Research Of Risk-oriented Internalaudit In Chinese Private Listed Companies

In the nowadays, companies are in an increasingly complex economic environment along with various aspects of risk, so the Risk Management becoming more and more prominent. And the internal audit plays an important role in the risk management. As more and more powerful force in the economic development of our country, the development of private enterprises makes a contribution to the national economy in our country and makes our country become more prosperous. However the related policies are unable to keep up with the rapid development of China’s private enterprises in the aspect of internal audit, control and risk management. So private enterprises are in urgent need the support of theoretical and the guidance on risk management to form a more complete risk management system.In this paper, based on the risk-based internal audit process, the reason for private listed companies as the object of study can be described from the following two aspects: Firstly, the private enterprises are increasing in number, and the great development of private enterprises has made a great contribution to the China’s economy and society, such as the state revenue has improved and there are more employment opportunities for the unemployed people in our country. Secondly, most of private enterprises are family enterprise in our country, so the company lacks of related systems in risk management. And the implementation of risk-based internal audit system in private enterprise, which not only can improve internal control management but also meet the needs of risk management. Above all, the internal audit based on risk-oriented has a very important practical significance.In this paper, we use two methods named such as normative research and case studies, and we also make a investigation of related literature to support our view, give full consideration to internal audit in China’s private enterprises in application characteristics, focusing on China’s private listed companies risk-based internal audit framework processes take Chinese private listed company UTS travel company as a research application object its application of this article to build risk-based internal audit processes, and tested.