Internal Control Optimization Research About The WBH Group

The automobile industry has occupied an important position in the development of our national economy, and since 2000, passenger car production and sales have been showing a geometric growth, automobile 4S shop which also like bamboo shoots after a spring rain have been emerged in all parts of the country, domestic car dealers have already reached 76000, and auto 4S shop have been 21000 by the end of 2013..however, with competition increasing and the productivity of the automobile production enterprises expanding year by year, part of the city began to limit its purchase,resulting in auto industry profit decline. In the external competition environment, strengthen the internal control of the enterprise shows more and more important.So,do a good job in the management of internal control is an effective way to the automobile marketing enterprises sustainable development. It is significance to strengthen the internal control of the enterprise for improving the management level, improving risk prevention capacity and ensuring to realize the strategic target.The basic idea of this paper is:firstly,analysis operating characteristics and management status of the WBH group,Taking the COSO "enterprise risk management-integrated framework" and the "basic norms of internal control" promulgated by China’s five major ministries which is relevant to the requirements of the small and medium-sized enterprise’s internal control as orientation. In order to find the main problems existing in the internal control, it needs to analysis of the enterprise’s internal and external environment, corporate strategy, financial reporting, risk evaluation system, supervision system, control measures and the present situation for information. And it designs the new scheme according to the above problems, summarize and puts forward the meaning of design implementation. This paper uses the method of literature analysis and empirical analysis combining with examples about the daily management of enterprise groups in the 4S store, and the combination of domestic and foreign internal control theory literature to research and design of the WBH group’s internal control system. By using the method of comparative analysis to illustrate the advantages of the new internal control system in enterprise management. The main contents of this paper:the first chapter is Introduction which introduces the background,significance, research content and research methods, innovation and deficiency. The second chapter is Literature review and Related theory which introduces the domestic and foreign literature and the literature related to the evaluation of internal control, internal control related laws and regulations. The third chapter is Analysis the situation of internal control of the WBH group which analysis Company profile about WBH group,the internal environment, the current situation of internal control, the current existing problems in internal control. The fourth chapter is The WBH group’s internal control design, in view of the existing problems in the internal control of WBH group, which redesigns the company’s organizational structure, perfects and unifies management system, designs the new business processes, unifies the new business process to the ERP information system, especially the separation of purchasing and selling link and setting up distribution and retail department. Distribution Department can guarantee the group purchase vehicles by the lowest price, and using the unified group inventory management system putting forward the shops to concentrated and mandatory in accordance with the provisions of a certain period of treatment extended inventory, and independent retail department can ensure enterprises to strengthen management and service to customers at the sales link, ensure the enterprise profit point. In the item of the sales management, we put forward to estimate the Income and included it in the cost accounting which have not been received. When new car has been sold, we compare the new car profit with the accessory sales of accessories products and the overall services profit,and we manage the sales profits at different levels in the system. And in the aspect of capital management, the group supervises and manage the fund and establishes the center for unified group financing to improve the enterprise’s financing ability. Compilation group of uniform diameter of internal reports,design for multi-dimension of the report contents, to meet the different needs of management personnel. This paper is also focused on the design about the internal audit, tax risk,which designs new business processes and system, strengthens the measures of internal audit work to solve the problem of the existence of the above problems in internal control, to avoid the original risk, improve profitability, to ensure the safety of the complete asset group. At the end of this paper, it puts forward for some opinions about the construction of internal control system of further research, and it evaluates its effect on WBH group’s internal control system designed in this paper,and analysis its practical significance.