Research On Improving Corporation X's Index System For The Risk Assessment Of Control Environment

At present,public companies in China often evaluate the risk of internal control from the perspectiveof business process,and pay more attention to control activities,but control environmentaccounts for a less percentage of the evaluation,which the reason of that the evaluation cannot evaluate the risk of control environment or its importance of enterprises.Even if the enterprise having more perfect internal control,the concern of control environment is not enough.And taking a panoramic view of the information from media in these years,many accidents like the environment pollution of enterprises,the suicide of Foxconn employees,and the explosion of warehouse happen most frequently,and the phenomenon of single big holder of enterprises still exist in our country.So,if we don't pay more attention to the analysis and evaluation of internal control environment of the enterprise,will lead to the biased result,and will restrict and hinder the healthy development of enterprise,because of ignored internal control risk.And the worse result of it is that will cause severe damage to reputation and economy of the enterprise.On the basis of the existing study,the aim of this paper is refining internal control risk assessment system into the level as control environment risk assessment system,and constructing the risk assessment and index system of control environment by combining with the listed corporation X and innovative improving and exploring being in terms of weakness of control environment.And this system is also suitable for each department of the corporation.The main purpose of the paper is providing some ideas and methods of risk control of control environment to encourage enterprises to find the problem of control environment in time,and perfect and improve the development of enterprise's internal control.Meanwhile,using this system in HR department will make identifying risk of corporation X be easier and improve the ability of risk management,and it can provide reasonable security for achieving strategic goals.And this example could probably supply some ideas for actual operation of internal control environment risk assessment.At the first,combine the theories of internal control environment and internal control risk assessment,and introduce corporation X,and analysis and summarize existing weaknesses of control environment and its risk assessment.And then,improve the risk assessment system of control environment.Index weight is designed by the way of questionnaire method and analytic hierarchy process.After that,build the scoring formula of it to finish the last step of perfecting this risk assessment system.This system could be used in each department according to their own practical demands,in order to find the problems of control environment more comprehensive and carefully,prevent and control the risk accurately and timely,and provide reasonable assurance to protect enterprise reputation and achieve enterprise goal.The second,using the system in HR department.Grade the control environment of HR department by the method of interviewing and investigating,and combine grade and system,so as to evaluate risk and find the problems.Then,contrast original risk assessment system and new risk assessment to show the superiority of new.Finally,the main conclusion of the research is given and the paper also analyses the limitation.There are some problems such as expanding the scope of investigation,detailing the control point and strengthen the logic and authority of theory.