Research On Improvement Of Internal Audit Management System Of Shaanxi Yanchang Petroleum Group

In recent years, Shaanxi province carried out the economic strategy to make a number of large scaled and standardized companies growing steadily through restructuring, mergers and acquisitions, equity participation, etc. The enterprise development requires its own inner supervision control and risk awareness improvement, while the inner control system of an enterprise is controlled by internal audit. Under the development of group enterprises strategy, a company can grow in good condition is related to the internal audit making full use of its function.Yanchang Petroleum Group was restructured two times in1998and2005. Now it has developed the business into oil and gas exploration, mining, processing, pipeline transportation, promotion; and chemical engineering, equipment manufacturing, project constructing, technology researching and developing; as well as involved in coal industry, new energy industry, real estate, hotel, etc, having25subsidiary companies and more than50large production work units. As per centralization and decentralization, these companies divided into3modes:operation control mode, strategic control mode and financial control mode, under different control mode, the stress and depth of functional management are different. With the growing scale of group and diversified level, it gradually appeared that the previous internal audit management is mismatched with group developing strategy and managing evaluation.This article is applied management theory and viewpoints to analyze and investigate the problems with internal audit managing system of Shaanxi Yanchang Petroleum Group, connected with advanced national and international experience of internal audit to propose its management mode should be centralized and classified management. In accordance with authority, independence, effectiveness and cost-benefit to set up centralized internal audit management mode, optimize the allocation of audit resources, establish audit information management system, realize the specialization of audit work and standardization of audit procedure, and try the balanced scorecard method to complete the internal audit performance evaluation management and improve the quality of internal audit.The research of improving internal audit management system is not only to solve the problems in managing the group itself, more importantly, it is according different demands of inner supervision and management to solve the joint-management with owned enterprises. It also can help the group to evaluate the inner control system, and increase the revenue and improve the management of each plate, make full use of the "immunity" function of internal audit.