Company's Internal Control System Research Articles

Research on Internal Control Issues of Monetary Funds in Enterprises

In enterprises, monetary funds represent the most liquid yet the riskiest type of asset. Therefore, the effectiveness of the internal control system for monetary funds and their proper utilization are crucial for the normal operation of business management activities. This is also vital for enhancing the levels of capital management and financial management within the enterprise, ensuring that production activities proceed efficiently and orderly. This paper employs literature review, field investigation, and summarization methods to analyze and study the internal control of monetary funds in Company A. The results indicate that the company has several deficiencies in its internal control system for monetary funds. The causes of these issues are analyzed, and several countermeasures are proposed. These countermeasures provide valuable references for the improvement of the company's internal control system for monetary funds.

ANALYSIS OF PAYROLL ACCOUNTING INFORMATION SYSTEMS AT PT ALFA KREASI (WEEKEND INC)

This writing aims to determine the application of the Payroll Accounting Information System carried out at PT Alfa Kreasi (WEEKEND INC), as well as to analyze the implementation of the Internal Control System and provide proposals for the Payroll Accounting System to support the effectiveness and efficiency of the Internal Control System at PT Alfa Kreasi (WEEKEND INC ). The type of data used is qualitative data, data that explains a phenomenon based on things that generally contain words where the data obtained and which will be processed later is in the form of primary data, which is obtained directly through face-to-face interviews with the parties concerned. The analytical tools that the author uses in this research are data flow diagrams (DFD) and document flow charts (flowcharts). From the research that has been carried out, the author concludes that PT Alfa Kreasi (WEEKEND INC) implements a computerized payroll system seen in the recording process carried out on Google Sheets and for all data regarding payroll in the process of paying employee salaries via bank transfer. And the analysis of the company's Internal Control System has also been implemented in accordance with the policies set by the leadership.

ANALISIS SISTEM INFORMASI AKUNTANSI PENGGAJIAN PADA PT ALFA KREASI (WEEKEND INC)

This writing aims to determine the application of the Payroll Accounting Information System carried out at PT Alfa Kreasi (WEEKEND INC), as well as to analyze the implementation of the Internal Control System and provide proposals for the Payroll Accounting System to support the effectiveness and efficiency of the Internal Control System at PT Alfa Kreasi (WEEKEND INC ). The type of data used is qualitative data, data that explains a phenomenon based on things that generally contain words where the data obtained and which will be processed later is in the form of primary data, which is obtained directly through face-to-face interviews with the parties concerned. The analytical tools that the author uses in this research are data flow diagrams (DFD) and document flow charts (flowcharts). From the research that has been carried out, the author concludes that PT Alfa Kreasi (WEEKEND INC) implements a computerized payroll system seen in the recording process carried out on Google Sheets and for all data regarding payroll in the process of paying employee salaries via bank transfer. And the analysis of the company's Internal Control System has also been implemented in accordance with the policies set by the leadership.

Research on Optimization of Internal Control in New Energy Vehicle Enterprises

This study takes Z Automobile Co., Ltd. as a case study and systematically conducts in-depth research on its unique internal control system. Conduct a comprehensive analysis of the model and characteristics of the company's internal control system, while also focusing on the various difficulties and challenges faced by the system. Through detailed investigation and analysis, we will delve into the composition and operation of the system in order to better understand its internal mechanisms. Firstly, this article takes the current situation of China's new energy vehicle industry as the background, and based on existing research, sorts out the models and characteristics of internal control systems in new energy enterprises, laying the foundation for the external analysis of the difficulties faced by internal control systems in the following text. Secondly, starting from the specific national conditions of China, this article focuses on the main body of the new energy vehicle market, analyzes the characteristics of its internal control system, and based on this, deeply explores the unique characteristics of Company Z, which is also a listed company. Once again, in response to the aforementioned issues, analyze the current situation, reveal the problems, and propose relevant suggestions.

STUDY OF IMPLEMENTATION AND GOOD CORPORATE GOVERNANCE INTERNAL CONTROL SYSTEM (Case Study In a Family Firm)

This research aims to examine the implementation of Good Corporate Governance (GCG) and the implementation of the company's Internal Control System. Data analysis used the positivism philosophy method in a family business company engaged in the manufacturing industry since 1946. Informants were determined by purposive sampling, namely, taken from the top management, middle management, and staff groups. Data analysis techniques in this study used a case study approach through interviews. Research results: GCG implementation is not following best practices by this family business company, and Internal Control System implementation has not become aware by management.

