Study On The Redesign Of Internal Control System Of ZWJ Corporation’s Engineering Project

Currently, the construction enterprises in our country are competing at low price status. The relatively low gross profit rate for construction enterprises requires objectively that they should research and constitute integrated internal control system, effectively motivating and efficiently controlling the engineering project management department, to improve economy effects.Based on the research results of internal control at home and abroad, characterized by the project-orientated feature of construction enterprise, the existing problem of ZWJ Company’s internal control system was investigated and analyzed systematically by questionnaire and interview in the thesis. Referring to the successful experience of joint stock system, the simulated joint stock system internal control system for engineering projects is constructed.Simulated joint stock system internal control system for engineering projects takes project department as "subsidiary" and applies joint stock system The company becomes shareholder by resources like brand, capital, technology etc.; the management personnel in project department pay different risk mortgage money as own "stock" according to their positions in project department. Company and project department will be allocated profits according to their contribution to project. Project profit is divided into2parts:target profit and excess profit. Target profit is the embodiment of company’s operation level, having no relation with management level of project department; excess profit is the embodiment of project department’s management level, being management benefit.Company will get target profit of project profit and project department will get the excess profit of project profit. If the project does not achieve target profit or is deficit, then the project department takes the deficit responsibility limited by the risk mortgage money and company take the rest deficit. During the implementation process of project, the project is managed dynamically by company’s regular performance appraisal; bonus will be distributed or risk mortgage money will be deducted according to appraisal result.As one new mode of internal control for engineering projects,"controllable risk; implementable control" simulated joint stock system internal control system replaces the engineering project contracting mode in ZWJ company, harmonizes the division between project department and company, raises work enthusiasm of management personnel in project department, helps to increase the economy effect of engineering effect.