Study On Internal Control Problem Of BS Co. LTD

As a key part of enterprise management,the internal control management is a self-restraint and self-regulation mechanism in the production and management activities of enterprises,which plays an important role in the stable and healthy development of enterprises.The theory of internal control is gradually fostering a completed set of theory system along with the development of social economy,which is an internal control framework including control environment,risk assessment,control activities,information and communication and supervision.For many medium and small-sized enterprises in the growth stage,they are proved to be weak in internal control,which will make them involve in more risks and problems in the future to definitely influence the long-term stable development of the enterprise,so it is quite significant for such enterprises to strengthen the study of internal control within enterprises.In this paper,BS Company,as a small and medium-sized new three-board listed company in the growth stage,is a representative example.Based on“Internal control Management Specification”,this paper analyzes and evaluates the internal control system and management process of the company through the investigation and research of its specific internal control situation to figure out the root problem in the company internal control and ultimately to improve the management level and competitiveness of the company.Firstly,the paper introduces the related theories of internal control,expounds the basic concepts,theories and evaluation methods of internal control of enterprises,which provides theoretical and methodological support for the internal control evaluation of enterprises.Secondly,based on the five elements of COSO(The Committee of Sponsoring Organizations of The National Commission of Fraudulent Financial Reporting)internal control theory,the internal control level analysis and evaluation index system is established and an internal control questionnaire is organized.In addition,Principal Component Analysis is also used to analyze and screen the index of the questionnaire to ensure a scientific and effective questionnaire.Thirdly,the questionnaire survey was used to obtain the basic data of the internalcontrol of the enterprise and the statistical analysis of the questionnaire data was carried out to figure out the risk points of the internal control in the enterprise as well as the quantitative analysis was also used to empirically analyze the internal control situation of the BS company to find out Internal control problems of the company.Finally,based on the analysis of the risks and problems existing in the internal control of BS,the internal control improvement scheme of BS has been designed from five aspects: control environment,risk assessment,control activities,information and communication and supervision.Meanwhile,in order to ensure the smooth implementation of the reimbursement program,this paper puts forward some relevant supporting measures from the perspectives of corporate culture construction,personnel training and strengthening control environment.This paper is of great significance to improve the internal control mechanism of BS company,improve the internal control and management level of the company,and promote the healthy and stable development of the company.