The Board Of Supervisors System Of Chinese Limited By Share Ltd

The board of supervisors, also known as corporate supervisory committee, which is in the meeting of shareholders and the board of directors under the leadership of juxtaposed to the board of directors and the general manager shall exercise supervision of administrative management system of internal organization. It is a legal essential supervision organ in China’s Corporation Limited. In the modern company type enterprise, the power of ownership and management are highly separation. The separation and balance of powers is one of features in the internal organs. The purpose of establishment of the board of supervisors is to achieve the management of supervision and the power balance between internal organs of the company.The structure of this paper includes six chapters. The main content is about the supervision function of the board of supervisors system.The first chapter is the introduction part of this article briefly introduces the writing background, the literature review, the purpose of writing this paper and writing method.The second chapter is a summary of the board of supervisors system. It introduces the concept and mode of the board of supervisors and the basic theory to establish the system. In the British and American countries, there is no special supervisor. What exert the functions of the board of supervisors system mainly is the outside directors and the auditor. National Co in continental law system school set up the board of supervisors of this body, but because of the different economic structure and legal tradition, in the company of system of the different countries of continental law system, the board of supervisors the status and functions of this institution and the difference. The board of supervisors system to establish the theory origin mainly is the decentralization theory and the theory of agency cost. The theory of separation of powers is rooted in capitalist countries on the political theory of separation of the three powers, and the agency cost theory from western economics. The third chapter discusses the current situation of our country joint-stock company system of board of supervisors, the board of supervisors of the existing problems and reasons existing in the system analysis. Law stipulates the relevant supervisors of China’s "company law" will still need to be perfected from the legislative point of view, the company board of supervisors is the most effective way, the most economic.The fourth chapter discusses the content of perfecting our supervisors system in corporation Limited. We advocate introducing external supervisors to the advocates and increasing positive qualifications of supervisors, raising the threshold. We recommend the establishment of the board of supervisor’s identity security system. Authorities of the board of supervisors including perfecting board of supervisors of financial inspection right, establishing supervisory incentive and restraint mechanisms, the responsibility, right and benefit to the board of supervisor’s hook, increase their own interests and risk.The fifth chapter, on China’s listing corporation is present simultaneously in the independent directors system and the supervisory board system to study. The significance and role of China’s introduction of the independent director system in the listing corporation is clear and positive, independent directors and the board of supervisors also exist in the organizational structure of the company in the case of how to coordinate the relationship between the two is that we improve the operational efficiency of the company to consider the question of agency.The sixth chapter is the conclusion.