Research On Internal Control Activities Of Liang Jing Jing Daily Necessities Co.,Ltd.

The daily chemical industry is compactly linked with people’s bright life.The government has launched a series of industrial policies to vigorously support domestic daily chemical products to gradually go abroad and face the international market.However,the entry and exit thresholds of the daily chemical industry are low,and the competition within the industry is cruel.An effective internal control system plays an important role in the daily chemical enterprises.In this paper,the small and medium-sized daily chemical enterprise--Liang Jing Jing Daily Necessities Co.,Ltd as the research object,analysis of its internal control activities of the status quo and problems,put forward practical optimization strategy,to assist the company’s internal control system working efficiently and optimization and upgrading.For other similar daily chemical enterprises to optimize the internal control strategy has a certain reference value.This paper uses case analysis to study and analyze the internal control activities of Liang Jing Jing Daily Necessities Co.,Ltd.Through reading the research of internal control literature,the paper concludes the relationship between the five elements of internal control,extracts the essence and meaning of the control activities,summarizes the necessity of implementing internal control,and has a certain understanding of the problems in the operation methods and means of internal control and corresponding optimization strategies.This paper finds that Liang Jing Jing Daily Necessities Co.,Ltd lacks the concept of internal containment,because the company is restricted by the cost benefit,leading to the non-compliance of post division;Unreasonable design of examination and approval procedures,unclear authority of examination and approval,resulting in unequal examination and approval powers and responsibilities;Accounting system control is not standardized,accounting personnel professional ability is generally not high,did not give full play to the function of accounting supervision,did not apply unified enterprise information management system;The implementation of property protection and control is insufficient,the inventory management is confused,the fixed assets management system is incomplete,and the management of customers’ money is ignored.Based on the above analysis,combined with the theoretical knowledge and practical operation of the enterprise.Aiming at the existing problems,optimization strategies are proposed in Liang Jing Jing Daily Necessities Co.,Ltd.First,implement the incompatible job separation control,establish the awareness of internal control restriction,optimize the division of power and responsibility,and follow the dynamic separation of incompatible job.Second,authorization examination and approval control,establish and improve the authorization examination and approval procedures,clarify the rights and responsibilities of examination and approval posts at all levels and the relationship between them,form an assessment mechanism,and maintain continuous supervision.Third,standardize the accounting system control,improve the competence of financial accounting personnel,strengthen the function of accounting supervision,improve the information process control.Fourth,property protection and control will be implemented,inventory management will be strengthened,accounts receivable will be comprehensively and scientifically managed,and fixed assets management system will be improved.The operation effect of internal control affects the production and operation of enterprises,the effective implementation of the internal control management system can ensure the authenticity and reliability of accounting information,help operators to make correct business decisions,so that enterprises to maximize the benefits.