The Study On The Correlation Between Corporate Governance Structure And Internal Audit Quality

At the beginning of the 21st century,the corporation enterprise has obtained the unprecedented development,the people's research on corporate governance has been heated up rapidly,and a series of financial scandals have broken out,which has drawn people's attention to corporate governance,and the academic research on corporate governance has thus reached an unprecedented climax.In the study of corporate governance,internal audit,as an important part of corporate governance,has been widely concerned by academia and practitioners.Most enterprises adopt the separation of ownership and management right,which is the origin of the emergence and development of corporate governance and internal audit.Internal audit and corporate governance are accompanied by each other and restrict each other.High-level corporate governance structure can provide a strong guarantee for the quality of internal audit,at the,same time,high-qualityinternal audit level can make corporate governance structure more perfect.Corporate governance reflects the level of management and control of the company,will directly affect the healthy long-term development of listed companies,its degree of perfection will restrict the quality of internal audit of listed companies;at the same time,the effective operation of internal audit will enable corporate governance to operate more effectively,so that enterprise resources can be more effectively allocated.In the existing literature and research,most of the authors mainly study the impact of internal audit on corporate governance,the impact of corporate governance structure on the quality of internal audit is relatively insufficient.The results of this paper can expand people's understanding of its relevance,improve the level of internal audit in practice,enrich and broaden the internal audit.It has positive theoretical and practical significance to study and optimize the corporate governance structure.This paper provides policy suggestions for corporate decision makers to design corporate governance structure,so as to improve the efficiency of the company operation and effectively play the value-added function of internal audit.This paper can arouse our company's attention to the internal audit,pay attention to the role of internal audit can be targeted to adjust and improve the corporate governance structure,make the effectiveness of internal audit better play,conducive to improving corporate governance structure,improve corporate governance effect.This paper chooses a combination of theoretical analysis and empirical research to explore the impact of corporate governance structure on the quality of internal audit.The paper is divided into five parts,the specific content is as follows:The first part is the introduction,including the research background and significance of the paper,research literature review at home and abroad,research ideas and methods.The literature review is divided into the literature review of corporate governance structure,the literature review of internal audit quality,and the literature review of the relationship between the two.This paper mainly uses the method of combining theoretical analysis with empirical research.The second part is the theoretical analysis of the correlation between corporate governance and internal audit.On the basis of introducing corporate governance and its structure,the characteristics and influencing factors of internal audit quality,this part expounds the influence of corporate governance structure on the quality of internal audit and the influence of internal audit quality on the structure of corporate governance,and gives the supporting analysis.The theoretical basis is principal-agent theory,information asymmetry theory and internal control theory.The third part is empirical research,mainly including research hypothesis and its basis,sample selection,variable description and its model settings,paving the way for empirical analysis.Then the empirical test results and their analysis,which is one of the core parts of this paper,by selecting some of the 2014-2016 Shenzhen mainboard A-share listed companies as samples,set the independent variables as equity checks and balances,board size,board meetings,the proportion of independent directors,the size of the board of supervisors,management.The six variables of shareholding ratio are classified and assigned.The dependent variable is internal audit quality and the control variable is company size.The company size is expressed by the natural logarithm of the total assets of the company.Using Excel software and SPS software,the selected samples were analyzed by descriptive statistical analysis,correlation analysis and multiple regression analysis,and the results of sample processing were explained theoretically.The fourth part is the conclusion and policy recommendations,which illustrates the empirical research conclusions drawn in this paper,verifies the six hypotheses put forward in the third part,and draws inspiration from the research results,puts forward suggestions to improve the quality of internal audit and optimize corporate governance structure,and finally points out the shortcomings and prospects of this study.In this paper,because the data is collected and manually collated,limited by the source of collection,excluding incomplete data company data.This study only collects A-share listed companies as samples,because Shenzhen Stock Exchange requires higher disclosure of internal audit information than the Shanghai Stock Exchange,follow-up studies need to expand the scope of the sample to enhance the objectivity of the data,and thus enhance the persuasiveness of the conclusions.The innovation of this paper is that the corporate governance structure is divided into six variables from four angles,and the evaluation method is used to measure the quality of internal audit.