Number of internal control Shanxi

Abstract: According to existing historical data, mainly Shanxi Draft objectives of internal controls, mechanisms, sharp service, defects to sum up, evaluation and analysis. That in Shanxi Draft environment without external constraints, self exploration and creation of internal control measures and methods, independent implementation of internal control, creating a truly traditional internal control.


Keywords:: Shanxi Road, longitudinal control, lateral restraint, control measures, and do not control the decision-making process
Internal control as a basic management companies, with the development of enterprises and the social impact of the expansion, the trend in complexity from simple. At present, China's listed companies to be implemented by the Ministry of Finance and other ministries issued 5 <"Enterprise Internal Control Basic specification>>. This indicates that China has entered the enterprise's internal controls, including internal environment, risk assessment, control activities, Information communication and internal oversight of the five elements of internal control phase. In order to truly improve the internal control at this stage, it is necessary Learn the history of our internal controls and internal controls some of the history of early experience and lessons learned. Therefore, this article will be based on existing historical data, number of Shanxi brief summary of the internal control, evaluation and analysis.


First, the Shanxi Draft independent implementation of internal control, designed to improve operational efficiency and effectiveness, to prevent fraud

Shanxi number of the Qing Dynasty and the Republic of China engaged in foreign exchange, deposit, put the business of a financial organization. Draft from the beginning to implement a faith-based separation of ownership, classification management, unified management of the business management system. It is this investment management system, determine the ticket number must implement internal controls. because of the trust big manager Draft moneybags personality, responsible for large ticket dispensers, Operating, "principle of not booking in advance, without the supervision of the post applied . "moneybags University of cabinet in return for helping his career, must spare no efforts to operate ticket number, pay close attention to the management and control of ticket numbers. Otherwise, branch offices across the country and learning experience, friendly way of doing things will go their own way of varying partners, scale and quality will not be able to control and assurance, a lot of profit goals will be difficult to achieve, both inside and outside a large number in the ticket dispensers reputation will be affected.

Draft should be an internal control, but the then Government did not on the non-governmental Economic organizations to regulate the internal control, each number can only vote on the basis of the established system, to explore their own rules and methods of internal control, independent implementation of internal controls. Generally moneybags and the large number dispensers to formulate the rules, discipline and control of operating standards to regulate. big manager in charge of business decisions at the same time, accompanied by two, three dispensers ticket number composed of managers, leading the whole issue of the management, control and supervision. Liu Tai semicolon selected to allow managers and members of the Law provides the total number, and at any time to consult the report. Draft stock through the introduction of human motivation to work hard work, strict restrictions on partners outside board members in number, take along money to send material without permission, go out with family and so on. If the partnership Friends of the violation, were dismissed out of number. period, the big manager for financial reporting to the moneybags, to ticket number without the effectiveness of internal control specific instructions or your third-party audit reports issued.

Clear from the number Shanxi is a practiced without external constraints, self-consciously fully implemented by the ticket number to ensure the operation and management comply with custom rules to prevent fraud, protect the security of assets, increase operational efficiency and effectiveness of internal control .


Second, the implementation of Shanxi Draft vertical and horizontal control of the internal control mechanism to contain a combination of

The age in which the Shanxi Draft. Transport facilities, Information transfer mode behind. However, ticket number from beginning to end attaches great importance to communication. They use the operators daily wrote of the way through the public Information bureau, the public and on foot Friends of the semicolon partners work to pass a letter between the numbers and the total score between the semicolon exchange Information in a timely manner. case of events, places special expedited letter delivery. new means of communication, the "Whenever a large change, service to cable "connection, some of the reported market price fluctuations of each postcard, which provides for the implementation of the important conditions of internal control.


(A) vertical top-down control and supervision
No. Shanxi vertical top-down control and supervision mechanism. Draft direct leadership of the business departments and branches of the total number to control. The operating agency for local business organizations and must follow the rules and vote No. instructions. If the branch operational problems, the total number is sent out checks, and violators were severely punished. If Xianfeng 11 years, the rising current situation, according to Chang ticket number, to determine the "next big account number we provisional period, every The have morals, this old trend of contraction throughout the contraction, "the operating principle. but the" Collection of ticket items made wide, all with tile idea contrary, it is too fierce. "In order to control the scale of business to avoid the occurrence of loss of the year. of loss of income, the total number immediately instructed Guangzhou semicolon "Once done after the total to little. to catch stirring plate only, and must not just for the sake of interest, cause regret in the future." dynasty, the Wei-rich institutions in Tianjin Draft money account deficit incident occurred, was immediately sent the total number serving in the Beijing No. Jin Li Ling-by-section went fine core, and finally to look up so and so "is no wrong, it is there should be blame."

