Internal Audit Study On The Strategic Restructuring Of China Telecom

With the arrival of economic globalization and the information time, the market competition which the telecommunication industry faces becomes intensified day by day, the strengthening management of the enterprise, and enhancing the enterprise the competitive power, appears very important. It is increasingly recognized that an effective internal audit as important part of the company governs system, may guard against the enterprise risk, promote enterprise to standardize scientific management, enhance the core competitiveness of enterprise. A sound and effective internal audit is to ensure perfecting corporate governance. In the special period of carrying on transformation of China Telecom, higher standards are demanded for perfecting the corporate governance, reinforcing the risk tube, strengthening the internal control, and promoting the business management level, which depend on the strengthening and reforming of internal audit. On the one hand, in the process of transformation, there are more and more market operation risk, technology development risk, laws , regulations and regulatory risks enterprises will be faced with .If they can not implement effective management, they will affect the sustainable development of enterprises. On the other hand, the transformation of China Telecom will expand the scope of the operation, diverse the management style , promote more complex economic activities, enterprises need to improve the internal control management mechanism of self-restraint. It is an extremely important problem of management of China Telecom that establish and improve company's internal audit system to meet the actual needs of corporate governance to Complied with the changes in transformation of China Telecom.As the internal demand of the enterprise's survival and development, internal audit is not only achieved opportunity for development, but is also confronted with the unprecedented challenge. Therefore, internal audit should understand the situation clearly, and improve own flaws and shortcomings, establish a risk- oriented audit comprehensive risk management system, and actively explore organizations to promote transformation and development objectives for the internal audit management of the new pattern. The article carries on the beneficial discussion to compact combination between the development of internal audit and the transformation of China telecom through the practice work summary and the theoretical study .Referring to foreign experience in the development of internal audit, the author develops analysis to current situation and cause of formation of China Telecom's internal audit, proposes targeted strategy to perfect company's internal audit mechanism, promote China Telecom to the persistent and healthy development.