Financial management in the construction business in the role of clean government

[Abstract] the current economic problem of corruption in construction enterprises are mostly from the business caused by loopholes in the financial management and, therefore, strengthen the financial management of construction enterprises in the clean government for the promotion of enterprise, to prevent violations of economic discipline has an important role .

[Keywords:] construction enterprises; financial management; clean government


A construction enterprise in the current problem of corruption
In construction enterprises in the various phenomena of law and discipline and economic cases account for a large proportion of this is because too many aspects of construction project management, making a number of construction enterprises in order to obtain projects for external public relations activities, making the occurrence of some government officials economic crime; on the other hand is due to lax internal supervision and management, financial management loopholes, making the management of some functions carried out by various means, embezzlement, corruption, bribery and other corrupt activities; and the law and discipline violations involving an amount of more to the greater, from a few million, several hundred thousand dollars to several million dollars, or even more. Construction of the enterprise's economic corruption occurs mainly at the grassroots level of the project headquarters, the project manager for the Department, such as engineering materials, supplies, machinery procurement, use and management of other sectors, there are many more than the common discipline and discipline cases, the violation of discipline officers collude with each other use case is often found out more than big, more than those involved in disciplinary cases, mainly in management of production safety accidents caused by irresponsible cases and in cases of loss due to acres of demolition work, materials procurement and management of public funds in the joint conspiracy of corruption cases.


2 lead to corporate financial corruption in the construction of financial management reasons

2.1 The poor quality of business finance staff

Some undocumented construction enterprises accounting staff posts, even the certificates, there are many people lack basic professional knowledge of accounting methods and procedures highly irregular, and some are free to set account, the infrastructure is not prepared financial statements of national unity, Consignee system of internal financial statements have been designed; some accounting or business accounting by industry based accounts, the preparation of the corresponding report; some correspondence between accounts wrong account is not registered in time, not continuous, incomplete, inadequate accounting procedures, accounting vouchers not binding, the accounting file is not complete, resulting in unclear origin of funds, whereabouts unknown, unclear relationship between credit and debt, and many other issues, to the various economic activities, provided the conditions of corruption, and law enforcement and supervision of construction projects to increase the difficulty of the work.


2.2 The financial management system is not perfect

Some construction companies without the internal infrastructure of financial management system, without the authority to establish and improve the approval system, the daily financial management of confusion, no one signed original documents, or only the leaders, the project leader and even his cashier, signing his own expense, lack of supervision and mutual restraint, making the public property, private storage, transfer of the use of borrowed revenue account, cash in cash, with white bars, fake invoices accounted for a large number of such corruption occur.


2.3 The weak financial supervision

Ministry of Finance does not give full play to the accounting oversight role, is not well within the control of the exercise of its functions, there is no rigorous examination of revenues, costs and timing of occurrence of authenticity, making the financial information is not timely, truly reflect the costs and revenues, the financial data is not accurate, and management is difficult to develop appropriate countermeasures. target responsibility system is not perfect, powers and responsibilities is not clear, making the economy more likely to occur within the enterprise and violations of law, the Finance Ministry will not be able to establish an accountability system can not be better to exercise its accounting checks oversight functions.


2.4 lax internal audit

Internal audit is an important part of corporate financial control, but some construction lax internal audit, non-existent, empty of audit responsibility, and some internal audit is just going through the motions only, or even false results of the audit, the auditor must receive the officer's remuneration , with the fraud; the audit results did not establish appropriate accountability system, even if the problems identified in the audit process, and often nothing, lower audit effectiveness, impact the enthusiasm of the auditor; some construction companies as the weakness of the audit The main economic benefit is the audit, its role with a lag. reposted elsewhere in the Research Papers Download http://www.hi138.com 3 to strengthen financial management of the role of clean government construction enterprises

3.1 improve the quality of financial staff

Financial management of construction enterprises are many problems that exist in most of the business and financial officers about the level and the low moral standards. Therefore, the construction enterprises should strengthen the business skills of finance staff training and improve their business skills and professional titles, allowed to grasp the basic building content and method of accounting, the establishment of infrastructure accounting personnel certificates system. In addition, the need to strengthen the financial officers of the political, legal, professional ethics, according to China <<financial base of the working standards>> education to have a dedicated financial staff love, skills, good service, familiar with the regulations, according to law, such an objective and impartial professional ethics, not harm national and public interests. Meanwhile, senior management should strengthen the education, so that managers have the integrity, honesty, fair, honest quality. strengthen the moral construction accountants financial area is conducive to corruption, rectify unhealthy tendencies, from the source to prevent all kinds of economic corruption and promote clean government enterprises to ensure the healthy development of enterprises, continue to grow.


3.2 sound system of financial management of construction enterprises

Construction enterprises should strengthen the financial management system, improve the operation of rules and norms of power, according to the system work, grasp the source of corrosion. Through the system to clear the responsibilities and powers related to develop and improve the corporate restructuring, capital management, asset restructuring, investment guarantees, property rights transactions, project bidding, marketing and procurement management system and measures to develop the cash management system, expenditure approval system, special funds management system, the collective assets management system, a reasonable separation of powers, appropriate authority, a clear responsibility to prevent abuse of power led to corruption phenomenon. for the better implementation of rules and regulations, should also develop a reward system assessment, the work of accountants regular inspection and evaluation, recognition awards advanced units and individuals, to break the law, fraud, shall be punished, severely accounts confused, and revoke their licenses for employment, and to hold its accounting personnel and leadership responsibilities.


3.3 Strengthening financial supervision

In order to better implement the various financial management system to prevent the occurrence of corrupt practices, but also to strengthen financial supervision, the establishment of a quality and efficient project supervision team, focus on strengthening financial management infrastructure, a clear accounting responsibilities, submitted its rigorous examination of original documents, instruments used strictly to build assets, accounting, strengthen file management, so that had known in advance, usually grasping checks urged after the catch. to discover and correct a variety of financial discipline illegal. the establishment of a permanent building Project team of law enforcement to monitor and change for the regular monitoring of campaign monitoring the implementation of the project a multi-level, multi-functional, comprehensive supervision of inspection, and construction enterprises to increase punishment for economic offenses, in order to promote business integrity building.


3.4 strengthen the internal audit

In order to effectively track the supervision of the construction project into the use of construction funds, to prevent corruption and fraud, the construction enterprises should strengthen the internal audit work, constant Research and improvement of audit methodology, attention to the collection audit found that the unusual circumstances, as the audit trail conducive to that discipline violations; use accounting centralized information management system, deepen the procurement of materials and payment, allocation of fixed assets and leasing, project billing and receivables management and other control processes to review the procedures for reimbursement of the construction project, bills passed and funding management and usage, to prevent the set up illegal "small treasuries"; strengthen audit performance and assessment, reflecting the principle of fair and reasonable; enhance audit and supervision level, increase the economic responsibility auditing, from the source to prevent corruption from happening.

4 Conclusions

As construction projects are more involved in funding, managing more complex, coupled with the impact of the old system, the construction enterprises in the economy prone to corruption, many of our corruption are related to the construction and engineering. So in order to prevent construction enterprises a variety of economic corruption, we must start from the source, strengthen financial management, build and nurture high-quality team of finance staff, and improve the financial management system, strengthen financial supervision and internal audit to prevent and correct all kinds of economic corruption behavior, the combination of financial management and clean government, the formation of management practices in business, honest and diligent government, giving priority to efficiency with due consideration to fair and harmonious development of a good situation, not only for our country's overall anti-corruption work has contributed also access to better their own prospects. Links to Research Papers Download http://www.hi138.com