(B) of the different management agencies, departments, implemented between the horizontal position to contain
No ticket exchange is a basic service. For exchange rate and the convergence of the two parties involved exchange earnings, the need for internal succession of the two operators together to complete. Shanxi exchange earnings before required number or intersection side (reverse exchange when the first intersection) to do business in the same day or next day complete, you must write to inform other clients of the business name, delivery time, amount, level weights, posted fees. that inform the relevant operating agency or public exchange between the business practices not only can make an early settlement for the other to ensure exchange business handled by some to enhance the credibility of ticket numbers, but also enable mutual exchange constraints, but also facilitate future accounting check to ensure that accounting Information is true.

To improve efficiency, in accordance with the existing division of labor, but also with each other, the principle of mutual restraint, Total number setting a number of departments within the play, division and handling matters related to business. Total number usually set to run Street, cabinet room, accountant, information room, etc. department. Running Street to attract business, by the cabinet responsible for the specific room. cabinet room of the money received to pay customers to pay the cashier should lead accountant. steward, the total number in addition to money for the business and now accounts processing and management, but also responsible for the full number checking accounts, clearing and financial reporting. Letter No. room addition to the total charge of the circular exchange business, but also responsible for the total number and a semicolon between the various instructions, consult the issued and collected.

To order processing business, clearly define the responsibilities, protection of assets, and then in various departments due to my employment in accordance with each other to contain the principles set different positions. The total numbers accountant general account based management, management accounts and Vice account three kinds of posts help. Tube account ( that Mr. accountant) as the accountant responsible for the people, Prime Minister of the whole number only accounts. The total number of negative money and the responsibility cashier, deputy manager of management accounts accounts accounts auxiliary tube and lead to help deal with specific accounting account. Similarly, in the cabinet room general Let the total business written records weighing sing read posts. cabinet issued a draft room to write by hand, the total charge of operating the final signed and sealed. such as Dade General states: "Coal leaders, to see every week to read the books off the field data. If the Legislative bill, personally signed and sealed, not somebody else in person. If leader is away, Deputy to help cover can act as sign. "Museum of the existing ticket number in China, a 26-year Rishengchang Zhang Daoguang Bianliang points the drawn number and there were "original Shihao" signature. Draft Kong division of this sub-system can not only ensure that all matters of business or been ordered, treatment compliance, and department heads can really take The department of management and property protection responsibilities.


(C) the implementation of job rotation
Draft not only in the operating agencies, departments and positions within the containment between the practice, also serving on different posts of the rotation system. Some "thing makes a long time to do so of running the foreign affairs, who must make it a long time to do a commission to the House Foreign Affairs each other sensible accessible, since the gap can be exempted: and contains mutual supervision, each hold points Effect. "semicolon to make more of a" group of a few of the transfer, or a group instead of grams of added class "approach, so that the partners of Friends "on the bottom line to know the situation around, ... ... Prevention of Fiscal colleagues can be drawbacks." Wei Li Ling had huge numbers in Beijing, Yang number, number, etc. Han have served in various branches.


Third, the application No. Shanxi own measures, methods and standards for internal control

In practice, the main basis of Shanxi Bill created their own unique and some very strict measures, methods and standards for internal control.


