The Study Of The Second-Board Market Family Business Internal Audit Quality And Corporate Performance

In 1999, the international institute of internal auditors (?A) to make a new definition of internal audit. This definition emphasizes the function of internal audit goal implementation services for the enterprise. Since then, began to widespread attention from all walks of life the role of internal audit to achieve the business goal. In 2002, the sarbanes - oxley act will increase the internal audit to the status of the four cornerstones of corporate governance. That same year, the securities and exchange commission (SEC), forcing all in the New York stock exchange boss company must set up the internal audit department. Internal audit, therefore, is increasingly recognized by the relevant regulatory institutions and professional associations. Though modern internal audit system in our country starts relatively late, but has been a rapid development. In 2004, China promulgated the interim measures for the central enterprise internal audit management requirement of state-owned enterprises according to enterprise development situation gradually set up independent internal audit department, perfecting the corporate governance to strengthen the construction of internal control. Disclosed in 2008 published "enterprise internal control basic norms" puts forward higher requirements for internal audit. Therefore, internal audit can improve the function of enterprise performance has received wide recognition from all walks of life both at home and abroad. However, due to a large number of literature on the relationship between the internal audit quality and corporate performance study focused on state-owned enterprises and the family of private enterprises. For the more suitable for family enterprises in the internal audit work of internal audit quality and studies on the relationship between enterprise performance few and far between. Along with our country economic system transformation, especially the policy of reform and opening up drive, family-run company get long-term development, both in quantity and quality has become our country economy the important promoting strength but the family-run enterprises in their business on some of the salient features, such as high concentration, the property right structure of the capital structure characteristics and family business have on internal audit related laws and regulations, etc., lead to family enterprise internal audit has its own characteristics, such as family enterprises in the internal audit institutions is confusion, some family businesses did not establish a system for the enterprise's internal audit and the number of family enterprise internal audit can't well satisfy the needs of the internal audit work, etc. Its role in internal audit helps to improve business performance depends largely on the quality of internal audit. Therefore, the family enterprise internal audit quality and the study of relationship between enterprise performance also has more important practical significance.Based on the shenzhen stock exchange in 2011-2014 data of listed companies as samples, thesecon board market after eliminating ST class, financial insurance and data missing sample, a total of 491 samples. With scale of internal audit, whether to establish a system of internal audit and internal audit department subordinate relations as the explained variable, with total assets of yields ROA and ROE ROE to measure the performance of family business. Using the multivariate regression analysis family enterprise internal audit quality and the relationship between the corporate performance. Control variables set up the company's size, asset-liability ratio, equity concentration, management equity percentage, dong alone proportion and the supervision of the board of directors. In this paper, we study the model is a multiple regression model. The research results show that the formulation of the internal audit system of family business performance than not establish internal audit system of family enterprise performance is better; The bigger family enterprise internal audit and corporate performance, the better. There is significant positive correlation; Organization of the internal audit department subordinate relations were not significantly associated with a business performance.In this paper, the research reveals that the family business internal audit quality and the relationship between the corporate performance, the conclusion of this article on the gem family enterprises to strengthen the construction of internal audit quality and thus improve the enterprise performance has a certain guiding significance.