Case Research On Internal Control Of ERP Project In A Company

With the development of the informatization and the economic globalization, as well as the impact of the industry "Internet +" and big data wave, China's enterprises face with multiple pressures of technical improvement and management innovation. ERP(Enterprise Resource Planning), a representative of modern management tools, not only has important promoting role in enterprise informatization in our country, but also creates a better environment for enterprise management transformation, promotes management change with technological innovation, and improves enterprise competitiveness.The popularizing period of ERP of China began in 2004, all walks of life set off a wave of introducing ERP. The enterprise of the successful implementation of ERP, however, is in the minority. ERP projects ha ve the characteristics of large investment, difficult and long construction period and complex project risks, and benefit lag etc. It has become a major challenge in the popularizing of ERP that how to do the internal control of ERP projects so as to ensure the smooth operation of the system establishing, launching and operating.Based on the ERP project of A co mpany as the research object, through a variety of analysis methods, such as literature research, the qualitative analysis methods and on-the-spot investigation, this paper studies on how to improve internal control so as to promote the successful implementation of ERP projects. Firstly, this paper explains the concepts of internal control of ERP projects, its objectives and principles, and the definition of five elements in internal control of ERP projects, which is based on COSO risk management framework. And analyze the ERP projects risk characteristics and corresponding internal control requirements according to relevant rules and regulations. Secondly, take A company's internal control of ERP project implementation as an example, the general situation o f A company and the present condition of the internal control of the project have been analyzed, including the overall situation, such as internal control environment and risk management, and the working process and main control activities in different sta ges. In addition, this part emphatically analyzes the problems of the internal control in the three stages, establishing, launching and operating. Thirdly, in view of the internal control defects, suggestions to improve the internal control of ERP project have been thrown out from aspects of three stages and the whole process of risk management. Lastly, important links, and internal control defects and the corresponding improvement measures have been summarized from the perspective of three stages, pointed out that following measures should be taken into consideration to improve the ERP project internal control system, so as to improve success rate of project. In the stage of establishing, it is necessary to strengthen the supervision of custom application and strictly implement change control mechanisms. In the stage of launching, quality control of training and internal communication should be improved to ensure project quality and progress. In the stage of operating, it is helpful to adjust operational support system and standardize the process. And company should implement the responsibilities of the risk management for each stage and establish a dynamic project risk database.