Elements Of Internal Control Research Articles

The theoretical and methodological foundations of risk control in the Ministry of Defense of Ukraine and the Armed Forces of Ukraine

The article is an investigation of the theoretical and methodological foundations of risk control in the Ministry of Defense of Ukraine and the Armed Forces of Ukraine. In particular, it was found that risk control is understood as the process of risk management, which includes identification, analysis, assessment, and minimization of risks to achieve certain goals or maximize benefits. Risk management in the defense department is an element of internal control and involves the preventive identification of threats, determining the horizon of relevant threats (i.e., the time until their possible occurrence), developing measures to neutralize and reduce the negative impact on the activities of the internal control subject if it is impossible to avoid the onset of adverse events. It is determined that the activity of risk identification consists in defining and classifying risks by categories and types, reasons for their occurrence, and systematic review of identified risks in order to detect new or changed ones. Identification is carried out by analyzing events that can potentially influence or have already influenced the execution of processes, the frequency of their occurrence, and their impact on achieving the final result. By category, risks are divided into external, the probability of which is not related to the organization’s performance of functions and tasks, and internal, the probability of which is directly related to the organization’s performance of its functions and tasks. It is specified that risk control in the Ministry of Defense of Ukraine and the Armed Forces of Ukraine covers many aspects, including risk assessment, development of strategies and action plans, ensuring proper training and preparation of military personnel, using modern technologies and information systems for risk prevention and minimization. In addition, risk control also helps to increase the efficiency of resource use and reduce costs, which is especially important in a situation where the government has a limited budget. Therefore, risk control is critically important for the Ministry of Defense of Ukraine and the Armed Forces of Ukraine, as it helps to prevent dangerous situations, reduce losses and resource consumption, increase efficiency and improve military readiness to perform their tasks.

ORGANISATIONAL AND THEORETICAL FOUNDATIONS OF INTERNAL CONTROL OVER LABOUR COSTS

The article reveals the nature and economic content of the concepts of "remuneration", "wages" and "employee benefits" from the point of view of various scholars and regulations, and identifies their main characteristics and differences. The article also states that wages are defined as monetary compensation to an employee for work performed, services rendered in accordance with labour legislation, as stipulated in the employment contract. Methodology. Given the complexity of socio-economic processes at the micro level and their impact on macroeconomic indicators, the system of control over labour remuneration transactions at the enterprise level needs to be revised. In market conditions, the need to improve the methodological and organisational aspects of control in the Ukrainian economy is growing. The article proposes a methodology of internal control of payments to employees with a theoretically substantiated ranking of control procedures at the methodological stage of control. Results. The scientific work reflects the organisation of internal control of payroll accounting and shows how responsible and important this stage is, since the correctness of its assessments and the management decisions made on its basis affect the performance of employees, the costs of the enterprise, the formation and determination of income. It should be noted that the main purpose of the controller in the verification of payroll is to determine the strength of the control, which will make it possible to ensure that there are no errors in the company or, conversely, to identify certain inaccuracies. Practical implications. In turn, it is also noted that the control is aimed at carrying out the social function in management, regardless of the socio-political system in which the organisation operates and, moreover, is an objective need for social and labour relations, on the one hand, allows to activate the mechanism of labour resources, and on the other hand, carries out a clear distribution of costs for their optimization. In accordance with the dynamics of activity of civil and economic cases on payroll accounting in Ukraine in recent years, the necessity of improvement of methodological directions of internal control of payroll accounting is considered. It has been established that the control of labour costs and accounting with personnel occupies an important place in the system of enterprise management at various levels of management. Attention is paid to such primary structural elements of internal control as purpose, objectives, subjects and objects, methodological and organisational aspects of functioning of the internal control system are reflected and their characteristics are studied. The article states that remuneration is one of the most important expenses of enterprises-organisations. As a result, salary, fulfilling its main functions, is the main incentive for activation. Value/originality. On this basis, it is important to identify remuneration risks, correct errors and prevent possible consequences. All this requires the organisation of an effective internal control system. Having studied the international experience in the organisation of internal control, the currently developed concepts, regulations, internal audit standards, etc. for companies, certain directions for improving internal financial control, in particular in the field of remuneration, are proposed. In order to improve the directions of control, some criteria for evaluating the work of the internal control service have been proposed. The basic methodical techniques used in the process of internal control of labour costs and settlements with personnel are considered.

