Case Study On Master Budget Management Of Internal Control Of M Electric Power Company

Some companies in the United States began to use budgets in the 1920 s.It has been a hundred years since then.Our country has used its budget for 20 years.Whether it is a Western capitalist country or China,the budget is always the center of corporate internal control.With the strong support of the government,many of our country’s power companies have exerted their subjective initiative to introduce overall budgetary internal control into the company’s operations and management activities.They have gradually explored and accumulated many experiences in long-term practice activities.However,due to a variety of reasons,external or internal,China’s power companies have encountered various difficulties and problems in implementing internal control of the overall budget.Therefore,more efforts have been made to analyze and analyze the results of the application of internal control of the overall budget to the management of the enterprise.It is imminent.This article focuses on the selection of M power company as the research object,and systematically introduces the current status of M power company’s internal control.It elaborates on the technical framework and detailed business process of the internal control of the overall budget,including the budgeting control process and budget execution control process.At the same time,through open interviews with representative employees of various departments and corporate management personnel,the company employees were given some anonymous questionnaires,as well as field visits to observe and understand the operation of the internal control system of the overall budget,and found that the internal control of the M power company’s overall budget remained the following issues:(1)The overall budget internal control system is incomplete;(2)budget development and development strategies are out of line with each other;(3)budget adjustments unreasonably affect the effectiveness of implementation;(4)overall budget internal control and performance assessment are out of touch with each other.Carefully analyzing the reasons for the existence of the problem,the author believes that there are several factors:(1)The lack of sufficient understanding and understanding of internal control of the overall budget;(2)The lack of awareness of strategic management;(3)The lack of scientific method of budgeting;(4)The lack of regularity in budget adjustment;(5)The lack of a reasonable budget assessment index system.In order to help the internal control of the overall budget to better help M power companies achieve their strategic goals,the author believes that the M power company can be improved from the following aspects:(1)Improve the overall budget internal control system;(2)to develop a comprehensive budget internal control objective based on strategy;(3)to improve the overall budget The execution of internal control;(4)Improve the assessment and evaluation system for the internal control of the overall budget.At the same time,it also provides reference for the preparation and implementation of internal budget for other power companies.