Internal Control System Research In CX Company

The internal control originated in the 1940 s in the west and was founded on the theory of cybernetics,mainly economic cybernetics.It was a scientific management method.The sarbanes-oxley act,article 404 of the "management" to the evaluation of internal control is the most strict in the legislation and execution cost in terms of the highest requirements for listed companies in the United States to perform strict internal control,and to evaluate the effectiveness of internal control in the results and statement.CX group corporation,as an important state-owned enterprise listed in the United States,must strictly comply with the 404 clause in the company's internal control.CX corporation was established in October 2011 as a wholly-owned subsidiary of CX group.It has integrated CX group's testing,procurement,sales and after-sales service in the terminal field.After more than five years of development,the scale has increased rapidly and the management has been further standardized.How to adhere to the standard operation and efficient management,comply with the requirements of the relevant section 404,continuously strengthen the consciousness of enterprise risk management and continuously improve enterprise internal control system,to keep the competitive advantage,to create the value of the enterprise,is a subject worth probing.This paper mainly uses the literature research method and the field research method to carry on the research.Through widely collect and read lots of literature,theory combined with practice the historical stage of development of internal control,concept,characteristics,function and components such as basic theory research,provide theoretical basis for further research.According to article 404 of the internal control requirements,adopts the method of field investigation and research,from the CX company internal control system construction,the implementation of the present situation and combining with the province branch of the internal control through the test result is analyzed,CX company internal control system effective to a certain extent,but the CX company internal control system still exist some problems,mainly: procurement bidding process is not standard,terminal and marketing resources real price risk management exist products,sales and channel management is not standard product loss risk,business management lags behind the factual,the information system of business people have a certain degree of operational risk,the internal control auditing formalism.Through to deeply analyze the cause of the problem,found the following reasons,lead to problems in terms of its root cause,is the internal control of our management idea is not really to form,heavy KPI,the light of the concept of internal control still exists.Secondly,there is a lack of awareness of internal control in the middle level of enterprises,and there is a deviation and lack of effective means of implementation.To solve above problems and reasons,starting from the objectives and principles of internal control system construction,changing the concept of management,internal control,improve the internal control environment,establish smooth communication mechanism and effective information system,strengthen the enterprise internal supervision such as suggestions for improvement,and through the practical suggestions for improvement in the procurement argument after implement suggestions for improvement of the effectiveness of the internal control systemconstruction,and analyzes the implementation of the recommendations for improvement will enhance the corporation internal control management levelbetter,improve the management efficiency.