Research On Problems Existing In WN’s Internal Control System And Suggestions For Improvement

The transformation of marketization in the electric power industry in China has a significant impact on the daily operation and production management of the major electric power enterprises.The marketization of the industry will greatly aggravate its internal competition,thus affecting the monopoly position of the industry,and at the same time,the probability of risks occurring in the daily activities of power enterprises will be increased.Reference related regulations in management institutionalized,streamline,process information system three aspects of mission requirements,each big power supply company based on the actual,advocates the company personnel to actively participate in,will be the key to control practical effect,and the basic work in the process of the internal control system construction as well as the key link in place.WN company is a medium power supply company,but there are still some problems in the performance and salary assessment mechanism,risk assessment and fund management system,which seriously restrict the improvement of the company’s operation and management level and sustainable development.In this paper,WN company as the object,using the internal control theory to its internal control system problems and improvement of research.First of all,the internal control related theories and domestic and foreign literature was sorted out.Secondly,the internal control status of WN company is analyzed,including the basic situation and organizational structure of the company.According to the five internal control elements of COSO framework,the internal control status of WN company is deeply analyzed from the five aspects of internal environment,risk assessment,control activities,information and communication,and internal supervision.Then,to WN company internal control system problem questionnaire design and investigation,and found that its main problems existing in the internal control system performance and compensation assessment system is not comprehensive,enterprise culture is not high,the risk assessment esteemed ability,capital management existence hidden danger,low efficiency of communication between the superior and the subordinate and internal supervision does not reach the designated position,etc.Further analysis of the main reasons leading to the above problems are the performance and salary assessment related setting is not reasonable,corporate culture concise and implementation is not enough,the risk management responsibility is unclear,the fund management system is not comprehensive,information and communication is not smooth and internal supervision personnel independence is not strong.Finally,based on the COSO framework and the reasons for the problems existing in the internal control system of WN company,this paper puts forward some suggestions to improve the internal control system of WN company.The research of this paper is helpful to improve and perfect the internal control system of WN company,which is of great significance to improve the risk prevention ability of the company,effectively prevent the loss of the company’s assets,and enhance the company’s business performance.At the same time,it also has reference value for the internal control system construction of other power companies.