PAYMENT ACCOUNTING SYSTEM AT PT. XYZ IN BEKASI

The research is entitled Payroll Accounting System at PT. XYZ in Bekasi. This research aims to determine the flow of the payroll system and internal control at PT. XYZ in Bekasi. A good payroll system plays an important role in a company to increase employee effectiveness. The research method used is in the form of field studies using data collection techniques through observation and library research, namely by observing, interviewing directly how work and the applicable system work and studying in the form of written materials the payroll accounting system applied to PT. XYZ in Bekasi. Based on the results of the discussion shows that the payroll accounting system at PT. XYZ has a system that must be supplemented to meet the elements of internal control. There are still weaknesses, namely management does not carry out more supervision in the payroll section and management does not separate the authorization for recording clock cards with the personnel department.

Sistem dan Prosedur Pembayaran Gaji dan Upah

The purpose of this research is to find out the systems and procedures for paying salaries and wages for employees of CV Citra Utama. The method of data analysis used in this study is to use descriptive comparative analysis, namely comparing the systems and procedures for paying salaries and wages applied in companies with systems and procedures for paying salaries and wages based on actual theory with elements of internal control. The results of the study stated that the implementation of systems and procedures for payment of salaries and wages did not reflect the elements of internal control

Importance of internal cash and vault control in a segment five credit union

The elements of internal control ensure efficiency and effectiveness in financial intermediation operations. The research was developed in a savings and credit cooperative in the city of Ambato - Ecuador, controlled by the Superintendence of Popular and Solidarity Economy SEPS. Glimpsing some elements of internal control - COSO I. Savings and credit cooperatives receive cash deposits, deliver credit and issue payment cards. The leverage of institutional progress, forces to the multiplicity of offers and non-financial financial products, which operationally causes risks, before this, the management of the internal control assures the normative fulfillment and the reasonableness in the cash and vault reports. The objective of the work is to design an Internal Control Manual for the effectiveness of cash and vault operations. Data were collected using empirical methods and risks in cash management were found. An internal control manual was implemented, outlining policies and procedures for proper cash and vault management. It also indicates the professional profile; human talent selection process; operational and accounting cash activities. And the regulations for the custody of cash.

ANALISA TERHADAP SISTEM PENGENDALIAN INTERNAL PENERIMAAN DAN PENGELUARAN KAS (Studi Pada Rumah Pemotongan Hewan Kota Malang)

Abstract: In conjunction with the increasing complexity of financial transactions in a company, the escalating business competition requires the management to have comprehensive supervision of the entire flow of the company's transactions. One of the financial instruments majorly influencing financial statements, cash has different characteristics from other assets: difficult ownership identification, transferable, small in size, and highly desirable. To avoid cash misappropriation, an accounting control system of cash receipts and disbursements is required in a precise and systematic manner. This study aims to determine how the company applies the accounting system of cash receipts and disbursements and whether the elements of internal control have been implemented in both systems. This study is analyzed descriptively utilizing a qualitative approach involving primary and secondary data collected from interviews, observations, and documentation in the Regional Slaughterhouse Company of Malang City. The results of this study revealed that the Regional Slaughterhouse Company of Malang City has relatively properly implemented an accounting system of cash receipts and disbursements despite some weaknesses such as double accounting recording tasks conducted by the treasurer, cash receipts (BKM) made by the cash receipts treasurer, the cash disbursements (BKK) made by the cash disbursement treasurer, and the absence of cash insurance on hand and cash in transit insurance.

Analisis Sistem Pengendalian Intern Pemerintah (SPIP) terhadap Pendistribusian Bantuan Sosial Covid-19 di Dinas Sosial Provinsi DKI Jakarta Tahun 2020


 The aim of the study was to find out how the Government Internal Control System (SPIP) performs in the implementation of Covid-19 income assistance at the DKI Jakarta Provincial Social Service according to the Elements of Internal Control based on PP No. 60 of 2008 concerning the Government Internal Control System (SPIP). This study uses a qualitative method with an interpretive paradigm and an ethnomethodological approach. Data collection techniques for this study were through interviewing key informants and supporting informants, observation and documentation. Based on the results of this study, the implementation of the SPIP in the implementation of income assistance in the implementation of the Covid-19 countermeasures has generally been effective and sufficient in accordance with Government Regulation No. 60 of 2008. Therefore, additional and evaluation is still needed. Implementation, such as discussing ethics and ethics training, assessing the role of assistants and social workers and identifying risks, was not carried out due to the risk of delays in the distribution schedule.
 Keywords: Government Internal Control System, Covid-19 Social Assistance, SPIP

