In Inner Mongolia Enterprise Internal Control Issues

Internal control is the system foundation for the normal operation of all organizations and agencies including enterprises. It is a control system drawn up and implemented for a unit to guarantee the quality of accounting information. to protect the security and integrity of assets, and to ensure the enforcement of the correlated laws, regulations, rules and systems. It is the foundation of all kinds of administration for an enterprise. which guarantees its sustained and healthy development.The economy of Inner Mongolia is developing rapidly. The rapid development of economy makes greater demands for the enterprise's administration quality information quality and the economic performance as well. At present, both the large state-run enterprises and the medium-sized ones have conducted the reform of corporation and are setting up the modern enterprise systems. The medium- and small-sized enterprises are developing rapidly. They have become an important force for supporting the economic growth, absorbing the employment population, and maintaining the economic and social stability. However, there are still a lot of problems in both the large- and medium-sized state-owned enterprises and the medium- and small-sized enterprises when it comes to the business administration. They are as follows: the proportion for the state shares in the backbone enterprises of major industries is on the high side and the proper share-holding structure has not come into being: the members of the Board of Directors are overlapping with the management: the enterprises are lack of mechanism for stimulating, supervising and restraining. The management of all enterprises are lack of the risk consciousness for operation; the power of leaders is not restrained, the rules and systems are not enforced well and the foundation for administration is vulnerable; the analysis of cost is rough and the quality of accountants is on the low side.All of these factors seriously are hindering the development of enterprises. When the problems begin to accumulate to a certain extent, they would be obstacles for the rapid development of economy. In this thesis, the author starts from the research into the internal control of enterprise. Inner Mongolia is a region of ethnic groups with an underdeveloped economy. In view of this situation, the author investigates the internal control of some state-owned enterprises, the individual and private enterprises, the...