The Discussion Of "People-oriented" Internal Control Mode In The Pan-family Perspective

Since entering the new century,especially after joining the WTO,the environment of enterprises has become increasingly complex.On the one hand,with the reform and opening up policy and the "One Belt And One Road" development strategy,China's economy is developing at a high speed and enterprises have great opportunities;on the other hand,with the opening of the market,domestic and overseas competition is becoming more and more fierce,enterprise facing the competition from western developed countries,which have abundant capital accumulation and advanced management philosophy and technology,crisis is increasing.How to achieve the sustainable development ability of the enterprise becomes the focus of management company governance.At the same time,internal control and risk management become the focuses of the enterprises in our country.Currently the internal control system is focused on specifications and guidelines of “the basic norms of internal control for SEMS”,“Internal Control Evaluation Guidelines”,“Internal Control Audit Guidelines” and many related policies,meanwhile it also clarified the requirements for strengthening the audit of the prevention and control of major risk auditing.However,many enterprises still focus on the revenue,profit,growth and other economic indicators,while ignoring the importance of the sustainable development of risk management and internal control system construction for the enterprises,which becomes the widespread problem many enterprises have to face with.For the family enterprises,with the characteristic of paternalism and concentrated power,the internal control system would bring unavoidable negative influence to their healthy and sustainable development."Pan-family",as a new family ideology,gradually came into the public horizon.Under the influence of the clan system,how to reshape the corporate culture and value orientation,through the "pan-family" to build the enterprise mode of corporate governance,to build a new mode of internal control is a new research direction.This paper discusses and analyzes the “people-oriented” internal control mode which adopted by traditional family firm under the concept of "pan-family".The essence of "pan-family" thought is to break the family line,and to expand members of the family.Based on respect,understanding,trust,the essence of "pan-family" coincides with that of the "people-oriented".Therefore,under the internal control environment of "family" culture,carrying out the people-oriented management of the internal control mode will promote the capability of the enterprises' risk management control and enable them to healthily develop.This paper combines theory and practice with case study.The first chapter is the introduction.This chapter systematically expounds the research background and significance,introduces the framework of the thesis,analyzes the domestic and foreign research literature of pan-family and people-oriented internal control model,and refine and review the family firm's internal control mode selection in the pan-family perspective.The second chapter outlines the theoretical basis of pan-family,people-oriented and internal control.The third chapter is the introduction of people-oriented internal control mode in the pan-family perspective of Fuyao Group.The forth chapter is the case study of people-oriented internal control mode in the pan-family perspective of Fuyao Group,mainly analyzing the pan-family concept and the reason why Fuyao Group chooses the internal control mode of people-oriented management.Meanwhile it introduces the close relation between the goal and the enterprise under the internal control mode of people-oriented and summarizes the internal control framework,implementation mechanism and effect assessment in the pan-family and people-oriented perspective.The fifth chapter is research conclusion and policy suggestions.The construction of enterprise internal control is based on one center and three principles.The center is people-oriented,under the concept of the pan-family embody humanistic thought through expand family members.Three principles are the entity principle,improve the quality of employees;rigid and flexible principle,embodies the management toughness;cost-benefit principle,display control results.Through the method of combining theory and practice,the paper takes the Fuyao Group's “people-oriented” internal control mode as an example,and discusses and analyzes the current enterprise in choosing the internal control mode.The author believes that the enterprises should take constructing corporate culture and core values as a top priority,and actively creates humanistic control environment through the people-oriented control mode,thus building foundation for the internal control system of the family enterprises.In brief,the enterprises should take humanity hypothesis,Maslow's hierarchy of need theory,incentive and restraint theory and the principles of cost-benefit into consideration while constructing internal control system of their own characteristics.Carry out internal control management under the perspective of the pan-family and people-oriented,strengthen the enterprise's management level,improve risk control ability,under the premise of compliance management,make the enterprise benefit maximization.