Research On The Mechanism Design Of Internal Whistleblowing

Fraud has always been one of the key issues of corporate governance and internal control.Because of the deceptive and concealment of fraud,the work of anti-fraud often faces great difficulties in investigation and evidence collection,which is also the main difficulty in the practice of anti-fraud.However,internal whistleblowing from employees often produces remarkable effects on the development of anti-fraud work,and is used by fraud supervision and management departments as an important source of information and clues.Therefore,this paper attempts to discuss the mechanism design of internal whistleblowing from the angle of internal control,and try to standardize it to make it play a greater role in assisting anti-fraud work.In this paper,based on the previous theoretical research on internal whistleblowing,considering the current situation of internal whistleblowing in enterprises,the external legislation related to internal whistleblowing,the enterprise environment,the procedure for accepting internal whistleblowing,whistleblower protection system,whistleblower reward system are sorted out as main external factors affecting employee’s internal reporting behavior decision.Based on the experimental results,the correlation between the main factors and the internal willingness to report is tested.Then,based on the theoretical basis of experimental research,this paper carries out the specific design of the internal whistleblowing mechanism from three aspects: the construction of internal whistleblowing environment,the construction of reporting system,and the management of whistle-blowers.The conclusions of this paper are as follows:(1)As an integral part of internal control,the mechanism design of the internal whistleblowing of an enterprise can be based on three aspects of the internal whistleblowing environment construction,internal whistleblowing system construction and internal whistleblower management,and focus on external legislation,enterprise environment,internal whistleblowing acceptance procedures,whistleblower protection system,whistleblower reward system and employee management.(2)In the aspect of internal whistleblowing environment,this paper holds that the fraud supervision and management department should learn from and use the related external legislation to optimize the internal whistleblowing environment,and constantly strengthen its anti-fraud function to optimize the anti-fraud environment.At the same time,they should actively publicize the role of internal whistleblowing in anti-fraud work.In the aspect of system construction,the fraud supervision and management department should work with other departments of the enterprise to integrate the internal reporting process,whistleblower protection system and whistleblower reward system into the design of internal reporting mechanism,and pay attention to the dual role of protection and reward in internal whistleblowing.In the aspect of management of whistle-blowers,this paper suggests that the relevant departments and staff should strengthen the education,training and management of employees on internal whistleblowing issues,so as to help employees establish a correct understanding and attitude towards internal whistleblowing.But at the same time,we should strengthen the supervision of employee’s whistleblowing behavior to prevent the occurrence of malicious whistleblowing and other negative behavior.