A Research On The Internal Control Of Inventory In A Auto Parts Company

The global manufacturing industry,especially the automotive industry,has been impact seriously by the spread of COVID-19 and the shortage of key components such as semiconductor chips.The significant changes in the external environment have prompted enterprises to adjust and improve the internal control system timely to ensure that enterprises can deal with risks,and make the sustainable operation of business activities.Because of its particularity,inventory occupies a extremely high position in enterprise asset management activities.From the perspective of enterprise business process,the internal control of inventory is involved with the physical flow and information flow of the whole enterprise.Consequently,improving and optimizing inventory internal control is crucial to the sustainable and stable development of enterprises.A company is a global leading auto parts manufacturing enterprise.Taking A company as an example to research,this thesis studies its inventory internal control with the researching principle of identifying,analyzing and solving problems.Primarily,the thesis introduces the relevant theories and practice of worldwide internal control and inventory internal control,elaborated the objectives,principles,basic process,major risk points and solutions of inventory internal control.Subsequently,it introduces the latest development status and inventory internal control of A company,and define the internal control issues,including inventory procurement,inspection and goods receiving,warehouse management,and physical inventory stocktaking.At the same time,the analysis and countermeasure have been made then.Finally,according to the COSO framework and the relevant content of the basic internal control standards of enterprises,four ideas are provided to achieve the purpose of improving the effect of inventory internal control of A company.Meanwhile,it also has certain reference value for other enterprises in the auto parts industry.