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Research On Interior Supervision Mechanism For FAW Group Corporation

Posted on:2006-11-21Degree:MasterType:Thesis
Country:ChinaCandidate:Z M DingFull Text:PDF
GTID:2179360182456973Subject:Business Administration
Abstract/Summary:PDF Full Text Request
The client and agent relation widely exists in an interior enterprise, an agent is just an executor and owns the advantages on information. An agent has much chance of fulfilling the opportunism. So it is necessary for an agent to be supervised. As a typical organism separating ownership from propriety in a modern corporation, from the point of protecting capital provider's interests, objectively a mechanism should be required to ensure the safety, constant value and appreciation of provider's original property. Nations belonging to Mainland Law System have generally built the system of supervision board as a corporation's interior supervision mechanism, while nations belonging to British and American Law System have built the independent system of Board of Directors as a continual supervision. State-owned enterprise, whose asset ownership is run by our country(the state) on behalf of national people, is wholly owned by national people. The client relation based on state-owned corporation system indicates indirectness, various levels, complexity and complicated coordination relation. So its problem is serious. The《State-owned Enterprise Asset Supervision Transient Items》issued by the State Council in May, 2003 prescribed that the State Council State-owned Asset-supervising Organization should send Boards of Supervision to those wholly-state-owned enterprises and wholly-state-owned corporations invested by them on behalf of the State Council. The Covering People's Government State-owned Asset-supervising Organizations should send Boards of Supervision to those wholly-state-owned enterprises and wholly-state-owned corporations invested by them on behalf of the corresponding people's governments. This symbolizes the reform on our state-owned asset-supervising system has stepped on a brandly new stage. The state-owned enterprises'supervision mechanisms are further stepping into maturity, normality and law systemization. The interior supervision system in an integrated corporation should consist of two subsystems: one is the supervision subsystem in top harness structure and the other is the supervision subsystem in execution department. To a state-owned enterprise, the Board of Supervision sent by State-owned Asset-supervising Organizations should belong to a supervision subsystem in an enterprise's interior top harness structure. The supervision subsystem in execution department refers to the one that is authorized as the interior managerial supervision system in an enterprise. Only when both subsystems play their roles can an enterprise remain healthily developed. China FAW Group Corporation (original FAW) is an especially-large state-owned enterprise. Recently it is registered according to the 《Corporation Law》and executes the responsibility-taking manager's system instead of Board of shareholders and Board of Directors in corporation harness structure of a corporation registered by the 《Corporation Law》. The National Asset Committee according to 《State-owned Enterprise Board of Supervision Transient Items》, as a representative to invest, sends the Board of Supervision to FAW on behalf of the state. The Board of Supervision centers the financial supervision and totally supervises FAW's financial activities and managerial actions of the people responsible for an enterprise so as to ensure its rights to be not aggressive. The supervision to FAW by the Board of Supervision sent by the National Asset Committee belongs to the interior enterprise supervision in top harness structure. In the interior FAW's structure, the traditionally greater interior supervision sections contain Managerial Department, Financing Department, Organization Department, Union, Discipline-supervising Committee and Audition Office, which have certain supervision functions to the wholly-owned companies and other functional departments. In recent years, with the rapid development of FAW and its extending production scales, it has set up kinds of wholly-owned corporations and branch corporations, and its organization structure has also varied greatly from the factory structured enterprise to the mother-to-son structured corporation group. The people responsible for FAW have dual statuses, that is, commissioner when facing to the state and client when facing to the wholly-owned corporation. How to effectively supervise the subjective corporations is an important subject FAW is facing. For this, FAW has stepped into a beneficial exploration and formed FAW Group Board of Supervision Office, and Operation and Control Team sooner and later. The combination of the two supervision organizations and the traditionally interior FAW supervision organizations forms the woods-like interior group supervision system lately. FAW Group Board of Supervision Office is the section to serve and manage theespecially-sending supervisors in respective wholly-owned corporations sent by FAW Group Corporation. The especially-sending supervisors refer to the full-time top-manager-class supervising personnel in respective wholly-owned corporations sent by FAW Group Corporation. Each group, responsible for supervising four or five wholly-owned corporations, consists of a especially-sending supervisor and an assistant supervisor. FAW wholly-owned corporations do not cover Boards of Supervision but only send the especially-sending supervisors. The especially-sending supervisors in different share-controlling wholly-owned corporations, as members in Boards of Supervision, have dual statuses. An especially-sending supervisor has every term of 3 years, executes a shift system and has not a continuous term in the same wholly-owned corporation. The expense an especially-sending supervisor