Research On Internal Control Execution In China FAW Group Corporation Red Flag Branch

The world economy is growing,the new market environment has brought development opportunities to the enterprises,and the increasingly large organizations have brought some management problems to the enterprises.The red flag branch officially established in such a market environment,China's first automobile co.LTD.attaches great importance to theinternal control management,but the lack of the red flag branch on the implementation of internal control and reasonable supervision,the red flag branch still exist many problems in the internal control execution.As auto manufacturing,execution of internal control system of the relationship between the quality of products,perfect the internal control execution,can provide consumers with security,is good for enterprises to provide a safe qualified products to the market.Strengthen the enterprise internal control,ensure financial data accuracy,improve production efficiency,and provide safe and qualified products,only in this way,can gain a competitive advantage in the rapid economic development,improve the reputation and market influence.In this paper,the red flag branch research and analyze the internal control execution,link theory with practice,studies the red flag branch internal control problems of execution,the causes of the formation of defects,and perfect the internal control execution of the strategy.This paper mainly uses case analysis and literature analysis to study the internal control execution of the red flag branch.The deficiencies of the internal control execution force of the red flag branch can be summarized as follows: the employees in the company did not comply with the standards set by the internal control system in the process of execution;Employees are inefficient in implementing internal control management processes;When the group company manages the internal control,it lacks the evaluation of the execution effect.The group company has not set up specific rewards and punishments for internal control execution effect.The author points out the cause of the problem of internal control execution.Employees and the company leaders lack of awareness of internal control execution,the company has not yet formed a unique system of internal control execution culture,in the process of daily work didn't realize the important role of the execution of the internal control,lack of internal control management and professional training.Company did not set up a special department responsible for the internal control system establishment,distribution and implementation effect evaluation,lead to internal control system after the release,there is no related department to evaluate the implementation effect.Company in the preparation of the internal control system,are simply copying the group issued documents,no real specific business,based on the actual situation in the processing,in the process of making the lack of effective communication and system related personnel,lead to internal control process,low efficiency of execution.Prepare the internal control system of the business sector,feel the task has been completed after the release system,think how execution effect is not their responsibility,some of the internal control system implementation effect evaluation did not form evaluation system,does not have practical significance.This paper analyzes the current situation of the internal control execution force of the red flag branch,finds out the existing problems and loopholes,analyzes the root causes and puts forward solutions.First,establish internal control execution culture,and establish internal control and control mechanism by enhancing internal training and publicity,which is deeply rooted in the internal control consciousness;Secondly in order to make more realistic business internal control system,the company in the internal system,should give full consideration to comprehensiveness,adaptability,cost-benefit principle,through the establishment of internal control system of responsibility department,responsible for the supervision and inspection of internal control system;Finally,in order to strengthen the management of internal control execution,the group company should establish an internal system evaluation system and corresponding incentive mechanism.