Penerapan Penyajian Laporan Keuangan Berdasarkan PSAK 1 Dan Tata Kelola Yang Baik Pada Perusahaan Ades

Presentation of financial statements is an accounting standard that will explain the components of a financial report, fair presentation, as well as the fundamental accounting concepts, disclosure policies, as well as the structure and content of financial reports. The characteristics in the presentation of financial statements are fair presentation and compliance with PSAK, maintaining business, accrual basis, materiality and aggregation, offsetting, frequency of reporting, comparative information, and presentation consistency. There are several components of the financial statements presented, namely the statement of financial position, income statement, cash flow statement, statement of changes in equity, and notes to the financial statements. Corporate governance is a company's internal control system whose main objective is to manage significant risks to fulfil its business objectives through safeguarding company assets and increasing shareholder investment value in the long term. A company must also apply the principles of corporate governance, there are five principles that must be applied, namely the principle of transparency, the principle of accountability, the principle of responsibility, the principle of independence, and the principle of fairness.

Analysis of the Role of Internal Audit in Enhancing Company's Internal Control

This study aims to explore the role of internal audit in enhancing a company's internal control system by examining internal audit practices, perceptions of internal control effectiveness, and the impact of internal audit recommendations. The research employs a qualitative approach, utilizing interviews and document analysis to gather data from participants representing various organizations. Results reveal significant variations in internal audit practices influenced by organizational size, industry dynamics, and regulatory frameworks. Despite these variations, internal audit functions universally serve as guardians of organizational integrity, providing independent assurance regarding internal control effectiveness. Participants expressed diverse perceptions of internal control effectiveness, citing resource constraints, inadequate training, and communication gaps as common challenges. However, internal audit was unanimously recognized as crucial in enhancing internal controls, offering independent assurance and promoting a culture of compliance and ethical behavior. Internal audit recommendations often led to tangible improvements in internal control systems, although challenges related to resource allocation and change management were reported. Theoretical implications highlight the multifaceted nature of internal audit functions and their critical role in organizational governance, while managerial implications emphasize the need for strategic resource allocation, prioritization, and change management initiatives. This research contributes to the understanding of internal audit practices and their impact on organizational effectiveness.

Sistem Informasi Akuntansi Dan Pegendalian Internal Terhadap Kinerja Karyawan (Study Kasus Pada Pt. Bintang Kadiri)

This study aims to discribe whether there is a positive simultaneous influence or partially between accounting information systems, internal control and employee performance. The method used is descriptive quantitative, multiple regression analysis tools and data collection techniques in the form of questionnaires and interviews. Respondents used 58 employees with saturated samples. The results of this study are (1) Simultaneously, accounting information system and internal control affect employee performance.
 Partially, accounting information system affects employee performance. (3) Partially, internal control does not affect employee performance. From these results, it is recommended to the directors to improve the company's internal control system. So that employees are more orderly in carrying out the company's operational activities in accordance with the Company's Operational Standards. And it is necessary to have an internal audit to control every operational activity of the company.

A Study on the Relationship between the Disclosure of the Company's Internal Control System and the Agency Costs -Focused on SSE Listed Companies

A Study on the Relationship between the Disclosure of the Company's Internal Control System and the Agency Costs -Focused on SSE Listed Companies

Контроль и управление рисками хозяйственной деятельности с использованием методов внутреннего аудита

The article discusses practical issues of business risk management based on internal audit tools aimed at improving the efficiency of the company's internal control system. Methodical recommendations have been proposed for the establishment of an internal system of identification and control of corporate risks with the help of assessment reserves. A methodical tool kit is presented, allowing internal auditors to identify existing risks of business activity, to develop timely measures aimed at preventing errors in accounting, financial irregularities, as well as to improve business efficiency, in general.

Practical implementation of the methods to assess the effectiveness of the insurance company's internal control system

Subject. This article deals with the issues of building an internal control and audit system of insurance companies and improving its efficiency. Objectives. The article aims to assess the effectiveness of the internal control system of the insurance company on the basis of the original quantitative and qualitative indicators presented in previous articles. Methods. For the study, I used statistical inquiry and data handling procedures, mathematical techniques, grouping, and expert assessment methods. Results. The article presents a calculated integrated index of the internal control system effectiveness of the insurance company. It assesses the organization of the internal control system through testing. Conclusions. By assessing the internal control system of the insurance company using quantitative and qualitative indices, it is possible to identify the level of effectiveness of the internal control system and the system's weaknesses. Employee surveys can improve the level of internal control by exposing the auditors' substandard work.

