Case Study On Internal Control On Industrialization Investment Projects Of Proton Treatment Equipment In HJ Corporation

Investment is a form of innovation and entrepreneurship project incubation.It is the economic activity of capital boost and development of the project industrialization complex,which is the basis for investors to realize the value increment.It's a business behavior or process that expects economic returns,the commonly used some valuable assets,including money,manpower,intellectual property,etc.which are put into projects or other companies.However,this valuable asset is also the basis of the enterprise's survival.Once the capital chain is broken,the enterprise will fail to turn around and can't even maintain the daily business activities.Therefore,it can be seen that the investment activities bring considerable benefits,with great crisis.For sustainable development,internal control should be done to reduce the possibility of investment failure.Back in the last century,the auditing standards board of internal control in the auditing standards report put forward the definition is as follows: in certain circumstances,the unit in order to improve the management efficiency,obtain and use resources efficiently,achieve the established management goal,and implemented within the units of all sorts of restriction and adjustment of organization,planning,procedures and methods.The internal control can protect the security and integrity of the assets,ensure the correct and reliable accounting information,ensure the economy,efficiency and effectiveness of the operation,and is the cornerstone of modern enterprise management.In the late 1990 s,the Chinese government departments have also begun to establish internal control standard system,the ministry of finance has promulgated the "internal control basic norms" and a series of specific norms,the China banking regulatory commission,insurance regulatory commission and the securities and futures commission has issued a series of internal control requirements for financial industry specification file,these specifications issued to further promote the establishment and improvement of the internal control.But at the same time,people also see the Worldcom,America "myth" burst,"Zheng Baiwen" huge losses in the country,some bike-sharing filed for bankruptcy,although not completely the same background and the reason is more complicated,but the internal control is out of control is the same.Again,the construction and improvement of internal control is a long-term,complex and arduous work.Especially in contemporary China,in the era of rapid economic growth,the investment activities of enterprises are becoming more and more frequent,and the number of enterprises is increasing,and the impact on enterprises is getting deeper and deeper.Therefore,the standard internal control system and effective internal control management play an important role in the success of enterprise management.Therefore,how to solve the problem of internal control of specific enterprise investment activities is necessary to discuss in depth from both theory and practice.In this paper,the research object HJ company is a wholly state-owned enterprise,relying on the provincial capital is responsible for the foreign investment,including the government guiding investment,asset management,capital market investment,equity investment,fund investment and management,cultivation incubation strategic emerging industries,etc.As a medical investment project,it has many characteristics such as large investment capital,high technical requirements,long payback period and large investment risk,etc.Therefore,the research idea of this paper is as follows.First of all,on the principal-agent theory,risk attitude theory,incentive theory and control theory as the theoretical basis,the investment project of the internal control process is divided into four main link,and points out the key control points.Secondly,based on the HJ company's basic situation and the domestic industry condition as the background,explain the necessity and feasibility of the investment project,and to the project organization structure and staffing has made a positive evaluation.Then,combined with the elements of internal control and the industrialization of investment project cycle is long,many funds and high risk,the characteristics of deep excavation projects at various stages in the internal control system of the existing problems,and thus the reason for the existence of the problems of internal control are analyzed.Finally,based on the previous analysis and reasons,the following optimization Suggestions are put forward:(1)Improve the internal control environment of the company;Comprehensive risk preference,collective examination and approval investment;Strengthen staff education,raise risk awareness;To amend policies and regulations and to keep people in business;(2)Strengthen the company's risk assessment;‘Invite to' and ‘Send out' to update the internal control method;Clear management function and improve risk management ability;(3)Improve the timeliness and reliability of information transmission;Reasonable preparation and use of internal reports;Adopting the bottom-up internal control system;Strengthen coordination and communication and maximize information utilization.