Research On Internal Control Issues Of The Procurement And Payment Business Of Internet Company HL

Since the emergence of mobile communication devices,the Internet industry has ushered in a period of rapid development.With the rapid development of the industry,Internet companies in various fields have been exposed to negative news.However,both supporting facilities and internal risk control have not kept pace with the development of the industry.Meanwhile,procurement business is the starting point of the company’s operation,followed by the payment business is also an important business of the company,so the internal control of the Internet company’s procurement and payment business is worth studying.The case company selected in this paper is an Internet company HL engaged in "Internet +government services".It not only has the general characteristics of Internet companies such as superior technology and innovation,"asset-light" operation mode,but also has its special features,that is,it mainly develops systems or platforms for customers,without its own software.Therefore,taking HL company as the case company for analysis,we can explore the situation of internal control of Internet companies.Based on the characteristics of HL’s main business of "Internet + government services",that is,it does not need to build and operate its own software,but develops the platform or system according to the requirements of contracted projects.Therefore,HL’s procurement is mainly for projects.In this paper,literature analysis,case analysis and field research method are used to find that HL company’s internal control of procurement and payment business currently exists the following problems: in the project procurement problems include the project procurement internal control design is not perfect,the control of supplier selection process is insufficient,and in other procurement problems such as the procurement framework contract establishment control is insufficient.Further analysis of the reasons shows that it is related to both internal and external factors.The internal factors include the lack of coverage of the control system,the weak awareness of internal control and the lack of audit supervision,and the external factors include both customers and suppliers.Finally,suggestions are put forward for HL from three aspects: internal control environment,project procurement and other procurement,such as strengthening employees’ awareness of risk prevention and control and supervision,optimizing the preparation of project procurement plan,and strictly standardizing the management of framework contracts.Through the analysis of the internal control of HL procurement and payment business,the internal control of HL procurement and payment business can be more perfect,providing reference for other Internet companies to optimize the internal control of procurement and payment business,and enriching the research objects on the internal control of procurement and payment business.