Research On Internal Control Of BH Papermaking Company From The Perspective Of Environmental Cost

As an important part of modern enterprise management,strong internal control helps to facilitate sustainable,stable,and healthy development of enterprises.Internal control system in domestic enterprises is immature and managers perform internal control activities inconsistently,resulting in inefficient enterprise management.In papermaking enterprises,environmental protection is a sensitive issue that has drawn increasing attention from the public and the government.In recent years,the State has issued a number of environmental protection and internal control laws and regulations,requiring 1)strict control of pollution sources,2)stronger environmental protection practices and 3)standardized internal control activities.Limiting the environmental costs to society will not only protect the natural environment,but also promote future development.It is critical for the sustainable growth of the papermaking industry.Therefore,implementing internal controls to limit environmental costs has become the top priority for enterprise managers.Based on studying the theory of internal control and environmental cost,this thesis analyzes the current internal control profile of BH papermaking company and puts forward suggestions for improving internal controls from an environmental cost perspective.This study first reviews the relevant domestic and abroad research results and further explores the relationship between internal control and environmental cost.Discussion then continues to present BH papermaking company profile and the current state of internal control activities.It shows that BH papermaking company’s present operating condition is inefficient with a high environmental cost,and the internal control in procurement,production,and risk assessment processes faces challenges.The thesis argues that it is necessary for BH papermaking company to implement internal control from the perspective of environmental cost,aiming at protecting both societal and corporate interests.Specifically,the analysis has demonstrated that 1)current budgeting and procurement standards are weak,2)production of environmental cost metrics and indicators are incomprehensive and inconsistent,and 3)the internal risk management process,including setup of an appropriate organization structure,monitoring and surveillance controls,and performance management programs,has design and operational gaps.Finally,the study puts forward a number of recommendations,such as 1)strengtheningthe environmental cost management standards,2)strictly controlling the pollution in production,3)emphasizing and prioritizing the management of environmental costs,and 4)enhancing the risk management system.By discussing specific recommendations for improving BH papermaking company’s internal control system to controlling environmental costs,this study seeks to explore mechanisms that will facilitate the industry’s achievement of both societal and economic goals in the future.