Research On The Evaluation Of Internal Control Of Integrated Circuit Enterprise Engineering Projects

On October 25,2022,General Secretary Xi Jinping : holding high the great banner of socialism with Chinese Characteristics and Working together to build a modern socialist country in a comprehensive way--In the report,we pointed out that we should stick to the theme of promoting high-quality development,integrate the strategy of expanding domestic demand with deepening supply-side structural reform,and enhance the internal driving force and reliability of the great domestic cycle.The Opinions of the CPC Central Committee and The State Council on Accelerating the Construction of a National Unified Large Market issued on April10,2022 pointed out that China should adhere to the supply-side structural reform as the main line,speed up the establishment of a national unified market system and rules,and open up the key blocking points that restrict the economic cycle.On November 3,2020,the Proposal of the Central Committee of the Communist Party of China for formulating the 14 th Five-Year Plan clearly pointed out that China needs to smooth domestic major circulation,promote domestic and international double circulation,and form a strong domestic market.On June 26,2014,the Ministry of Industry and Information Technology officially released the National Integrated Circuit Industry Development Promotion Program,which regards the integrated circuit industry as the core and key point of the information technology industry.The integrated circuit industry is also an important industry supporting China’s economic and social development and safeguarding national security.At present,it is a strategic opportunity period for China’s integrated circuit industry and also a difficult period to overcome.At the same time,The Chip and Science Act of2022 concluded by European and American countries control the construction or expansion of IC factories with advanced manufacturing process in Chinese mainland.Therefore,it is urgent to realize the all-round development of China’s IC industry chain.Based on the background,this paper firstly defines the concepts of integrated circuit enterprise and internal control.Secondly,the theory of internal control evaluation of integrated circuit enterprise engineering project and the current situation of Chinese integrated circuit industry are analyzed.The relevant theories include control theory,principal-agent theory,PDCA cycling theory and GONE theory.Thirdly,the internal control evaluation system of integrated circuit enterprise engineering project is constructed again in combination with China’s Basic Code for Enterprise Internal Control,Guidelines for Supporting Enterprise Internal Control and the internal control evaluation system of listed companies.The system includes two aspects: design and implementation effect,the former from the five elements of internal control,the latter from the five objectives of internal control.Then,this paper selected A Memory Manufacturing Base project,a new engineering project in the Chinese integrated circuit industry,as the case study object,and took the engineering project of SMIC,JCET and China Resources Micro as the comparable data to analyze their internal control status and problems from the design level and implementation effect level by using case analysis method and grey correlation method.It is concluded that the internal control evaluation of A memory manufacturing base project is superior to the other three enterprises.At last,according to the results of internal control evaluation,some suggestions and measures are proposed to promote the improvement of internal control of Chinese integrated circuit enterprise project.The main contributions of this paper have two aspects.First of all,in terms of research ideas,this paper sets up the research on the internal control evaluation system of integrated circuit enterprise engineering projects.How to quickly complete the construction of engineering projects has become a major difficulty in the integrated circuit industry under the continuous effective Moore’s Law.However,the state supports the comprehensive development of Chinese integrated circuit enterprises through tax policy,financial subsidy,financial support(state fund)and other measures.Based on the above situation,new engineering projects in Chinese IC enterprises are the growth of a blowout type.The sustainable development of engineering projects cannot be separated from the perfect and feasible internal control system.So this paper learns from the internal control evaluation index system of Chinese listed companies and combines the specific characteristics of IC enterprise engineering projects to build a proprietary evaluation system.Using the case analysis method and grey correlation method to analyze the internal control of domestic comparable enterprise data.Secondly,in terms of countermeasures and suggestions,by analyzing the internal control situation of the project of A Memory Manufacturing Base,Put forward corresponding suggestions from five aspects: risk assessment,control environment,control activities,internal supervision and information and communication.In particular,the control activities are carried out at different stages of the project.Namely,bidding activities,project cost activities,project construction activities and project acceptance activities.