Research on internal control optimization of Financial Sharing Center Based on fuzzy mathematics theory and quality function deployment theory

Through scientific theoretical methods, we take the internal control optimization of the Financial Sharing Center of H company as the research object. Firstly, we introduce the Financial Sharing Center and the development background and research significance of internal control under this mode, sort out the existing international research and related concepts, analyze the problems existing in the internal control stage of the Financial Sharing Center, and analyze the problems one by one from the five elements of internal control. What is more innovative is that we use the quality function deployment theory in the field of system science, combined with the intuitionistic fuzzy set theory, G1 method and entropy method in fuzzy mathematics to evaluate the five elements affecting the internal control optimization of the Financial Sharing Center of H company, and give the priority of optimization in theory. Finally, according to the implementation conditions of the Financial Sharing Center, this paper puts forward relevant countermeasures and suggestions to optimize the internal control of the financial sharing mode of H company, which can also provide experience for other enterprises that are building the Financial Sharing Center.

ОРГАНИЗАЦИЯ СИСТЕМЫ БУХГАЛТЕРСКОГО УЧЕТА В СТРОИТЕЛЬСТВЕ

This article is aimed at studying the features of accounting in the construction industry. To form its system, it is necessary to take into account the peculiarities of the sphere of park activities of such organizations. Using the method of system analysis, the work examines the principles of organizing the accounting structure with elements of internal control within enterprises in the construction industry. The analysis showed the features of the formation of this system. The conclusions and generalizations of the study can be applied in the practice of organizing and maintaining an accounting system at enterprises. Originality / meaning. The scientific significance lies in the formation of a unified framework for the practical application of the accounting system at an enterprise in the activities of Russian enterprises.

Reflection Of the Integrative Relationship Between Six Sigma Technology Standards and Internal Control Elements According to The Coso Framework on Improving Performance Quality

Reflection Of the Integrative Relationship Between Six Sigma Technology Standards and Internal Control Elements According to The Coso Framework on Improving Performance Quality

RISK MANAGEMENT AT THE ENTERPRISES OF THE HOSPITALITY INDUSTRY

The article is devoted to the issues of risk management and safety, which are now becoming one of the reasons causing changes in the economic activities of enterprises in the hospitality industry. It is investigated that the hospitality industry is one of the largest, most dynamic and attractive sectors of economic development. In modern economic conditions, the activities of hospitality industry enterprises are constantly accompanied by risks. It is proved that the stable financial and economic situation of enterprises of the hospitality industry largely depends on how comprehensively all types of existing risks are taken into account in their activities. It is substantiated that a feature of the functioning of enterprises of the hospitality industry is that they are constantly under the influence of general economic and specific risks, especially in recent years. The global pandemic and military aggression of Russia had a very negative impact on the economic development of the hospitality industry in Ukraine. The general economic risks inherent in entrepreneurial activity in the hospitality industry are analysed. It is proved that in our time, security and risk management issues are important not only for the community, but have always been a prerequisite for the development of the hospitality industry. Risks in the hospitality industry are a very complex category in their management system. It is investigated that each individual enterprise of the hospitality industry is characterized by individual specificity of risk. Risk management of enterprises in the hospitality industry in the process of their economic growth is based on a flexible approach, characterized by conducting business operations and ensuring a balanced risk position of the enterprise. With this approach, only those operations are performed where the increase in risk is compensated by a corresponding increase in profitability. The article considers risk management as one of the most important elements of strategic management and internal control at the enterprises of the hospitality industry. This ensures the improvement of the quality of corporate governance, financial stability

Analysis of Internal Control of Merchandise in Edwi Dolopo Store to Improve Business Effectiveness

Internal inventory control is carried out using security measures to avoid theft, errors, or other actions. The existence of an internal control system in the company can create an excellent organizational structure. To create reasonable internal control, the company must fulfill the elements of internal inventory control. In this study, 3 of the 5 elements of internal control were taken, namely internal control procedures for receiving and storing, an organizational structure that strictly separates functional responsibilities and healthy practices in carrying out tasks, and each organizational unit. At Toko Edwi there is a problem with the dual function of receiving and storing functions into one accounting function. The purpose of this study is to find out how the internal control procedures for receiving and storing merchandise inventory at the Edwi Store, how the implementation of internal control over the organizational structure that separates functional responsibilities explicitly on the merchandise inventory at the Edwi shop, how to implement internal control over practices healthy in carrying out the duties and functions of each organizational unit at the Edwi Store. Using qualitative research methods and data collection techniques in the form of interviews, observation, and documentation. The results of this study indicate that Toko Edwi has carried out internal control procedures for proper receipt and storage of merchandise. However, internal control over the organizational structure that separates functional responsibilities has not been strictly implemented. It still concurrently holds the duties of the receiving and storage functions into one accounting function. Internal control of healthy practices in carrying out the duties and functions of each organizational unit is also not appropriately implemented.

