Strengthen The Internal Control Of The State-owned Enterprises Countermeasures

With the development of the economic globalization and in view of the scope of worldwide, the improvement of internal control of an enterprise became more and more stressed in various countries. The economic development in China is now consistent with the global economy and the breadth and depth of integrating in the international economic competition of China's enterprises had also been increasingly promoted, so it's bound to be a tough contest. Facing such an unable dodging reality, the State-owned enterprises as the major component of the national economy are more craving for through attach more importance to the improvement of internal control system to upgrade their managerial level. For recent years, the improvement of internal control within the State-owned enterprises have achieved a lot of results obvious to all, and at the same-time there were also led to some undesirable failure due to the poor internal control. Thus, accelerating effort to the improvement of internal control of the State-owned enterprises is the need of deepening the reforming State-owned enterprises, also the need of adapting ourselves to the economic competition of globalization."The Study On The Present Situation And Development Of Internal Control Within The State-owned Enterprises" had conducted systematic elucidative to the related theories and connotation of internal control. The article had from three aspects of implication, role and development of internal control briefing the basic theory of internal control.On this basis, the article taking State-owned enterprises as studying object, analyzed their present situation of the development of internal control in China. Firstly, the article discussed the process and existing issues of the improvement of internal control and affirmed government's actively promoting to the improvement of internal control system on the one hand. Further, it also defined some defects of the specification for internal control enacted by the government on the others. Meanwhile, the article had further made a synthetic analysis to the present situation and existing issues of the improvement of internal control. Furthermore, it, taking the following essential factors—control environment, risk appraisal, control activities, information and communication and monitoring of COSO as the starting point, made a far-reaching dissection on the present situation and existing issues of internal control in China's State-owned enterprises and further figured out the cause of the poor internal control within the State-owned enterprises. On this basis, by taking into account of the failure cases on the internal control of CAO, the views expounded in the article were thoroughly tested and verified, and then the article come up with a profound message for how to conduct the improvement of internal control within the State-owned enterprises.Finally, by taking the five basic factors for internal control as starting point, the article put forward the approach for improvement of internal control, viz: enhancing the establishment of laws and regulations and institutions for internal control, to further improving the environment for internal control, increasing the consciousness of risk management, launching some fine control activities, accelerating efforts to the information management and communication, enhancing the oversight institutions for internal control, so as to achieve the goal of improving the internal control level of the State-owned enterprises in an overall basis.