Internal control of revenue and expenditure activities at the National Children's Hospital

INTRODUCTION

1. Urgency of the topic

Controlling and managing is a necessary function, an extremely important and necessary job to ensure coordination of the efforts of many people in a group, when people fail to achieve their goals. their goals as individuals, but must rely on the coordination of many individuals. Control is an indispensable activity in the process of managing an organization or unit, it is a process of monitoring and adjusting, carried out continuously to ensure that results are achieved in accordance with the requirements. consistent with the unit's goals, ensuring the unit's resources are used effectively, detecting violations and making timely adjustments.

In addition to the control performed by outside companies and organizations (also known as auditing activities), internal control is an activity performed by each unit on its own. is becoming increasingly important and indispensable in the management and operation of each unit. Internal controls are measures designed to prevent fraud, reduce errors, encourage operational efficiency, and achieve compliance with established policies and procedures. establish. Internal control is the regulations and control procedures that are developed and applied to ensure the entity's compliance with laws and regulations, inspection and control; Prepare honest and reasonable financial reports to protect, manage and effectively use the hospital's assets.

Central Hospital is a public service unit that is the leading provider of medical examination and treatment for children in the Northern region. In terms of tasks and functions, Central Children's Hospital is a multi-functional children's hospital, operating in medical examination, treatment and rehabilitation for children. Building and perfecting internal control, focusing on effective internal control of revenue and expenditure activities will bring benefits to the hospital in all aspects, especially with financial management, as well as Contributing to improving the quality of medical examination and treatment for generations of Vietnamese children. To improve the efficiency of management, supervision and control activities

Internal organizations are formed and play a very important role. Internal control helps managers effectively control hospital resources such as: People, assets, capital, or unit revenues and expenditures, contributing to maximum efficiency. risks arising during the implementation of assigned professional expertise. As a management tool for leaders, internal control is not only an independent and objective inspection, review and evaluation of the hospital's operations in Comply with policies, procedures and processes established within the organization; but also provide recommendations and advice to improve the effectiveness and efficiency of systems, contributing to ensuring the hospital operates safely, effectively, and in compliance with the law.

Central Hospital is a public service unit that covers a portion of its operating costs as prescribed by the Ministry of Health through its financial autonomy plan. In recent years, the financial autonomy of the National Children's Hospital has created conditions for the unit to control internal spending; requirements on openness and transparency in work, personnel, and ongoing financial expenditures. Innovating and improving operational efficiency, strengthening management including internal control of revenue and expenditure activities are the central tasks. However, due to the rapid innovation of the economy, the expansion of scale, the complexity of management and administration..., internal control here has revealed many limitations and has not kept up with developments. hospital headquarters.

Risks in the unit: Often due to conflicting reasons regarding operating goals, the unit's strategies hinder the implementation of goals such as lack of transparent management. , not respecting professional ethics; low quality of staff; breakdown of computer systems, equipment, and infrastructure; There is a lack of appropriate inspection and control, the hospital's revenue and expenditure situation is not closely monitored,...

Risks outside the unit: Technological change changes the transportation process

onion; Change customer habits with current products and services

defective operation; Unwanted competitive factors appear that impact prices and service quality; The promulgation of a new law or policy affecting the organization's operations...

Starting from the above theory and practice, realizing the importance of internal control in the hospital's revenue and expenditure activities, the author chose the topic "Internal control". Department of revenue and expenditure activities at the National Children's Hospital" as my thesis topic.

2. Overview of related research

There are many scientific research projects on the topic of internal control in public hospitals today. In each different time and space, projects and research topics have different approaches and assessments. Specifically, some notable projects are as follows:

- Pham Thi Tra (2016): "Improving internal control of revenue and expenditure at Quy Nhon Malaria - Parasitology - Insect Hospital" . The thesis synthesizes theories, surveys, researches and analyzes the current state of internal control of revenues and expenditures in order to discover problems and propose solutions to overcome them and contribute to the Improve the quality of control of revenues and expenditures at the Hospital.

- Pham Thu Hang (2018): "Improving internal control at Hanoi Medical University Hospital". The thesis synthesizes the general theory of internal control, analyzes the factors affecting the internal control system of Hanoi Medical University Hospital, and then applies complete solutions. Internal control at the hospital.

- ai Luong Thy QuǶnh (2019): "Internal control at Bach Mai Hospital" . The thesis builds a scale, determines the appropriateness and reliability of the internal control process, and determines how internal control affects the hospital. From there, it helps the hospital's Board of Directors have appropriate policies to improve their internal control system.

- Tran Trinh and Ququnh: “Evaluating the impact of structural factors

into the effectiveness of the internal control system at public hospitals

established Phu Yen province". The thesis's goal is to understand which factors influence and to what extent the internal control system at public hospitals in Phu Yen province. The author explores the theory of internal control according to the INTOSAI 9100 guideline, through a practical survey, and determines the influence of 5 factors that constitute the effectiveness of the internal control system. . From there, propose reasonable policies to improve the effectiveness of the internal control system at public hospitals in the province.

