Research On Internal Control Of HB Company Based On Risk Management

With the development of modern enterprises,the maturity of securities market and the increase of economic fraud cases,internal control has gradually become an important part of modern organization and management structure.It is a guarantee for the sustainable development of enterprises.The management theory and practice of modern enterprises show that the management of enterprises must start with the establishment and perfection of internal control system,and all management activities of enterprises cannot be separated from internal control.Especially in this market environment,the economic situation is depressed,the risk of enterprise operation can not be ignored.Therefore,it is particularly important to improve the internal control of an enterprise based on the risk management angle.HB is a well-known domestic automobile manufacturing enterprises.Faced with such a complex market environment accompanied by the industrial 4.0 era,only to constantly adjust their own state,to ensure the smooth implementation of the enterprise operation and effective strategy,is conducive to the invincible position in the market,and provide a guarantee for the realization of the enterprise profit maximization.An effective internal control system design and operation can prevent the enterprise risk,strengthen internal control and risk management of enterprises is not only conducive to improving the internationalization of the market level,so as to improve the international competitiveness of Chinese enterprises,and to protect the enterprise funds assets safety,reduce the risk of internal management of enterprises,to ensure financial information true and reliable.This paper first briefly describes the main research significance and background,as well as the research contents and methods of this paper.Then,based on the basic concepts of internal control and risk management,the relationship between the two is analyzed.Then we introduce the enterprise risk management framework,compare the 2004 Revision with the 2017 Updated version of the COSO conceptual framework,and start from the five elements of the framework.Combined with the basic information of HB Company and the basic outline of the design and operation of the internal control of the company.Based on the five elements as the theoretical basis,in the four aspects of corporate governance and culture,strategy and goal setting,performance and information,communication and reporting,we found that HB lack of staff awareness of internal control and risk management in the internal control,the effect of the company's risk management can not achieve the desired goal,control activities and low operation efficiency,large flow the information may be leaked these four aspects of risk,and according to the four aspects of risk analysis of the reasons of the existence of risks.Finally,based on the risk management perspective,it puts forward four suggestions for HB company to perfect its internal control,including strengthening personnel training,improving the examination and approval link,improving the internal supervision of management and improving the audit of leaving office.Through this article for HB research of internal control based on risk management,in the design and operation of the internal control of HB company to explore the internal control problems and put forward the corresponding improvement suggestions in terms of reference can be summed up the company's internal control,analyzes the problems existing in the internal control.It provides a reference for the operation of the internal control of similar companies in our industry.Thus,the joint venture will promote the development of China's joint venture,and add vitality to the economic development of our country.