Case Study On Internal Control Of Purchase Business Of ZY Company

With the rapid development of modern commerce and the expansion of the company,the construction of internal control is playing an increasingly important role in the construction of enterprises’ system and daily operation.As the starting point of the enterprise’s business,it connects the production and the bond of sales directly affects the product cost,product quality and profit level of the enterprise.A sound internal control system for enterprise procurement business is an important means for enterprises to reduce product costs and increase economic benefits of enterprises,and is also one of the important ways for enterprises to seek long-term development.Especially in the context of economic downturn,if a company is facing a sales dilemma,it is of great significance to improve the internal control of the company’s procurement business to reduce the company’s production cost,so that the company can maintain a comparative advantage in the current unfavorable competitive environment.In view of the above discussion,this article will select ZY company as the research object.Through in-depth research and analysis of ZY company’s procurement business process,combining with the company’s internal control guidelines and the company’s internal control manual and the actual implementation of the management system,it is found that the company has procurement business defects in the formulation of management systems and the implementation of control procedures.Specifically,there are areas that can be improved,such as the lack of a procurement business risk assessment system,the scientific nature of procurement plan management,and poor supplier selection and management.Next,this article analyzes the reasons for the above deficiencies,and found that the reasons for these deficiencies include the company’s lagging in the construction of internal control,the lack of awareness of the importance of cost control by purchasers,the lack of system implementation,the lack of scientific management methods for supplier selection,and the lack of effective communication between different departments,etc.Subsequently,this article puts forward feasible suggestions for improvement based on the cause of the problem,including establishing a risk assessment system to improve the internal control environment,optimizing the supplier access system and establishing a performance evaluation system for suppliers,formulating more scientific procurement plan management methods,and training or introduce professional talents,strengthen the management of information system construction and internal supervision,etc.Finally,I summarize and forecast this article,hoping to provide reference for the company’s internal control construction through the analysis of the article,make the corporate purchasing behavior more reasonable and scientific,and use an executable institutional method to help reduce the business risk generated by the corporate purchasing business,reduces the losses caused by the corresponding risks,improves the economic benefits of the enterprises,and provides reference for other companies like ZY company.