ANALISIS DESAIN SISTEM BIAYA STANDAR: STUDI KASUS PT KW

This study analyzes the calculation of product costs in companies included in the category of MSMEs (Micro, Small and Medium Enterprises) in Indonesia, which is a sand mining companies. This study uses a Cost System Design framework that consist of four aspects, namely quality data, external financial reporting, calculation of product costs, and controls and implementation of strategies that will affect the company’s Cost System Design Stage. This study also uses standard cost and variance to analyze cost control. This qualitative research gathering data by using the triangulation method. The result is the company was in the first phase of the Four Stage Cost System Design. Based on the results, there are differences in production costs that are favorable. In addition, the results of this study also found deficiencies in the company's internal control system. In this study, there are limitations in the form of incomplete data obtained and some data are estimates from management. Research contributes to the results in the form of a calculation framework and design of a cost system for companies that is useful for calculating the cost of goods sold and inventory values that have not been calculated before.

Penerapan Pengendalian Internal Melalui Pengelolaan Persediaan Bahan Baku (Studi Kasus Pada CV. Cipta Gemilang Karya Mandiri)

Competition between companies is a problem faced by companies, making it increasingly difficult for the leadership to carry out direct supervision and coordination of all company activities. For this reason, it is necessary to apply internal control through the management of raw material supplies. With the aim of knowing how to apply internal control to the management of raw material inventory and how to manage raw material inventory.
 The method used is observation, interview, questionnaire and literature study. Data Analysis Methods that researchers do is Analyze the elements of the company's internal control system inventory, whether it is in accordance with existing theories and analyze the procedures for managing inventory of raw material inventory on CV. Cipta Gemilang Karya Mandiri.
 Application of internal control to the management of raw material supplies on the CV. Cipta Gemilang Karya Mandiri can be seen through the results of processing the questionnaire that the application of internal control plays a role of 80%, it is said that the application of internal control in the company is not optimal. Therefore, it is necessary to increase control over production costs, control the recording and proof of transactions, and control product customer demand.

PENGARUH ANALISIS FIXED SAMPLE SIZED SAMPLING, STOP OR GO SAMPLING, DAN DISCOVERY SAMPLING TERHADAP TINGKAT EFEKTIVITAS SISTEM PENGENDALIAN INTERN ATAS AKTIVITAS PEMBUATAN AKTA FIDUSIA DAN WAARMERKING PADA KANTOR NOTARIS DEWI MEUTIA KOTA PROBOLINGGO

This research aims to determine the level of effectiveness the company's internal control system if measured by using the analysis of Fixed Sample Sized Sampling, Stop Or Go Sampling, and Discovery Sampling. The subject of this research is Kantor Notaris of DewiMeutiaCiptaNingrum, S.H., M.H., M.Kn which used as research sample. This research data is obtained from direct observation of the transaction evidence that has been selected by using purposive sampling with certain criteria. The analysis technique used is quantitative descriptive technique. The steps of data analysis techniques used in this study is to calculate the effectiveness level of internal control system using Fixed Sample Sized Sampling, calculate the effectiveness of internal control system using Stop Or Go Sampling, and calculate the effectiveness level of internal control system using the Discovery Sampling testing procedure. The result of data processing shows that Internal Control System of DewiMeutiaProbolinggo Notary Office is considered effective.

PENGARUH ANALISIS FIXED SAMPLE SIZED SAMPLING, STOP OR GO SAMPLING, DAN DISCOVERY SAMPLING TERHADAP TINGKAT EFEKTIVITAS SISTEM PENGENDALIAN INTERN ATAS AKTIVITAS PEMBUATAN AKTA FIDUSIA DAN WAARMERKING PADA KANTOR NOTARIS DEWI MEUTIA KOTA PROBOLINGGO

This research aims to determine the level of effectiveness the company's internal control system if measured by using the analysis of Fixed Sample Sized Sampling, Stop Or Go Sampling, and Discovery Sampling. The subject of this research is Kantor Notaris of DewiMeutiaCiptaNingrum, S.H., M.H., M.Kn which used as research sample. This research data is obtained from direct observation of the transaction evidence that has been selected by using purposive sampling with certain criteria. The analysis technique used is quantitative descriptive technique. The steps of data analysis techniques used in this study is to calculate the effectiveness level of internal control system using Fixed Sample Sized Sampling, calculate the effectiveness of internal control system using Stop Or Go Sampling, and calculate the effectiveness level of internal control system using the Discovery Sampling testing procedure. The result of data processing shows that Internal Control System of DewiMeutiaProbolinggo Notary Office is considered effective.

