A Study On The Improvement Of Internal Control Of Procurement And Payment In ZY Company

Monopoly and institutional barriers bring enormous profit while also weakness in internal control to tobacco companies.Nowadays,the whole tobacco industry is in the period of transforming to corporatization,marketization and internationalization.It is faced with many challenges,not only the competition brought by foreign rivals,but also the deman reduction.Market competition is becoming increasingly fierce and it makes tobacco companies to become aware of the importance of internal control.Procurement and payment is an important part of enterprise's main business activity,it directly affected production sales,cost,cash flow and other operating elements.Establishing and improving the procurement and payment internal control system is significant to lift efficiency and cut the coast in procurement and payment.This parer takes ZY Tobacco Industry Company as research object.It is based on literature and specification on internal control.Problems in procurement and payment of ZY company have been analysied and corresponding solutions have been brought up.Problems exist in institution of the raw-materials purchasing,implementation of the supplies-purchasing institution,information system and inside audit.Furthermore,there are some safeguards to ensure effectiveness of those solutions.Those safeguards includes improving risk management,corporate structure and human resource policy.