A Study On The Optimization Strategies Of D Company’s Inventory Internal Control

As an important part of modern ent erpr is e m anagem ent,int ernal control guar ant ees the im plementat ion of the development strategy of the enter pr ise,ensur es bus iness operat ion in compliance with law and regulat ions,asset securit y,and complet eness of financ ial repor ts and relat ed infor mat ion,a nd prom otes operat ion effic iency and effect.Meanwhile,wit h the entry of China’s economy int o the phase of New Normal,the development of the auto par ts and accessor ies industry is enjoying new opportunit ies as well as fac ing gr im challenges.Mor e and m ore enterpr is e m anagers have r ealized that they should not only em phas ize on product ion and operat ion,but also impr ove int ernal control in order t o achieve healthy and steady developm ent and br eakthroughs in bus inesses under the new situat ion.Inventory internal contr ol plays a s ignif icant role in connect ing procurement,product ion and sales,and constit utes an indispens able part of the int ernal control system of the enter pr ise.If any problem ar is es in inventor y int ernal control,the enterpr is e may suffer m ajor econom ic loss es.For the industry of auto parts and accessor ies,inventory t akes up a very high pr oport ion in the current assets,and the m anagement of it is one of the important m eans for the ent erpr ise to maintain compet it ive edge.Ther efore,cont inuous ly opt im izing the ent erpr is e’s inventory internal control has tremendous realistic significance.D Company is a manuf acturer of parts and accessor ies for small and medium-s ized automobiles.This paper explores the opt im izat ion strategies for the invent ory inter nal control of D Company.First,the paper introduces the r elated t heor ies of inventory inter nal control,inc luding the def init ions and elements of inter nal control,and its funct ion,posit ion,target,cont ents and met hods.Second,based on the industr y and product ion charact er ist ics of D Company,t he paper describes its invent ory and its system of inventory int ernal contr ol as well as the current st atus of such syst em,and evaluat es the implem ent at ion s ituat ion of its inventory inter nal contr ol.Alt hough D Company has set up inventory inter nal contr ol system,the expected effect has failed to be achieved.Then the paper exam ines t he exist ing problems of the invent ory inter nal control of D Company,which are mainly as follows: t he envir onm ent of inventor y internal control is not des irable;the procedures of inventory internal contr ol ar e not standard;the inspection and supervis ion of inventory int ernal control is not str ingent;the m ethod of inventor y m anagem ent is out dat ed;and the inf ormat ion communicat ion on invent ory int ernal control is pr oblemat ic.In view of the exist ing problems of the inventory int ernal control of D Company and the actual sit uat ion,the paper suggests the opt im izat ion strategies for inventory internal control.F inally,the paper suggests some guar ant ee measures for implem ent ing t he opt im izat ion strategies of the inventory internal contr ol of D Company and speculat es on the expected results.The guar ant ee measur es mainly include : stepping up r isk management,taking an objective view of the weaknesses of the enter pr ise,improving control of the human resources,and opt im izing the strategies of int ernal control so as to help D Company achieve the goals of inventory inter nal control.While ins ist ing on the pr inc iple of cost and effect,the centr al part of this paper proposes the opt im izat ion str at egies for t he invent ory inter nal control of D Company,which mainly include: establishing a good environm ent for inventory internal control by means of im proving t he syst em of invent ory internal control,set t ing up effect ive inventory budget system,and conduct ing separat ion control for incompat ible off ices;est ablishing st andard procedur es for inventor y management thr ough inventor y planning and supplier select ion control,invent ory purchase,warehous ing and payment control,warehous e preser vat ion control,sales and draw ing control,stockt aking and check control and valuat ion control;strengt hening inspect ion and s uper vis ion of inventory int ernal contr ol;opt im izing and im proving the method of invent ory managem ent by intr oduc ing Act ivit y Based Class if icat ion;and str engthening inform at ion communicat ion on inventor y int ernal control,including the inf ormat ion communicat ion between var ious depar tments within the company and between the company and the outside.This paper will help improve the inventory management of D Company and improve the efficiency of inventory management and reduce inventory risk.It also has value of reference for other enterprises in the same industry.