Financial Internal Control Model Of Hansteel Group Analysis

In recent years, many momentous cases revealed the weakness of our domestic enterprises', especially corporations in internal financial control. Computers, information technology and networking development have had revolutionary attack at enterprises'internal financial control. Obsolete internal control system and its disadvantages has become an obstacle to enterprises and corporations'future development. Therefore, study and research of financial internal control model have active, far-reaching and realistic meanings.This thesis takes the Hansteel Group as the example, adopts evidence-analysis method and it is based on the financial principles and methodology. It takes the system analysis, questionnaire, communication with relevant from the HG and statistic comparison as research tools, after taking sufficient materials of HG and extensively readings on financial internal control both at home and abroad, and other new research outcomes, it makes a systematic analysis of the HG and a further anatomy of the current status of HG.This thesis consists of five chapters. Chapter one is introduction explains the reasons for choosing the subject and proposed the questions to study and the meaning of this thesis. Chapter two is literature summary, summarized and commented literatures on financial internal control of the academic world, and illustrated the theoretical basis of this thesis. Chapter three is research methods and thesis design, including sampling and research methods explanation.Chapter four is the core of this thesis, proposed the network centralization corporation's financial controlling system and made comments on it through analysis of HG and current economic and technological environment. It analyzed the current development of steel industry and the opportunities and challenges first, and then made explanations of HG's performance, followed by illustrations of its internal control. HG takes the centralization of control as the main method and assisted by decentralization of control, centralization and decentralization combined controlling system, it built up financial decision, execution and monitoring triumvirate, layered comparatively perfect financial control and it meets the requirements of the temporary times. HG combined all its branches into its corporation, making overall budget, funds are dispatched by internal bank and used with costs. Its financial human resource management, investment decision-making and financing are layered. Its prices of products are decided by the pricing committee of HG, and it also responsible for bids of purchasing and pricing. Its motivation and restriction system, financial information feedback reporting system are also important part of financial management. HG's financial management framework is healthy and being executed effectively, it enhances the management of the corporation, however, it has disadvantages, and affected by the low level of state-owned enterprises'financial management, it needs improvements. On this basis, this thesis introduces'access'accounting concept into financial management, brought forward the new model of network centralization financial management and analyzed its necessity ,feasibility and value.At last, chapter five concluded the new model is development direction and it can improve financial management and monitoring substantially, as well as improve its competitive power and market value.