The Listed Company Internal Control Effectiveness Influence On Enterprise Performance

With the occurrence of American Enron,world communications,series of financial fraud events,national regulatory authorities began to realize the importance of internal control for the healthy and sustainable development of enterprises and capital market.In our country,draw lessons from foreign experience,combined with China's national conditions of the foundation,and gradually establish a standardized system of internal control.In 2008,China has formulated the "basic norms of internal control",2009,"the audit of internal control guidelines" began to implement,in 2010,China issued "enterprise internal control supporting guidelines”,the implementation of a series of laws and regulations,marking the Chinese enterprise internal control standard system to adapt to China' s actual situation,the fusion of international advanced experience basically completed.At present,there are from the perspective of empirical research on the effectiveness of internal control,from the norms of the effectiveness of internal control perspective.The main study of the empirical research is related to the defects of internal control and information disclosure,and the main explore of the normative perspective is the framework of internal control,internal control standard,providing the basis for the theoretical analysis.With the domestic and foreign research on the internal control,the index of internal control is studied by the academic circles.many scholars use different methods to design the internal control index to measure the level of internal control.In this paper,according to the degree of realization of the goal of internal control research based on the victor in the database,select the index variable to establish the model,to calculate the internal control index for measure the level of internal control,researching the influence of the internal control index on enterprise performance.In this paper,after finishing the literature found that research literature obout influence of the effectiveness of internal control of the listing Corporation on the performance of enterprises is relatively small.There is a very great dispute to measure of corporate performance and what kind of methods used to measure corporate performance.How to use the appropriate method to measure corporate performance is always a difficulty in the empirical research of our country.In this paper,through the analysis of the relationship between internal control and corporate performance related theory,using financial indicators to measure the performance of enterprises and the date of the listing Corporation the Shanghai and Shenzhen,to study the effectiveness of internal control on enterprise performance,fing that the effectiveness of enterprise internal control is higher,the better enterprise performance,that is to say,the higher the profitability of the business.Therefore,we can think that effectiveness of internal control and enterprise performance are positively related.Strengthen the construction of enterprise internal control is conducive to the overall development of the enterprises,and help enterprises to improve management efficiency.The effective internal control helps to improve the company's operating environment,help to improve the effectiveness and efficiency of the company.It means that effective internal control plays an important role to improve the performance of the company.Therefore,in order to reduce risks and improve company performance,the listing Corporation shall establish an effective internal control system based on the company size,financial characteristics,control characteristics and combined with the particularity of the enterprise itself.The innovation of this paper lies on from the degree of realization of the goal of the internal management to measure the effectiveness of internal control,adopt the internal control index as the proxy variable,select four financial indexes as the proxy variable of corporate performance,researching the relationship between the effectiveness of internal control and corporate performance,and according to the results of the analysis put forward the suggestions about how to improve enterprise performance based on the internal control.