Research On The Internal Control System Of Hunan Heda Communications Company

With the competition of the fierce market increasing, enterprises are now confront with high risk of rendering the complexity,diversity and uncertainty,which are emerged as the characteristics of the modern business era,as well as the feature of the communication market. Effective internal controls can help companies to impr ove the efficiency of resource,achieve the set objective and avert the risks. At this stage,all aspects of the emerging about internal control at home and abroad,more illustrates the necessity and importance of the study of the internal control. The enterp rise management in China is relatively weak,there are many problems in the internal control system,the internal control mechanism needs to be perfect 。So building and perfecting the company’s internal control system is an imminent task.Hunan Heda Communication Co., Ltd. is an integration company of communication and information network system. In recent years,Heda developed quickly, but at the same time,many deep-rooted problems in aspects of the inner control system are gradually exposed,and the internal control is one of much more prominent problems. This article is based on the situation of Heda Company; and analyzed the present situation and main existing problems of the internal control of Heda based on the research of the basic the ory on internal control environment,characteristics, goal,and component elements. First, an extensive literature review of domestic and internal control system and internal control process of the evolution theory is analyzed in detail to form the theoreti cal foundation for the next researches. Secondly, the company’s internal control environment and risk management system are analyzed in-depth understanding. The deficiencies in business communications and process management are pointed out. We also make analysis on its information communication system and supervisory control system. Based on these analyses, the reason of the current situation of Heda’s internal control environment are summarized from four specters of internal and external,stability and controllability. Again, by combining existing theoretical analysis and situation analysis, this paper analyze and build the internal control system based on the internal control environment, risk assessment and management, control activities, information and communication system, and internal supervision and control of these five factors. W hen combined with risk management, the internal control systems of Heda are further expanded to give a comprehensive internal control framework based on risk management to approve the performance of Heda. Finally,the article propose some advices for implementing the improved inner control system from different aspect such as the principles of the internal control system construction, reform and internal environment, risk assessment and so on.Through comprehensive and systematic analysis that combines theory and practice, the paper put forward countermeasures and suggestions for Heda Communications Company’s internal control system, constructed the overall framework of the internal control system. In connect ion with the changes of both external and internal environment,the proposed internal control system is helpful to improve the management and business performance.