Research On The Identification Standard Of Internal Control Defects Of Listed Companies In China’s Automobile Manufacturing Industry

The internal control defect identification standard is mainly used to measure whether the internal control evaluation is correct,and it is also the key to improve the quality of the company’s internal control.Since 2010,China has continuously improved and updated the identification standards of internal control defects through the introduction of relevant systems.However,there are still some problems in the internal control of listed companies,such as the quantitative standards do not meet the requirements and the qualitative standards are not perfect.It can be seen that the policies issued by the state only require listed companies to disclose internal control defects,but can not supervise whether the contents disclosed are true and effective.A listed company shall incorporate the standards for identifying internal control defects into the focus of its internal control work,and establish strict and prudent standards for identifying internal control defects in combination with the actual situation of the company.This can improve the quality of internal control defect standards of listed companies,which can play a guarantee role in the internal control process of the company.Firstly,this paper sorts out and analyzes the literature of internal control defect identification standards at home and abroad,and expounds the related concepts and theoretical basis of internal control defects and internal control defect identification standards.Then,through the descriptive statistical method,this paper extracts the relevant information about the identification standards of internal control defects of 137 listed companies in the automobile manufacturing industry in recent years.Through the collation and analysis of the relevant data,this paper expounds the current situation of the identification standards of internal control defects of Listed Companies in the automobile manufacturing industry in China.Finally,taking Lifan technology as a research case,using the case analysis method,combined with the identification standard in its internal control self-evaluation report,this paper deeply analyzes the problems and causes in the identification standard of Lifan technology’s internal control defects,and puts forward targeted countermeasures and suggestions for the problems in the identification standard of internal control defects according to the problems found and the causes of the problems.This paper finds that the internal level of Lifan technology company is too concentrated due to equity,the company’s management does not pay attention to the construction of internal control,and the industry lacks unified and clear requirements for the identification standard of internal control defects,which leads to the extremely loose identification standard of internal control defects compared with other companies in the industry,which will increase the risk of internal control failure of Lifan technology.Through the combination of cases and practice,this paper deeply analyzes the root causes of Lifan technology’s internal control defect identification standard,and puts forward operable countermeasures and suggestions for some problems existing in Lifan technology’s internal control defect identification standard.This study can not only improve the internal control defect standard of Lifan technology,but also other listed companies can take Lifan technology as an example.