Study On Internal Control Tobacco Leaf Invebtory In HZ Tobacco Company

Inventory takes up a large portion of current assets,so it plays an important role to implement internal control on tobacco leaf inventory.Tobacco leaf accounts for a majority and featured part of the inventory in a tobacco company.Tobaccos,cigarettes,tobacco materials and other inventory goods are major inventory items for a tobacco company.Cigarette volume takes up around one third of annual gross procurement inventory and gross reserves.Although tobacco leaf does not value so much as cigarette,it is one of the important inventory items for a tobacco company in terms of volume and importance.Analyses on the inventory operation of tobacco leaves show that tobacco leaf inventory is the most risky inventory in a tobacco company.Therefore,it is of great significance to establish a scientific,reasonable,applicable inventory control system to lift company's governance level and reduce the business risk of inventory management.This article targeted on research on the internal control question of a company's tobacco leaf inventory.It mainly followed the logical thinking sequence of “ proposing questions,analyzing questions and coming up with ways to solve questions”.In light of the fact that domestic researches on tobacco companies were limited in terms of internal control on tobacco leaf inventory,this article employed a flow chart method to optimize the internal control procedure on tobacco leaf inventory by combining relevant literature on inventory internal control with information obtained from field research.It pointed out an issue that companies failed to build a risk assessment system.It then found that the allocation and inspection of tobacco leaves were key steps to control the purchase business of tobacco leaves by conducting risk identification,employing quantitative and qualitative method to further analyze risk occurrence probability and the extent it affected the realization of the target,and ranking risks according to their comprehensive assessment.The article sought and found problems existed in each business procedure and then came up with relevant addressing proposals.Finally,the articles brought forward a series of improvement proposals to solve problems faced by companies on the basis of risk assessment results,addressing that companies should strengthen internal control construction to perfect business procedure control.