Construction And Improvement Of Internal Control System Of BG Company

Internal control is the current hot topic of theory community in China,however,we must recognize that Chinese enterprises still have a lot of errors about internal control in terms of application ideas and actual operation.On June 28,2008,the Ministry of Finance with other five sectors issued "The Basic Norms of Internal Control",which was initially implemented from July 1,2009,within the scope of listed companies to encourage non-listed the implementation of other large and medium enterprises.Undoubtedly,the internal control system in China's enterprises of implement has been provided with a mandatory criterion.Meanwhile,the"Basic Standards"draw on elements of the five basic framework of the COSO Report,it is ponderable for internal control because of strong practical operation.The writer attempt to make an analysis about the internal control of the company in such a context,taking BG company as the research object,based on the theoretical framework of COSO,through the analysis about the cause of formation of internal control's weakness,in order to propose a solutions strategy.In this paper,the concepts,objectives,elements and other aspects of internal control is firstly discussed and then with the internal control-related theory be researched.Internal control should include all management and control,which penetrated into all aspects of operations and management of the entire process.The internal control's objectives have showed diverse trends.Internal control is made up by five elements such as the control environment,risk assessment,control activities,information and communication,and supervision.This paper seeks to identify the weaknesses currently in the internal control in the BG company.Based on the fully grasp of the large amounts of information,with the combination of the actual operating status of business,measures to solve the weakness of internal control has been put forward:Complete environment control of the business,combine risk assessment and control activities,enhance the flow of information and communication,enhance the oversight of internal controls.This study will help the grain enterprises clear how to strengthen internal control.