Busy audit committee members and internal control deficiencies

This paper investigates whether audit committees being busy affect their ability to monitor a company's internal control system. We define a busy audit committee as a ratio of busy audit committee members to all audit committee members. A director is 'busy' if he/she holds at least three board directorships. We find a significant negative association between firms reporting internal control deficiencies, as required by Sarbanes-Oxley Act of 2002, and busy audit committees. Prior literature is inconclusive about the constructive contributions of busy directors to corporate governance. We interpret these results to indicate busy directors can overcome time constraints by using their industry expertise and networking connections to contribute to the effectiveness of internal control. This study is the first documenting the positive impact of busy directors on internal control providing additional evidence that constructive corporate practices can be transmitted through interlocked directors. In addition, we find tenure of 8 years or more for audit committee members is significantly associated with effective internal controls suggesting higher diligence is exercised by these longer-tenured board members.

The effect of audit committee quality and internal auditor objectivity on the prevention of fraudulent financial reporting and the impact on financial reporting quality (a survey on state-owned company in Indonesia)

The weakness of corporate governance is often called as the cause of some frauds and accounting scandals that were uncovered recently. Some cases, both nationally and internationally, indicate the occurrence of irregularities in financial reporting owing to the weakness of the company's internal control system, and the audit committee has not functioned optimally, resulting in low financial reporting quality (FRQ). The method of the research used explanatory approach. The data were collected through a survey by distributing questionnaires to 60 state-owned company (SOE's) in Indonesia and have been analysed by using partial-least-square modelling to test the hypotheses. The results have concluded that the role of internal controlling and supervision by an audit committee and internal auditor is not effective in conducting monitoring and evaluating on FRQ, because the lack of knowledge and experience in financial accounting, independency attitude, top management commitment and ethical values.

The Evaluation of Internal Control System of Power Supply Enterprises in ERP Environment

In recent years, internal control system aroused wide attention from scholars at home and abroad and company's internal control is the core issue of Enterprise management. Mainly from the ERP and internal control theory perspective, this paper explored to melt ERP ideas into the company's internal control system and internal control systems were evaluated both from the qualitative and quantitative ways. The author analyzed the weight and evaluation value of index with AHP and fuzzy comprehensive evaluation method to explain the result of the internal control system of power supply enterprise after implementing ERP system.

Auditor Expertise and the Estimation of Dollar Error in Accounts

A major task that auditors undertake in formulating their audit opinion is to estimate the dollar error that might exist in accounts in light of their evaluation of internal control strengths and weaknesses. The research that has been undertaken to evaluate the quality of auditor performance on this task, however, has produced mixed results. The current study tries to overcome some theoretical limitations and measurement limitations that have undermined prior studies. Forty practising auditors rated their abilities on fourteen characteristics derived from a model of expertise. They then undertook an experiment where they judged the extent of dollar error that might exist in the inventories of a manufacturing company. They based their judgments on working papers provided to them that contained, among other information, an evaluation of the company's internal control system. An estimate of the ‘true’ dollar error in the inventories was calculated using a program that simulated the company's internal control and accounting system. This estimate was then used to calculate the accuracy of the auditors’ judgments. Their ratings on the expertise characteristics were not related to their judgment accuracy. Their ratings were related, however, to their confidence in their judgment accuracy. Auditors who considered themselves more expert at the task were more confident in their judgment accuracy but they were, in fact, no more accurate than auditors who considered themselves to be less expert at the task.

海外オペレーション Ｖｉｇｄｉｓ油田における海底仕上げ作業について

These days, subsea development solution is getting quite common option for a marginal field development. In PL089 where Idemitsu Oil Development Co., Ltd. has 9.6% share, subsea development system has been applied for Snorre, Tordis, Statfjord East and Vigdis fields. It seems to a person who has no experience about subsea development/completion that “subsea completion” is very special. But there are no major difference between platform completion operations and subsea completion operations except subsea completion requires special tools for installing tubing hanger and subsea tree. Since people can not access directly to the subsea systems, special attention is paid for operation process and procedure as well as company's internal control system.