Cash Receipt and Disbursement Control System

This study aims to determine the cash receipts and disbursements control system (study PO Watukosek Trans 2018-2019). This research method uses qualitative. Data collection is doing by interview. Meanwhile, for observation and documentation involving many crew employees who work in PO (Otobus Company). Activities in data analysis in this study are data collection, data reduction, data display, and conclusion drawing/verification. Based on the analysis and discussion in this study, it is found that the cash receipts control system at the Watukosek Trans Autobus Company (PO) can be said to be quite good. However, there are still some principles and elements of internal control that have not been fulfilled. The cash disbursement control system at the Watukosek Trans Autobus Company (PO) can be said to be quite good. One of the advantages is that the cash receipt system does not involve many functions.

Pengaruh Pengendalian Intern Terhadap Efektivitas Biaya Perjalanan Dinas

Business travel is a cost that quite affects cash disbursements, so it is necessary to carry out effective controls to prevent fraud. The company has implemented internal control but there are still some irregularities in the management of official travel expenses. This study aims to analyze the influence of internal control on the cost effectiveness of official travel at Shafira Corporation. The research method uses quantitative research methods. Sources of data obtained from primary data with data collection through filling out a questionnaire given to 31 respondents who are employees of the company and the author’s direct observations. Data analysis used a simple regression method. The results of the study indicate that the internal control system affects the effectiveness of official travel expense where the elements of internal control have been implemented so as to minimize the risk of fraud and violations of official travel expense. The results of this study will have an impact on the cost of official travel which is carried out in accordance with budget standards and work programs that have been determined through the implementation of internal control functions.

Analysis of Accounting Information System in Supporting the Internal Inventory Control: A Case Study in Motorcycle Dealer

This study aims to analyse the inventory accounting system and its control in a company. The discussion in this study is to investigate accounting information system for spare parts inventory in supporting internal control at CV. X The data collection techniques are sourced from primary data and secondary data. The method used is descriptive qualitative method. The study revealed that the accounting information system for inventory was running well, evaluating from the recording method used by the company, namely the perpetual and computer-based method with an application called Komiaw, but in the reality there are several weaknesses, those are the existence of dual functions as well as discrepancies between the data of the goods and physical goods that are done by spare parts counter so as the repetition of inventory calculation occurred. Based on the results of this study, it showed that accounting information system for spare parts inventory can support internal inventory control in the company due to the implementation of the elements of accounting information system and the elements of internal control.

Monitoring and analysis of the effectiveness of internal control of a commercial organization

The author of this scientific work analyzed the key mechanisms associated with the internal control process used in Russian and foreign practice. Based on the fact that the word "control" is interpreted differently in Russian and foreign practice, the author proposed his own definition of internal control, based on a combination of elements from the existing definitions of the concept under consideration. Internal control in the organization is divided into financial, economic, economic, as a result of which this process acts as a complex phenomenon. The main principles of economic control defined in the regulations were considered. In addition, all the methods used by internal control can be divided into methods of actual control and methods of documentary control. In Russian practice, a broad classification of internal control is carried out by the time of implementation, by completeness of coverage, by frequency, in relation to the audited organization. Among the normatively fixed elements of internal control, the control environment, risk assessment, internal control procedure, information and communication, and assessment of internal control stand out. The author established the relationship between the types of economic control, namely organizational and technical, administrative and financial, and the forms of control, which include thematic verification, revision, audit and accounting verification. The paper considers the key foreign concepts of internal control, which include COSO, COBIT, SAC, SAS/ISA. The author highlighted the similarities and differences between these approaches, during which it was revealed that basically all the concepts of internal control differ from each other in the object of observation.

