JZ Company Procurement Internal Control Research

Purchasing,as a link connecting production and sales of enterprises,plays an increasingly important role.The reduction of procurement costs can effectively increase profits and strengthen the management of enterprises.At the same time,procurement is also very vulnerable to fraud.In recent years,the phenomenon of bribery in procurement has continued to increase.Strengthening internal control of enterprises can effectively improve the economic efficiency of enterprises,strengthen the ability to withstand risks,and reduce the cost of enterprises while meeting the needs of the market,so as to obtain more benefits for the enterprise,over time,to form a virtuous circle.Therefore,if an enterprise wants to progress,wants to develop,and wants to gain a firm foothold in the fierce market competition,it must strengthen the research on the internal control of the procurement of enterprises.This paper starts with the idea of “analyzing the current situation,finding problems,finding out the causes,and solving problems”.First,using the literature review method,we sorted out the key elements and practical needs of internal control construction from domestic and foreign research literature.Then,in accordance with the company's internal control regulations and the elements of the COSO risk management framework,the representative JZ company is taken as the main body of research.Through the analysis of the company's procurement process,supplier management status,company organization,and procurement rules and regulations,it is thoroughly analyzed.The company still has many problems in the procurement process,such as high inventory costs,lack of a comprehensive supplier management system,low overall quality of employees,and unsound rules and regulations,and a detailed analysis of the causes of the problems.Finally,some countermeasures are put forward to optimize the internal control of procurement of JZ Company.From the five aspects of perfecting the rules and regulations,strengthening the internal control environment,improving the key control points in the procurement process,establishing a dynamic assessment system for the procurement process,and achieving effective internal and external information sharing and transfer,we put forward optimization measures.The conclusion is a summary of the internal control of the company's procurement and the future outlook.The subject of this article belongs to the pharmaceutical manufacturing enterprise,and it also has practical significance and reference value for the pharmaceutical industry.