Internal control of the company

The company's activities are not an easy and always responsible business. Much in the internal affairs of the company is based on mutual respect and trust. Unfortunately, even more often those cases when employees neglect the trust given to them and commit actions that entail administrative, and, at times, criminal liability. For this reason, it is necessary to carry out activities that can be designated as internal control.

The concept of internal control

The company's own audit of the company's activities has many spheres of application, but the main purpose can be learned from the definition of this concept. Internal control is a complex of activities carried out by an authorized person or a group of persons on the initiative of the head (with a view to preventing possible threats).

Based on the definition, internal control is primarily aimed at identifying shortcomings and eliminating them in order to avoid the consequences of verification by state bodies.

Regulation function

In addition, internal control exercises a regulatory function. A reliable and well-thought-out system for monitoring the activities of employees of the enterprise excludes the possibility of committing illegal actions. As is known, crimes are committed where there is no order. Internal control is designed to ensure the order and integrity of the actions performed by each employee of the company.

Accountability function

Internal control builds the company's employees in a certain hierarchy, which implies mutual supervision over compliance with job responsibilities. Thus, each employee is responsible for his work not only for himself, but also for his colleagues.

Applications

The system of internal control of the company's activities can be successfully used in any field of activity. Of course, when the number of employees is small, then control is not so difficult, but already with the number of employees equal to several dozen, it is necessary to create a special functional unit that will perform the corresponding functions.

In addition, there are areas of activity that require a high-quality internal control system. These are the areas related to deposits, financial transactions, insurance premiums and payments, as well as companies whose activities are related to significant for the state facilities or resources. For example, internal control in the bank is carried out by installing equipment that records video (and sound), a rigid system of regulation of operations, constant checking of documents by several people and many other ways.

Competent internal control can save the company from a lot of troubles, for example, during the notice and prevent illegal activities of individuals. This type of control can be carried out in different ways. Among them: the creation of a specialized department at the enterprise, the organization of a working group of specialists from different departments, the involvement of private audit companies.