What control measures has Squibb Shanghai taken? What are the advantages of internal control methods of Sino-American Shanghai Squibb Company?

I. Objectives of Internal Control System Bristol-Myers Squibb has formulated an internal control system to help the management achieve the following objectives: 1. Perfect internal control measures can effectively control all the circulation links of property and materials, prevent mistakes and abuses beforehand, identify cases and negligent persons afterwards, improve the efficiency of asset use, stop losses and waste, and prevent illegal acts. 2. An internal control system that accurately reflects the financial situation of an enterprise can improve the authenticity, correctness and reliability of accounting records, ensure accounting quality and provide useful information for decision makers. The decision-making information of stakeholders such as enterprise management authorities, investors and creditors mainly comes from accounting information. Perfect internal control measures can ensure that enterprise accounting activities, financial management activities and various management activities are carried out under strict mutual supervision and restriction, thus effectively avoiding and correcting all kinds of mistakes and frauds, thus reflecting the real financial situation of enterprises to relevant information users. 3. Ensure that policies, rules and regulations are observed. Enterprises must consciously abide by the relevant laws and regulations of the state in the course of business operation. At the same time, a sound internal control system can enable enterprises to abide by various rules and regulations formulated according to their own management objectives. 4. Improving management efficiency The internal control system requires that the work of various functional departments within the organization can coordinate and restrict each other. Through the authorization of business processing, the work scope, authority and responsibility of each functional department in the organization can be clarified, so that each functional department can perform its duties. After the business happens, each management department will handle it in time according to its own scope of responsibilities, reduce unnecessary links of asking for instructions and reporting, and avoid passing the buck. When the business shows abnormal signs, it can greatly improve the efficiency of operation and management if it is handled in time according to the requirements of control. Accordingly, Bristol-Myers Squibb designed the following internal control structure: Basic principles of internal control. When establishing the internal control system, Sino-American Shanghai Squibb Pharmaceutical Co., Ltd. followed the following basic principles: 1. Proper separation of duties. The separation of duties here refers to following the principle of incompatible separation of duties and realizing a reasonable division of labor. The so-called incompatible positions refer to those positions that may be fraudulently held by a person but cover up his mistakes and abuse of power. The separation of incompatible positions requires that incompatible positions be held by different people. Under this system, the work of an employee or a group of employees must be consistent with or related to the work of other employees in order to supervise each other. The internal control system of Sino-American Shanghai Squibb Pharmaceutical Co., Ltd. realizes the separation of incompatible duties and ensures the function of internal control through the rational division of labor in five links: authorization, issuance, approval, execution and recording. 2. Reasonable authorization system Authorization system refers to the enterprise's control through authorization when handling economic business, that is, it stipulates the examination and approval procedures for each type of economic business, so as to handle the examination and approval according to the procedures and avoid the situation of leapfrog approval and illegal approval. The purpose of this control is to control all kinds of economic business when it happens, so that the personnel at all levels of the enterprise can act according to the approved authority, strengthen information feedback, and implement control before, during and after the event. 3. Appropriate information recording is an important aspect of enterprise internal control, which is not only the guarantee of the effectiveness of other controls, but also the means for enterprises to maintain efficient operation and high-quality information. Letter. Macro records can be divided into management documents and accounting records. Among them, the main ways of accounting record control are: voucher number, account control, batch control and so on. 4. Reliable asset security refers to the direct protection of physical assets, which mainly includes: restricted access, periodic inventory, record protection, property insurance and property record monitoring. The purpose of control is to ensure the safety of property and materials, check whether the use of assets is economical and effective, and whether there are problems of loss, waste and blind investment. 5. Sound internal audit Internal audit is not only an integral part of internal control, but also a special form of internal control. In short, internal audit is an independent evaluation of the conformity, rationality and effectiveness of various economic activities and management systems within an organization to determine whether the established policies and procedures are implemented, whether the established standards are followed, whether resources are used reasonably and effectively, and whether the objectives of the unit are realized. In a sense, internal audit is the re-control of other internal controls, including financial audit, operation audit and management audit. Three. The internal control process design is based on the above principles, and the internal control system designed by Sino-American Shanghai Squibb Pharmaceutical Co., Ltd. covers four business cycles. 1. Revenue Cycle (1) Order Processing. When developing new customers, Sino-American Shanghai Squibb Pharmaceutical Co., Ltd. adopted a very strict assessment system, such as requiring new customers to have complete licenses and other comprehensive inspections. In addition, the orders must be numbered in sequence, and if there are any missing numbers, we must find out the reasons. (2) Credit and return control. Sino-American Shanghai Squibb Pharmaceutical Co., Ltd. formulates credit standards according to its actual operating conditions, fierce market competition and customer reputation, and gives customers a certain credit line according to regulations. In addition, the company also strictly controls the quality of sales to reduce the loss of returns. (3) Invoicing and delivery. Invoicing and delivery are separated. Invoicing is based on relevant documents, such as customer's purchase order and delivery notice. Invoice number, to ensure that all issued goods have been invoiced. Invoices and invoices need to be approved by relevant competent departments and personnel. (4) Accounts receivable management. Regularly check the balance of accounts receivable subsidiary ledger and make aging analysis. Regularly check accounts with customers, and urge the timely recovery of cage money. Ensure that the money received is recorded in time and cancelled in the order of events. 2. Production cycle (1) Separation of responsibilities in production cycle. The preparation and approval of production plan are separated; Separation of finished product acceptance and product manufacturing; The approval, distribution, storage and accounting of inventory are separated. (2) Inventory custody responsibility and physical safety control. Sino-American Shanghai Squibb Pharmaceutical Co., Ltd. has established a strict deposit and loan custody system to ensure the safety of physical property. At the same time, set a reasonable storage quota for inventory, conduct regular assessment, actively deal with overstocked and overstocked goods, and speed up capital turnover. (3) Make regular inventory to ensure that the accounts are true, and the account cards, account tables and accounts are consistent, and purchase full insurance. 3. Payment cycle (1) procurement. The picking, purchasing, acceptance, payment and bookkeeping of raw materials must be handled by different personnel. The buyer can only purchase according to the commodity name, specification and quantity in the approved purchase plan, and shall not change the purchase price and content without authorization. (2) acceptance. Payment approval procedures can only be carried out after inspection (except for prepayment business), in order to ensure that the price, quality and specifications of the goods meet the standards. The acceptance department will conduct acceptance in strict accordance with the variety, quantity and quality stipulated in the contract. (3) payment. Invoice price, transportation fee, tax, etc. The payment can only be settled and paid after the contract is checked correctly and the vouchers are complete, and the payment must be transferred by bank. Check the subsidiary ledger and general ledger of accounts payable regularly. 4. Information Management Sino-American Shanghai Squibb Pharmaceutical Co., Ltd. has taken a series of measures to ensure the timeliness, reliability and accuracy of accounting information and to ensure that accounting information can meet the needs of relevant users. The serial number of the certificate. Vouchers must be used in numerical order, and blank vouchers must be registered for the record. (2) establish a regular review system, regularly review the work of filling in vouchers, bookkeeping, posting, and preparing reports. (3) Establish the checking system of general ledger and subsidiary ledger, general ledger and journal. (4) The business manager must sign and seal the relevant business to prepare for tracing the responsibility in the future. (5) Establish a perfect voucher transfer procedure. (6) Implement a regular accounting information analysis system in order to find information errors in time.