Research On Optimization Of Internal Control Of BD Pharmaceutical Co., Ltd

With the rapid development of global economic integration and the constant change of market environment,enterprises are faced with a lot of opportunities,and the risk of management is increasing day by day.In recent years,there have been many financial scandals at home and abroad,such as financial fraud of Enron,World Communications and Merck Pharmaceutical,until Changchun Changsheng was punished for illegally producing and selling rabies vaccine in 2018,which caused people to worry about the domestic vaccine market.These scandals are closely related to the company's irrational governance structure and imperfect internal control system.As the ownership,management and supervision of the enterprise are not completely separated,the board of directors,the board of supervisors,the management level and other governance structures do not play a role of checks and balances,resulting in the failure of internal control.The establishment and perfection of internal control can reduce the risk of violation,manage risk and improve the level of corporate governance.Therefore,it is more and more important to establish and perfect the internal control system and optimize the corporate governance structure.This paper takes BD Pharmaceutical Co.,Ltd.,a state-owned listed company,as a typical case.Based on the theory of COSO Internal Control-Integration Framework to study its internal control from five aspects: control environment,risk assessment,control activities,information and communication,and internal supervision.This paper begins with the theoretical framework,and analyzes the current situation of internal control in BD Company based on the internal control evaluation report of BD Company in 2017 and the annual report of 2015-2017.On this basis,the problems existing in the internal control system of BD Company are analyzed.Finally,the optimization measures are put forward in order to provide decision reference for the optimization of BD internal control system.Through the above case studies,this paper argues that the optimization of internal control should focus on the following five aspects: optimizing the control environment,improving risk management and control system,optimizing control activities,improving information and communication system,and strengthening internal supervision system.In addition,BD Company,as the epitome of the state-owned listed pharmaceutical manufacturing industry,is expected to provide relevant reference for improving the internal control system of China's pharmaceuticalmanufacturing industry through the optimization study of the company's internal control system.