Correlation Analysis Between Internal Audit Quality And Company Performance Of State-owned Listed Companies In China

The state-owned economy is an important carrier for realizing the country's macro-control goals.Its corporate performance directly determines the efficiency and effectiveness of the use of state-owned assets.Simple external audit has been completely unable to meet the modern corporate governance of state-owned listed companies,in recent years,our country has introduced a number of policies to strengthen the management of internal audit,internal audit goal from traditional financial audit of error-detection fraud to value-added and risk management.However,in practice whether the quality of internal audit will have a significant impact on company performance,the effect of this effect is positive or negative.Whether the quality of internal audit quality is higher or not,the corresponding corporate performance will be higher.Still lower or no significant differences,these issues need to be further tested.This article mainly uses the method combining the theoretical analysis and empirical research.Starting with theoretical analysis,it analyzes the major factors affecting the quality of internal audit.At the same time,it select 753 state-owned listed companies from Shanghai and Shenzhen in 2011-2016 as samples and constructs an empirical model from the size of internal auditing department,the independence of internal auditing,and internal control.The relationship between the quality of information disclosure and the establishment of risk-oriented internal audit and the company's performance is verified,and the correlation between internal audit quality and corporate performance is studied.The conclusions indicate that the larger the internal audit department,the more independent the internal audit department adopts,the higher the disclosure quality of internal control information,and the establishment of risk-oriented internal audit will have a positive impact on the performance of the state-owned listed company,thus illustrating the quality of internal audit.It has acatalytic effect on the growth of corporate performance.State-owned listed companies should continuously improve the management of internal audit and effectively play the role of value-added of internal audit.