ANALISIS PENGENDALIAN INTERNAL TERHADAP PIUTANG LEASE: STUDI KASUS PADA PERUSAHAAN PEMBIAYAAN PT. FIF

Abstract
 The implementation of internal control system might help the company to achieve its goals effectively, efficiently and compliance. Effective internal controls might also give assurance to shareholders, and stakeholders' that financial statements provide the propriate quality information. Internal control systems might also help detect and prevent the emergence of fraud, especially those committed by company insiders. As a leasing company in Indonesia, PT. FIF has certainly executed an internal control system that help making the company's activities effectively, and efficiently. Account receivables are one of company assets that must be managed and monitored effectively so as to help the company achieving the goal; those are profits and cash flow streams. However, some companies have not realized the importance of internal control. It occurs in PT. FIF, a leasing company in Jakarta. 
 Using the COSO internal control framework, the research with qualitative descriptive methods aims to analyze the implementation The data and information were taken from interviews, observations and documentation. The results show that generally the company has been implemented all five elements of internal control based on the COSO framework. The control environment, risk assessment has been effective with establishing Structure, Responsibility, and Authority, commitment to competence, Standard Operational and Procedure (SOP), etc, especially in the collection division. While, controlling activity has not been done effectively. There is no separation of task clearly, and file or data documentation. Double job or assignments might provide opportunities for errors, fraud, whether it is intentional or not. The other element is information and communication is already done, both top down and bottom up communication channel. While, the last component is that monitoring activities have not been practice well. Management's role in the internal control system is critical to its effectiveness. Managers, auditors, don't have to look at every single piece of information to determine that the controls are functioning and should focus their monitoring activities in high-risk areas. Spot-checking transactions can provide a reasonable level of confidence that the controls are functioning as intended.
 Keywords: Internal Control, Accounts Receivable, lease, COSO framework

Analisis Sistem Pengendalian Intern Penerimaan dan Pengeluaran Kas pada PT. Raja Marga Cabang Nagan Raya


 
 
 
 controls that help assess the possible outcomes of various activities and actions that can be followed up. The purpose of this study was to determine the effectiveness of the implementation of the internal control system on cash receipts and disbursements at PT. Raja Marga. This study used descriptive qualitative method. The data used are primary data and secondary data. Data collection techniques using interview techniques, observation and documentation. The results showed that the internal control system applied to PT. Raja Marga has been running well in accordance with the elements of COSO's internal control which can be seen from the organizational structure of PT. Raja Marga in the division of authority and functional responsibilities has been carried out according to their respective duties. The conclusion that can be drawn is that PT. Raja Marga has carried out internal control properly in accordance with COSO elements. Companies must maintain this so that internal control of cash receipts and disbursements continues to run well.
 
 
 

Analysis of Inventory Accounting Information System at PT. Namasindo Plas Medan

The application of an accounting information system on inventory will provide many benefits for the company and management in running their business. Inventory has an important role, namely as a physical economic resource that needs to be held and maintained to support the sales process. This study aims to determine the inventory accounting information system at PT Namasindo Plas Medan. The method used is descriptive qualitative. The results show that the administrative system has been changed from a manual system to a computerized system that produces output that is useful for each user of the information. This is evidenced by the fact that all the components needed to support a valid system are owned by PT Namasindo Plas Medan and there are elements of internal control.

Application of Accounting Information System for Cash Receipts and Disbursements to Improve Internal Control

This research uses descriptive qualitative method with primary and secondary data sources. Sources of data obtained through interviews, observation and documentation. The results of the study stated that the application of accounting information systems at SMA Muhammadiyah 3 reinforcement had used a system designed by the school itself, this system was called SIA SMAMUGA. The cash receipt system at SMA Muhammadiyah 3 Reinforcement comes from cash receipts and transfers. The procedure for implementing the cash receipt system has been going well, the staff just needs to log in through the application and then input data according to the receipt. The cash disbursement system at SMA Muhammadiyah 3 Tulangan comes from cash disbursements, transfers and checks. The procedure for implementing the cash disbursement system has been going well, the staff just needs to log in through the application and then input the data according to the receipt, this makes it easier to check the data that has been inputted and stored in the system. This system facilitates financial work, especially in cash disbursement. The element of internal control in the application of the cash receipts accounting information system was found to have several weaknesses including the presence of other empty sections so that there were still holding concurrent positions, namely the treasurer who doubled as cash receipts administration staff. The element of control in the application of the accounting information system for cash receipts and disbursements also has weaknesses, namely lack of supervision from the principal.