and a lot of obstacles in the implementation. Administrative Institutions’ Internal Control Standard (for trial implementation) issued by the Ministry of Finance in November2012showed the way for the administrative institutions on the development and reform of internal controls. The standard has defined the methods of risk assessment and control for the administrative institutions, distinguished the internal controls in the institutional level and the operational level, set out building projects and contract control and emphasized supervision and evaluation. Meanwhile, the reform of internal controls has completed in China’s state-owned enterprises, which can provide important references for the administrative institutions to implement their internal controls. Based on the macro background, the internal controls of F administrative institution has been studied in this paper.By reviewing the history and current status of the administrative institutions’ internal controls, the author compares the reform process of the internal controls in foreign enterprises with administrative institutions, and combines with the actual situation of F administrative administration. Through a variety of research methods, such as the study of literature, theoretical assumption, case analysis, questionnaire survey and comparative analysis, the author has applied COSO internal control integrated framework in analyzing and evaluating the internal control activities of F administrative institution, combing and studying the exposed and hidden problems in its internal controls form five aspects respectively-environment control, risk assessment, activities control, information&communication, and supervision. Moreover, the author has accordingly put forward some suggestions for improvement, and also provide a reference for the administrative institutions to apply the COSO framework in evaluating their internal controls, which will contribute to refining common factors for the related institutions in charge of governing public affairs to construct their own internal control system, so that the research is of significance in reality.