New Model Of The Agricultural Bank Of China Hunan Branch Internal Audit Study

China's banking is facing more furious international competitionwith the quickening of its opening to the international market. And thetraditional planning economic system also shaped it lots of badcharacteristics which bring it into more difficulties for its furtherdevelopment. The internal audit system is playing an irreplaceable role inevaluating and supervising the efficient operation of the bank's owninternal control system to ensure the bank's legal, steady and reasonableoperation. Therefore, enhancement of the state owned commercial bank'sinternal audit system could be of great help for deepening of itsreformation, perfecting the bank's internal management and promotingits economical efficiency.On research of the domestic and foreign commercial bank's internalaudit models and problems found during the implementation, this articletries to choose anew internal audit model for Hunan Branch of ABCcombining with analysis on its currently existing problems. Applicationof this new model can efficiently improve Hunan Branch's managementand supervision on its sub-branches' operation, ensure the internal auditsystem's independency, authority and promote its quality of internalaudit.The independency problem of internal audit work can be resolvedby the establishment of twelve audit representative departments whichare responsible for Hunan Branch ABC directly after the dismissing ofsub-branch's audit center, recalling their internal audit functions.Personnel, finance and property will be managed vertically. The relationship between the departments and the sub-branches is supervisingand supervised, therefore the internal audit function can be performedproperly.The audit representative departments are set as the same level as thesub-branches by the design of the frame work, their expenditures will becomputed independently from the sub-branches which ensures theindependency and authority of the internal audit.With implementations of such related measures as aimingmanagement of the internal audit work, performance evaluation of theinternal auditors, audit work quality evaluation and effective stimulation,the problems of internal audit work's quality and proper usage of auditresults will be finely resolved.