Research On Internal Governance Of Ruihua Certified Public Accountants

As an independent third party,accounting firms certify the financial information disclosed by the company,and the foundation of the establishment lies in the effective guarantee of the practice quality.As a profit-making enterprise participating in the market competition,whether it can realize the profit while ensuring the quality of practice depends on the effectiveness of internal governance.The "Internal Governance Guide for Accounting firms" promulgated by the China Institute of Certified Public Accountants has been implemented since the beginning of 2008.With the implementation of the strategy of strengthening and enlarging,the implementation of the strategy of transformation,the release of the guide for brand building,and the development of the market economy,internal governance needs to be constantly adapted.The level of internal governance of accounting firms is not only related to their own development,but also related to the development of the industry.This paper takes Ruihua Certified Public Accountants as a case study of internal governance through the combination of theory and case.In the 10 years before and after the merger,Ruihua was punished 25 times by the relevant regulatory departments.In the announcement,four kinds of issues concerning the quality of practice and internal governance were disclosed,and it is the starting point of internal governance research.This paper analyzes the internal governance of Ruihua from eight aspects listed in the "Internal Governance Guide of Accounting firms".The core idea of internal governance is the combination of mind,aspiration,people and affair,"people combination" is the most prominent feature of accounting firms.The combination of people and affair is the foundation of the establishment of accounting firms.They are composed of personnel with professional ability to take shares in intellectual capital,"human combination",complete authentication and other related business together,"affair cooperation".The combination of mind and aspiration is the guarantee for the smooth operation of accounting firms.All the staff in the firm can unite to complete their business and balance the two strategic objectives of ensuring the quality of practice and the steady growth of economic performance,then reach "mind combination".Partner mechanism,decision-making and supervision structure,chief partner rights and responsibilities,staff management system related to "person combination".The quality control system and branch management system are related to "affair combination".The construction of partnership culture and the system of information communication and disclosure are related to "mind combination" and "aspiration combination".The research on the internal governance of Ruihua focuses on the construction of partnership culture,employee management,quality control and sub-management,then analyzes the deviation from the Internal governance concept.The reasons behind the problems are discussed,and suggestions for improvement are put forward in these four aspects.Ruihua is the leading enterprise of domestic accounting firms,the research on its internal governance provides reference for the development of domestic accounting firms.