Case Study On Internal Control Of Procurement Business In DZ Company

Material procurement is the source of business activities of manufacturing companies.Problems in the formulation and implementation of each link in the process of material procurement will affect the company’s business management and even strategic management objectives.The establishment of procurement process will affect the efficiency of procurement,procurement acceptance standards will affect the quality of products,payment link will even directly affect the company’s operating conditions and cash flow.In order to control the risk of material procurement,standardize the company’s procurement management,improve the level of procurement business,for the procurement link to develop effective internal control is very necessary.Based on the basic theory of internal control and taking the internal control of procurement business of DZ company as the research object,this paper analyzes and summarizes the connotation,objective,method,process and critical control points of internal control of procurement business.With the method of case study,this paper analyzes the current situation of the design and implementation of the internal control of the procurement business of DZ company,evaluates the effect of the internal control of the procurement business,summarizes the problems of the internal control in the procurement business process,analyzes the specific reasons in detail,and then puts forward targeted Suggestions for optimization.Hope to provide some help for DZ company to optimize the internal control of procurement business,and provide reference for other enterprises in the same industry.Through case analysis study found DZ company internal control overall procurement agency set up reasonable science,control activities is effective,the basic control can be achieved,but there are still sourcing risk identification is not comprehensive,purchasing business internal information system docking is not smooth,imperfect part purchase check incoming issues,such as impact purchasing business internal control and risk,improve work efficiency.In order to improve the internal control of DZ’s procurement business and help it achieve its strategic management objectives,the author,based on the existing research materials and combined with theoretical knowledge,put forward corresponding measures and Suggestions,including: standardizing and improving the risk grading of procurement business materials;Establish information sharing mechanism of procurement business system;Improve the control process of purchase acceptance and warehousing link.These Suggestions can also be used as reference for internal control of procurement business of other enterprises and make the case study of this paper more targeted and practical.