Research On The Internal Control Of Listed Companies In Liquor Industry

Our liquor industry is doing badly in recent years, listed companies must attach importance to establish and improve internal control. Through the construction of internal control to help reduce or even avoid losses of interests of enterprises which are caused by theft, fraud, corruption and so on. However, the status of internal control in liquor industry is not ideal. This will cause a great deal of influence and threat to the long-term development of the enterprise.In the paper, descriptive statistical analytical method and multiple case study method are be used, based on external information disclosure, from the five elements of internal control integrated framework to research of the listed companies in liquor industry. In this paper, investigation on the internal control evaluation reports, internal control audit reports and related news of 31 listed companies in liquor industry in our country is launched, the study found that (1)In the internal control evaluation reports, liquor industries’self evaluations are too optimistic, the focus of the high risk areas are fund activities and sales business. (2)In internal control evaluation reports, control environment and control activities are described simply, the standard of internal control defects is not appropriate. (3)In the internal control audit reports, the supervision function of audit work on the internal control did by the accounting firms are limited. (4)Sum up the problems existing in the internal control of listing Corporation in liquor industry, in control environment, there are blemishes in manage construction. In information and communication, information disclosure and transmission have problems. In supervision, enterprises do not perform the function of supervision, supervision methods need to be improved.The paper is ombined with two specific cases, Jiugui Liquor Company and Luzhou Laojiao Company, the problems of their internal control are analyzed from the two aspects of five elements of the internal control integration framework and business level. In internal control integration framework, (1)In control environment, equity concentration is higher, independent directors can not perform their duties. (2)In supervision, internal control audit and the board of supervisors do not play a role. (3)In information and communication, information disclosure is not timely. In business level, (1)The design and implementation of the internal control of monetary fund has great defects. (2)There may be a gray sales model in the sales business. Meanwhile, researching two companies’self-improvements of internal control before and after the deposits loss event. Put forward the reform plan according to the problems. Finally, some suggestions are presented, improve the internal control environment, improve the risk assessment system, establish effective information communication mechanism, strengthen internal and external supervision.The innovation of this thesis is that (1)In view of internal control of listed companies in liquor industry, there is no literature does system analysis research from the two aspects of five elements of the internal control integration framework and business level. (2)Descriptive statistical analytical method and multiple case study method are be used to analysis the internal control status. (3)Combined with case study, take two enterprises as cases, point out the problems and put forward the improvement plan. The research has certain practical significance to improve internal control of listed companies in liquor industry.