will spend during the supervising work is not covered by the wholly-owned corporation but by FAW. Not having direct beneficial relation with the wholly-owned corporations, the especially-sending supervisor has a strong independence and executes his or her supervising work in an objective and just way. The specially-sending supervisors perform their supervisions to managerial activities of the wholly-owned corporations and managerial actions of the people responsible for the wholly-owned corporations on behalf of FAW. The specially-sending supervisors follow the regular job report systems about supervision conditions concerned of the supervised wholly-owned corporations and report the special conditions at random. The reports inspected will be handed in to the general manager and the chief deputy general manager of FAW. The specially-sending supervisors can not uncover the inspected report contents. A united meeting for specially-sending supervisors, which is gathered and chaired by the director in the office of Board of Supervision, is held once quarterly. All the specially-sending supervisors, and the general manager and the chief deputy general manager of FAW are welcome to attend the meeting. The interior supervision organizations of the specially-sending supervisors and the wholly-owned corporations, such as Discipline Committee and Audition Office, do not exist the relation of leading and being led. During the course of supervision to the wholly-owned corporations by the specially-sending supervisors, they can learn about the interior existing problems from the staff in the interior supervision organizations of the wholly-owned corporations, in turn, the staff in the interiorsupervision organizations of the wholly-owned corporations have the reliabilities to report the real situations. During the decades of years, the office of Board of Supervision has got better achievements and devoted itself to ensuring the safety of state-owned asset and promote the wholly-owned corporations'healthy development. FAW Group Corporation has formed the Operation and Control Team, which operates and controls managerial activities of the wholly-owned corporations, so as to change its group functional managerial models. The members of the Operation and Control Team are sent by the relevant functional departments and their subjective relations are not changed. After the managerial activities of the wholly-owned corporations are operated and controlled, the management to the whole group is avoided to be out of control because of ignorance of management. The Operation and Control Team performs the regular meeting and the report system. The regular meeting for work is gathered, communicated, coordinated and settled by the team leader, and the detailed time is determined by him or her also according to the demands on the working joints. The Operation and Control Team reports the managerial activities to the director of the wholly-owned corporations and the covering leaders of FAW, and reports the special conditions at random. The Operation and Control Team acquires relevant information of the wholly-owned corporations by means of on-the-spot investigation, inquiry, conversation, and collections of relevant data. If necessary, it has a direct communication with the general manager of the wholly-owned corporations. The members of the Operation and Control Team will write out the professional evaluation report to the respective wholly-owned corporation by their own departments. After that, the leader of the Operation and Control Team will summarize the report and then write out the operation and control report by the whole team. Through the operation and control system, the respective conditions of the covering wholly-owned corporations of FAW are sent to the leaders of FAW, which are grounded as the group leaders'decision-making. Each functional department controls the situation of each wholly-owned corporation at random in order to enforce its functional management and service. The wholly-owned corporations can also improve their managerial abilities after modifying the interior managerial problems found in the operation and control.The Audition Office, Office of Board of Supervision and Operation and Control Team all execute their supervision functions to the wholly-owned corporations and they have their own supervision advantages and supervision emphases. The three'combination can make FAW have a whole supervision to the wholly-owned corporations. The woods-like interior group supervision system seems to be more to a common enterprise, but it is proper for FAW of a state-owned enterprise to have so many wholly-owned corporations, assets and a large of staff. Now there exist many problems in the supervision work of the Audition Office, Office of Board of Supervision and Operation and Control Team, for example, the specially-sending supervisors, short of aggressive spirits, are some the top managers to retire, the members of the Operation and Control Team are lazy for work and give reports without careful investigation to the wholly-owned corporations causing worse operation and control effects, and the three are lack of communication with one another working repetitively. Facing these problems, FAW Group Corporation should take measures to improve the interior supervision system and enforce to build the Office of Board of Supervision for a firm supervision team, to improve the operation and control work and its quality, to promote the communication of the Audition Office, Office of Board of Supervision and Operation and Control Team, and to improve the whole efficiency and effectiveness in the interior supervision mechanism so as to make it play more roles based on making sure of the safety of state-owned assets and promoting FAW to develop healthily.
Keywords/Search Tags:Interior Supervision, the Client and Agent Relation, the Corporation Harness, Supervisor, Operation and Control Team
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