The Impact Of Information Technology Investment On The Effectiveness Of Internal Control Based On The Wholesale And Retail Trade Of Listed Companies

Nowadays,the wholesale and retail industry is one of the most competitive industries in our country.It has also gradually transformed from the traditional storefront model to the new retail model and can't work well without the support of information technology.The input of IT can effectively help enterprises to improve operation management efficiency and sustainable management ability.Internal control plays an important role in maintaining the existing operating capability,capital appreciation and going concern of enterprises.However,many enterprises have not achieved satisfactory results in internal control and the expected results.In today's fast-growing environment,how to maximize the utility of IT investments and improve the effectiveness of internal control is also a hot issue for enterprises and academia.The current research on the effectiveness of IT investment on internal control is a lot,but it has not reached a unified conclusion.In the theoretical analysis,it is generally believed that the IT investment has a positive impact on the internal control.In the empirical research,most of them choose the five goals of internal control to study,but no unified conclusion is reached.Besides,the five goals of the positive role has not been fully verified,and some verified that three,while others are four.Therefore,this paper conducts an in-depth study on the impact of ITinvestment on the effectiveness of internal control.Therefore,this paper conducts an in-depth study on the proposition that the impact of ITinvestment on the effectiveness of internal control.The first innovation of this paper is the use of the principal component analysis of the method of initial selection of the effectiveness of internal control measures to integrate the variable,the second is to add a lag analysis of the research model.At first,this paper reviews and summarizes the relevant literature then introduces the relevant theoretical basis,taking into account the availability of information,the IT hardware investment and IT software investment,and secondly from the strategic objectives,operational objectives,reporting objectives,compliance objectives and asset safety objectives five aspects of evaluation of the effectiveness of internal control,the establishment of a regression model,the combination of these variables.Then using the SPSS19.0,EViews8.0 software,the principal component analysis and lag period analysis of the relevant variables data to carryt the empirical research.The results showed that wholesale and retail trade listed companies' IT hardware investment has significant influences on strategic objectives and operating objectives which lagged one year.IT hardware investment has significant influences on asset safety goals and compliance goals which lagged two years.Besides,the results showed that wholesale and retail trade listed companies' IT software investment has significant influences on strategic objectives which lagged one year.IT software investment has significant influences on operating objectives,asset safety goals and compliance goals which lagged zero year.Both the IT hardware investment and IT software investment have no significant influences on the reporting target.