Research On Inventory Internal Control Of TN Chemical Company Under The Impact Of Supply And Demand

Novel coronavirus pneumonia is China’s national economy.However,it is also suffering from a downturn in global economy and domestic industrial restructuring.The development of the chemical industry has been severely affected by the outbreak of the new crown pneumonia in early 2020.TN chemical company selected in this paper is a typical traditional chemical enterprise,which has obvious characteristics of heavy assets.The fluctuation of external market environment leads to overstocking of inventory and difficulty of capital turnover,and the production development is facing serious challenges.Strengthening inventory management,establishing a comprehensive inventory internal control system,reducing enterprise costs and improving business performance are the focus of current work.Based on the background of COVID-19’s large market fluctuations and supply and demand shocks,this paper analyzes the existing problems of TN company,and takes inventory management as the main line,and explores its deep-seated problems according to the principles of internal control and the analysis process.Through the analysis of the company’s internal data and on-the-spot investigation,it is found that TN chemical company’s inventory management problems mainly focus on three main links: procurement,warehouse management and sales.The main reasons are the incomplete cognition of the company’s production and operation participants on inventory management,the imperfect management process and supervision and assessment mechanism,and the lack of a systematic inventory management system.Based on the current problems of TN company,combined with the current market environment and internal control theory,this paper puts forward targeted improvement suggestions to optimize the company’s management process.At the same time,the following conclusions are drawn: TN company should change the thinking of "emphasizing production and neglecting management",improve the management ability of the company and improve the internal environment;TN company has obvious characteristics of heavy assets,so it needs to take inventory management as a breakthrough point to optimize the internal control process;TN company’s information collection and processing ability is not strong,risk awareness is not high,we must establish information communication and coordination mechanism and risk assessment mechanism;TN company lacks the management of the supply and marketing side,and needs to strengthen the cooperation between the company and suppliers and purchasers.