Research On The Improvements Of Internal Control System For Sales And Collection Cycle In HY Corporation

With the global economic crisis,the development of all walks of life are faced with unprecendented resistance,into the bottleneck period.Sales is essential to the production and operation of enterprises,is to ensure that the enterprise profit maximization of the terminal link,is the ultimate embodiment of the sales value.For China's internal control actuality,obsolete enterprise internal environment,lack of risk assessment,not strict control activities,backward information and communication system,the supervision mechanism,more and more loopholes of the supervision mechanism are widespread.It's time to strengthen the analysis and improvement of the sales and collection process,without delay.HY Corporation has achieved 13 national patents,such as a skid mounted LNG vaporization device,skid mounted L-CNG refueling station,skid mounted LNG vaporizing station,i-Pentane benzene removal skill.The main business of HY company,a high emerging energy enterprises,is the production and sales of natural gas,development prospects and market share are more optimistic.This paper use the method of literature research to sort out domestic and foreign literature,relevant theories of internal control clearly.To optimize internal control system of HY Corporation,find out each key risk points of sales and collection cycle,design the corresponding internal control key points and risk response strategy,by means of case study method.By developing a risk questionnaire and withdraw questionnaire poinions from the group of experts,we can find out there are some internal control loopholes in the sales and collection cycle of HY Corporation.It is necessary to focus on improving internal control strategy.Through sorting out each process on sales and collection cycle,this paper sets the internal control objectives firstly,including the enterprise strategic objective,the operational efficiency and effectiveness objective,the financial reporting quality objective,the asset security objective,the compliance objective.To identify risks is following.The main business risks in sales and collection cycle of HY Corporation include operational risk,financial risk,compliance risk.From four aspects set specific business risk identification table,such as a internal control point,business risk,internal control information,related departments and positions.To analyze the current status of the internal control system of HY Corporation,by using the risk matrix qualitatively and quantitatively,COSO risk management framework.Following,suggestions and optimizations for internal control problems are proposed.This papter is mean to help HY Corporation optimize the internal control,reduce the financial risks in sales and collection cycle,at the same time,with the hope to provide reference for other enterprise's internal control constructions.