(A) create their own drafts security measures to prevent fake tickets impersonator
For foreign exchange, remittances from acceptance to delivery against the silver, not only have a certain interval is required across different regions, but the sender and the recipient is often not the same person. In order to avoid fake tickets impersonator, Shanxi Draft after a long practice, the creation of including a well-designed, printed folders have a watermark buildings bills, votes on paper for safekeeping, requisitioned, condemned to the record: someone special words written drafts, and an additional signal, etc. of the security measures. Draft initial signal, using eye acupuncture treatment approach. If the Wei dynasty, 24 years Thailand has not yet set up in Tianjin, a semicolon thick, Tianjin business is sent to the solicitation by the Beijing No., money order issued by the Beijing No. "walking village" status. "When the pilot checked in Tianjin will take the Village tickets, the Beijing No. In addition to this other party is × × were written would vote, but also tell the other party will vote in a certain bar at the eye of a needle "in order to identify the other bill was genuine. Later, they explore a ticket number TEST KEY Chinese characters for the symbol means. such as "Beware of fake tickets impersonator, do not forget the book chapter meso" 12 characters, representing a year in December, to "love the world laugh worthy of a thin, Heaven fairest, Mei Xin map from Lee, conspiracy harm others, good and evil will eventually reported that, at the end will clear the "30 words. 30 days each, respectively, as the code of the" stranger and more look, and, where appropriate, and then the line "10 words, each representing 1 to 10 The 10 digits, with "National Treasure circulation" 4 words, representing the number of units "hundred thousands." application character symbols. the exchange rate of the time, the amount of re-form a group of words, outsiders appear to Friends of the Draft Education partners business sense , in fact, a TEST KEY exchange business. Since draft tight security measures, Shanxi Draft 100 years of operation the event has not occurred impersonator fake tickets. Links http://www.hi138.com Research Papers Download (b) applications from established accounting regulations and standards, the implementation of many aspects of accounting control
Shanxi first note the general running account of accounting numbers, and then transferred under the running account ledger in mind, the last books and records on a regular basis according to the preparation of financial reports. Draft General Accounting Control intertwined with the operational control is mainly reflected in the accounting records and initial control of transcription on the daily financial revenue and expenditure control, the control of the total number of semicolons and so on.

An application's own accounting method of accounting control
Draft accounting registration running account, and no modern sense of the accounting documents, mainly based on the business end of cabinet room and the actual payment of the silver account for processing. If they are exchange business, the accounting information must also be present to exchange the other party notice of the Housing in line. The initial accounting records must be made with the real business of the information reported by mutual agreement within the practice, can make the relevant operations to contain between agencies and departments to ensure the authenticity and reliability of the initial accounting records, accounting control is the basis for future .

Some of the existing old accounts Shanxi Draft, each have multiple accounts at the top are painted circle or check mark, and some also wrote a "covered" by Yu. These sites show that the transfer ticket number recorded under the running account ledgers, books and records prepared in accordance financial report, to be on the front and rear were carefully checked by the accounts to ensure accurate transfer accounting purpose.

Final year, the total number of semicolons Collection of reports and balances of current assets and liabilities should be checked by cases. The total number of accounts of the semicolon in line to be checked after the payment, according to the income of the semicolon unified as a cross-net corresponding to the total number of transaction processing. Finally, the preparation of ticket numbers, or account of the annual list of the report to the moneybags. Draft adopted by the accounting and timely notice of this, multi-link checking, regular internal reporting, unified verification, clearing the way, not only to avoid false data after the operators to ensure true and reliable accounting records, but also make the total number of semicolons and accounting matters of business to implement effective control.

2 applications from setting standards for cost control of projects
Financially, the ticket number on the cost of the project through the method of setting standards to control the expenditure. Stocks, such as those on the body should be supported, the salaries of the Friends of the general partners, friends from work semicolon partners travel expenses, clothing tariffs, are set different standards by grade level, and the payment, reporting, review and other stages of the multi-link control. Dade Pass No. 1884 provides: "Do not people of any road terminal position, where the Consul General who, the monthly allocation of capital banks clothing twenty-two, vice classes per month twelve. but novice business person, within five years, five-month money than five years, according to Vice-class peers. "Later, clothing tariffs increase the standard many years of Class A village is .1888 Course Information clothing silver thirty-two month in 1921 to six two. expended for clothing tariffs, etc., 1888 states: "The existence of the terminals are not allowed to buy clothing, silk, medicine other items, the number of offset against the money can only be who with who to buy, with a number out of number, time billing, respectively. "" out repairing clothing, needle workers, cable, deduction, in real terms by a few sticks "and leave one on the end of Kam .1921 is amended to read:" Tailoring wage line deduction. and zero fees on weekdays, are nothing out of his body, if there is to open a public account, to identify rules of the commission of numbers. "semicolon charges for clothing and daily standards should be required to expend the time control, end of period SD should be included in the monthly sum to the total number of reports, the Friends of work partners, should the number of this year the total number has been expended. According to the bottom of the home on clothing by Kam were off and plan to open a new price, by the partnership with the Friends of back to the total number. by the Friends of the total number of partners brought back all the clothes and Zhezi for verification. If the value found does not match the set of clothing, to the partners of Friends of further settlement. Rishengchang Zhou mouth, caused by the total number of Xiangtan and other correspondence semicolon the often such content. such as "Brother Xiang Xie Ting Mao back in work by Han, with the junction to the flat fee in Iraq with a fine silver plate eighty-two, but also the Iraqi capital of Ping clothing 三十 twenty-four money fine silver quarter, is attached Iraq has the old and new clothes were folded the public. "

