The Research On The Internal Control Construction Of Administration Institutions

Internal control plays an important role in the management work of administrative institutions. Due to the particularity of administrative institutions, the complexity of domestic internal control, as well as the lack of awareness of the importance of internal control in both theory and practice, the construction of internal control in administrative institutions of China has generally lagged behind and there are many problems existing which have seriously restricted the working efficiency and effect of administrative institutions and imposed adverse effect on the accounting information quality of the administrative institutions. Therefore, it is urgent that the work of investigation and research into the internal control of administrative institutions of China should be paid attention to and strengthened, on the basis of which an internal control system that can meet the characteristics and the management mode of administrative institutions should be developed.This paper mainly uses the inductive method and deductive method in the study of specification. And combined with administrative institutions internal control questionnaire to understand the internal control of administrative institutions, analyzed the present stage our country administrative institutions for the construction of the internal control system and the problems existing in the implementation process. Since then, the paper uses the technique of game model in the study of the empirical research, analysis is put forward in the administrative institution construction of internal control is necessary. And analysis the two factors, incentives and supervision that may affect the administrative institutions internal control implementation effect, makes every effort to find out the Nash equilibrium, then, make recommendations for perfecting the construction of administrative units of the internal control system and improving the efficiency.The paper is divided into seven parts. The first part is exordium, this paper introduces the background and significance of the topic, describes the status of internal control study of administrative units in the whole, and introduced the idea of major research articles and research methods. The second part is the literature review, which describes the origin and development of the internal control of foreign public sectors and administrative institutions. The third part is the theoretical basis of this study. The fourth part is the questionnaire analysis. This part summarized and analyzed expounded China’s administrative units of the problems from three perspectives combine the questionnaires that have recovered. The fifth part is the design and analysis of game model. This part is mainly through the game analysis of the three models to explain the development and implementation of internal control systems in the administrative institutions is essential, and analyzes the implementation process in the administrative institutions of the incentive system of internal controls in the unit play an active role in the management level, and the importance of effective regulatory institutions for the administration of internal control implementation. The sixth part presents four recommendations for perfecting the construction of the internal control system and improves the efficiency of the administrative institutions internal control, which combined with China’s macro-economic conditions and the prevailing political rules. First, to raise awareness of the extent of the administrative institutions of internal controls, strengthen internal control awareness. Secondly, to establish virtuous human resource policies, improve the evaluation system, the third is to regulate basic accounting work, and strengthen the role of accounting control systems. Finally is to the implementation of internal audit work, strengthen external oversight. The seventh part summarize the full text, proposed that the internal control system constructing of administrative institutions in China should be improved as soon as possible, learning from the internal control rules in corporations which are relatively mature and the experience from the internal control system constructing of international public departments, combined with the particularity of administrative institutions and the real national conditions in China, improve the efficiency of internal control unit to ensure national implementation of policies and implementation, ensure no loss of state-owned assets and to increase efficiency, improve the internal management level, to promote the cultivation of clean government, maintaining the social public interests. There are two innovation points in this paper. The first point is that the paper is not limited to the existing literature and to summarize the existing problems of internal control of administrative institutions, but try to design internal control questionnaire, to understand the construction of the administrative institutions of the internal control system and the implementation, to make the results more convincing. The second point is that the paper takes the public accountability theory, motivation theory as the theoretical basis, and use the game theory to explain the important role of the internal control system to improve the management level of administrative institutions, preventing corruption and loss of state assets and other issues, as well as an effective incentive system and internal and external oversight institutions for administrative internal controls influence the implementation of the results.Admittedly, this paper still has some disadvantages. First of all, the development of the administrative institutions internal control construction is still in its primary stage, and the relevant literature and specific cases are less, leading to available information and data scarcity, not completely match the actual demand.Secondly,the paper adopt the way of questionnaires to analyze the states quo of administration institutions. In the issuance of questionnaires, we considered recovery rate as the main factor, so the area covered by questionnaire and unit is small, which has some effect on the research. Finally, due to the special political system in our country, the relevant administrative institutions internal control information and data, especially the practice of first-hand information is not readily available, so we can not establish a mathematical model to validate this article conclusion, this work remains to be further improved.