Research On The Optimization Of Internal Audit Process Of Material Procurement Of C Company Based On Risk Orientation

Material procurement is the starting point of supply chain and production activities,and is the key link of enterprise production and operation,and the risks faced by material procurement are likely to seriously damage the interests of the company.To deal with material procurement risks,reduce procurement costs,improve the company’s efficiency,it is necessary to strengthen procurement management,and the purpose of material procurement internal audit is to supervise and inspect the implementation of material procurement activities,help improve the quality of the company’s material procurement and reduce procurement costs,so as to safeguard the company’s legitimate rights and interests,and promote the realization of the company’s procurement goals.Internal audit has developed to now,basically has realized the transformation of account audit mode to risk-oriented audit mode,but in the actual implementation of internal audit,there are still many companies whose internal audit is not based on risk orientation,in addition,due to the audit process is not standardized enough,the audit work content is not detailed enough,the professional quality of internal auditors is lacking,etc.,material procurement internal audit work is easy to be formal.In this article,I took Company C as a case study object,took its internal audit of material procurement as an example,analyzed the current situation of internal audit of material procurement of Company C,sorted out the internal audit process of material procurement and found out the existing problems.The problems in the internal audit process of material procurement of Company C mainly include the lack of risk identification and assessment in the audit preparation stage,the lack of internal control test implementation in the audit implementation stage,the lack of audit result communication steps in the audit report stage,and the lack of attention to follow-up audit work in the follow-up audit stage.In view of the above problems in the internal audit of material procurement of Company C,based on the principle of cost-effectiveness and risk orientation,and with the idea of "risk identification and assessment-risk tracking and response-risk reporting-risk management improvement",the internal audit process was optimized,the risk identification and assessment links were added,the risk in the internal audit of material procurement was systematically identified by the analytic hierarchy method,and the risk assessment model was constructed based on the analytic hierarchy model,and the risk assessment was carried out and the risk level was divided.Then,according to the results of risk identification and assessment,the internal control test procedure was improved,and the audit result communication process was introduced,which made up for the shortcomings of the follow-up audit work.Through this study,the risk awareness of the internal auditors of Company C was improved,and the internal audit process of material procurement of Company C was more complete and standardized,thereby improving the audit efficiency and effect.In addition,it also provides case references for the optimization of internal audit processes of material procurement in other companies.