HG Holding Group Company Internal Control Model Research

With the continuous development of China’s reform and open policy, social andeconomic progress, the enterprise has developed from the single to multi-organizationand this has become urgent social and economic requirements. At the same time,enterprises face more intense competition if they want to survive and sustainabledevelop in the current environment. The core problem for entrepreneurs to explore ishow to determine the appropriate internal management framework and control systemof an enterprise by reform. It is also an essential problem should be solved out in orderto maximize the benefits of the group. Therefore, the enterprise have to find the mostsuitable and effective management and control mode, and use this mode exactly toimprove the management level and operational efficiency, then the enterprise willmaintain its sustainable development in this competitive environment.In recent years, with the impact of global financial crisis on the real economy in2008,the national macro-policy changes, the large surplus of capacity becomes more serious;HG Holdings Corporation is facing increasingly competitive situation, both internal andexternal problems influence and restrict the development of this enterprise. Toemphasize the control and explore the potential abilities of the Group, and to focus onthe management can pull the enterprise through. Hence how to establish the realmanagement mode and improve the synthesized competitiveness for the HG HoldingsCorporation are the most important problems and also the core of my investigation.This study considers the case of control mode of HG Holdings, go from the easy to thecomplicated steps, from analyzing the typical control and management mode ofenterprise group, to explore the existing problems in HG Holding Corporationsmanagement and control mode after its current situation analysis. Based on this, throughthe analysis of influence factors of management and control mode and also integratedwith the real situation of the enterprise, this essay provide the effectiverecommendations for the Group about the mode change to strategic control mode, and put forward some details about this mode from the functions, rights and responsibilities,internal reform and innovation and other aspects of Group headquarters and subordinateenterprises.This thesis mainly reflects the case analysis of the management and control of the groupand subsidiary companies, in order to promote the research of management and controlmode in the same industries in practice.