(C) the size of the stock and credit control versus
To speed up cash flow, prevent credit risks, inventory ticket number on the semicolon is the amount of money and lending approach through the limit control. If the provisions of Dade through 1888 around the "silver deposit limit per month, are not allowed to have ten thousand the number ".1921 year rule:" Coal to pay a total number, the number should be limited. on the signs, not later than three votes in borrowing yuan, the signs may not have two million, not more than one sign on the yuan. the card must be careful. "

Fourth, Shanxi Draft implementation of internal control decision-making process does not

Shanxi Draft basically full control of the internal control. Shopkeeper who has led not only to the power of internal control, and the various agencies and department heads led by the Friends of the general partner of the business or control of specific implementation issues. However, different staff in the internal control in different roles. Friends of both types of partners to implement internal controls, also received from the Friends of the higher-ups and other partners for their work and conduct supervision and control. partnership, if the Friends of violations, but also by the dismissal and other sanctions. and large dispensers in Draft internal supremacy, not to its institutions and personnel constraints, moneybags nor its accountability. visible, Shanxi Draft internal control, internal governance structure in the context of the implementation is not perfect. This kind of internal control only business activities and management for the implementation of the Friends of the process and partners are not included in the decision-making process of the scope of internal control and oversight.

From the existing historical perspective, the implementation of Shanxi Bill "cover with the right person for the proposed" policy, large dispensers are generally required before a decision "consult my colleagues the insights to be along the trend of change." To this end, Dade-pass requirements: "the Proceedings of a village set, Whenever the number of events, or to whom something must be public debate, their title, the pro-recorded can see, the right to vote the total number in operation. opinion expression, Figure spy vision, all the free. Every six months, Qi was originally sent to Taking. "practice, managers do often write a semicolon to the large total number dispensers or suggestions. Li Ling in the same boat as advice, the collection of friends he schedules and transportation partners East Palm went abroad and investigation of many of the recommendations. Precisely because of this, the basic business decisions to ensure the correct ticket number, ticket number before the middle of the internal control is also very effective.

But later, it was not the case .1937 narrative of Chen Qitian: "There are twelve rumors, quite interesting. ... ... The original supply of clothing from the number, later reduced costs for the sake of votes village, just clothes, regardless of surface. At that time, staff of the tricks to do with inferior material surface made of silk in. to get off work, which will be turned to change. "Although this is a rumor, but this can be seen, the late people have been missing ticket numbers, internal control has shown signs of talk about dogma, not pay attention to the phenomenon of real rigidities. Guangxu 34 years, in the forefront of the inter-bank competition, number of votes Li middle age people. According to some large banking institutions was emerging situation, the ticket number has been manager of the joint capital of their votes to No general manager of Shanxi proposed joint-banks, in order to the sustainable development of Shanxi Draft. but this is to help ticket number was head of Pingyao thick Maohong Han Wei Tai tried to block and slander, and ultimately led to the initiative of collegiate banks to naught, Shanxi Draft consequent lost opportunity to quickly decline and eventually had to quit the stage of history.

Summary can be seen. Shanxi number in clear, people do during the implementation of internal control. Such internal control self-implemented by the ticket number, mainly for the implementation process. Although it is early internal control, relatively simple, but the ticket number The draft own security measures and approaches such as multi-link with each other to contain very scientific, effective, modern enterprises are still being used.

Learn the lessons of Shanxi Draft, the current enterprises to improve internal controls, internal controls should be fully aware of the meaning and internal control and regulate the relationship between external constraints, internal controls should emphasize substance over form principle, to prevent moral hazard, in while strengthening the implementation of process control, more attention should be paid to control decision-making process.


Main references
[1] Chen Qitian Dynasty Shanxi pressure [M], Shanghai: Commercial Press, 1937
[2] Shanxi Branch of People's Bank of China, Shanxi Finance and Economics Shanxi Bill Historical Writing Group [M] Taiyuan: Shanxi People's Publishing House, 2002
[3] Kam-Fai Wong Shi Shanxi Bill [M] Taiyuan: Shanxi Economic Press, 2002
[4] Sui Qing Li, Ling Li, Jin Tour Diary same boat advice note Shanxi commercial success [M] Taiyuan: Shanxi Economic Press, 2003
[5] Wang Yi Rishengchang Draft Code [M] Taiyuan: Shanxi Economic Press, 1998 Links http://www.hi138.com Research Papers Download