International Comparative Study On Internal Control Environment

As the internal control system introduced into modern enterprise management, its importance is increasingly highlights, our country’s internal control theory and practice have been improved, at the same time, some problems aroused people’s attention:foreign advanced internal control theories cannot be applied to the enterprise in China directly, which cannot get good results. We should explore appropriate internal control system which adapted to our situation, among them, the internal control environment laid the foundation, a healthy internal control environment can improve the effectiveness of internal control, perfect the corporate governance structure, and provide reasonable guarantee for enterprises’ sustainable development. Therefore, we need to explore on the basis of summarizing the other countries’ advanced experience, how to create a scientific and reasonable internal control environment, thus to promote the internal control system.At present, the study of internal control mainly focuses on "internal control environment "and "the international comparison of the internal control ", it is lack of international comparative literature about the internal control environment. After consulting data and drawing lessons from forefathers’ research results, the author has a more profound understanding on internal control environment and the practice situation in our country, based on the understanding, this article put the internal control environment of the enterprise as the research object. According to the COSO report, internal control environment includes such factors:The integrity, ethical values and competence of employees; Management philosophy and management style; Distribution of power and responsibility, organization, management and development of its employees; Board to directors and guidance, etc. Through specific analysis, the above factors have been rebuilt into:corporate culture, corporate governance structure, human resource policy and internal audit. This article chooses the United States and Japan to make the contrast analysis with our country. The two countries in the above four aspects are representative, overall, the United States represents the progress of the western model, Japan represents the cautious mode of the east. After combing through to the domestic and foreign enterprise internal control theory and making comparative analysis, combining the theory with the reality of our enterprises, expect to propose further suggestions.Combed in this paper, the main structure is divided into six parts:First, introduce theory about internal control and internal control environment at home and abroad, tell the research background and significance. Then make international comparison about corporate culture, corporate governance structure, human resource policy, and internal audit, analyzed the differences and reasons. Finally in draw lessons from foreign advanced experience, on the basis of combining it with the real situation of our enterprise, put forward the countermeasures and the suggestions of further perfecting the internal control environment construction.