Through an overview of the above works, the author realizes the important role of internal control, especially internal control of revenue and expenditure activities in the unit's activities. These studies will help the author have a more comprehensive view on applying the theory of internal control in researching, evaluating and perfecting internal control at the unit where he is working. . In view of the redundancy and continuing to develop previous research works, the author chose to research the topic " Internal control of revenue and expenditure activities at the National Children's Hospital ". From there, useful solutions are proposed to improve the quality of internal control of revenue and expenditure activities at the Hospital

Hi Trung.

3. Research purposes and tasks

3.1. Research purpose

The topic researches the general theory of internal control in public hospitals, analyzes the current state of internal control of revenue and expenditure activities at the Central Hospital in order to propose some solutions for internal control of revenue and expenditure activities at the Central Hospital. Hospital.

3.2. Research mission

- Research and systematize the general theory of internal control in public hospitals to orient the content of internal control in accordance with the processes of the Central Hospital.

- Conduct a field survey, synthesize analysis, and evaluate the actual state of internal control of revenue and expenditure activities at the Central Hospital to find out

remaining problems and dangers; d as a basis for proposing complete solutions.

- Based on theoretical and practical basis, propose solutions to improve internal control of revenue and expenditure activities at Central Hospital.

4 Object and scope of research

4.1. Research object

The thesis researches internal control in public hospitals in Vietnam according to 5 factors: control environment, risk assessment, control activities, information and communication, and supervision.

4.2. Research scope of the topic

About space: Survey and analyze the current situation at Children's Hospital

Central.

Regarding time: The thesis researches the current state of internal control of revenue and expenditure activities at the hospital in 2018 - 2019 and proposes solutions for 2020-2025.

5 Steps for rescue

5.1. General methodology

The topic will use a combination of research methods, the main ones being the dialectical materialist method, the historical materialist method combined with the investigation method, and at the same time using the methods Methods of synthesizing, analyzing, comparing, etc. to study, systematize, summarize theoretical issues, evaluate the current state of internal control in the dialectical relationship between things and current events. specific symbolism and history.

5.2. Specific method

- For issued documents: Based on the actual number of over 2,000 officials and employees working at the National Children's Hospital, the author plans to issue 245 questionnaires to survey the Subjects are managers, leaders, deans, civil servants, public employees, and contract employees. The survey was designed to collect opinions on a number of issues that the author wanted to uncover. The number of survey tickets is spread evenly among departments, including:

both old and new officials and employees, ensuring that the results given are honest,

objective, representative and trustworthy. The survey form is in the form of pre-designed tables.

Characteristics of survey subjects:

Object quiz

Number of votes release	Number of votes receive
Hospital leaders and heads of departments and divisions	50	40
Staff	195	160
Total:	245	200

Maybe you are interested!

Of the 245 ballots sent, the author received back 200 ballots from many different subjects such as: managers, leaders of departments, accounting and control departments, and staff of departments.

- For secondary documents: Circulars, decrees, system of processes, internal regulations and regulations of the hospital, results of inspection and supervision of inspection teams inside and outside the hospital, Precise reports, research projects, articles, etc. The author uses statistical, analytical and synthetic methods to systematize information for research purposes.

- Perfect method: use Table. Table hi is tested tk above

There are 5 elements that constitute internal control at Central Hospital:

+ control environment

+ Risk assessment

+ Control activities

+ Information and communication

+ Supervision

The 5-level Liert scale is used for the entire main content of the Questionnaire:

1. Completely disagree

2. Disagree

3. Normal

4. Agree

5. Completely agree.

The author sent 245 survey forms to each subject who conducted the survey online, or sent it via email.

6. The main points of the research topic

- Theoretical: Theoretical systematization of internal control in current public hospitals.

- Regarding reality: Analyze the current situation of internal control of revenue and expenditure activities at the Central Hospital to find out the shortcomings that need to be overcome. Propose a complete solution.

7. Structure of the essay

In addition to the Introduction, Conclusion, Appendices and List of References, the thesis includes 3 chapters:

Chapter 1: Theoretical basis for internal control for public hospitals in Vietnam

Chapter 2: Current status of internal control of revenue and expenditure activities at the Hospital

Hi Trung

Chapter 3: Solutions to improve internal control of revenue and expenditure activities at Central Hospital

Chapter 1

THEORETICAL BASIS OF INTERNAL CONTROL FOR PUBLIC HOSPITALS IN VIETNAM

1.1. General theory on internal control

1.1.1. The nature of internal control

Internal control is one of the popular terms for units in the market economy, is researched by many organizations and individuals, and has many views. Internal control is different depending on the perspective.

According to I TO AI GOV 9100, B is defined as “an inseparable process performed by management and employees within an organization. This process is designed to detect risks and provide reasonable assurance of achieving the organization's mission" [25].

Objectives that must be achieved:

- Carry out activities within the unit in an ethical, disciplined, appropriate and economically efficient manner;

- Comply with current laws and principles and regulations in place;

- Protect resources from loss or misuse.

In Vietnam, the concept of internal control began to attract attention from organizations and individuals in the early years of the 21st century. According to Circular No. 214/2012/TT-BTC issued on December 6, 2012 of the Ministry of Finance, Vietnam Accounting Standard No. 315 (CMKT 315) on “Determining and assessing the risk of major errors through understanding the entity being audited and the environment of the unit" was established, defined B as follows: "A process designed, implemented and maintained by the Board of Management, Board of Directors and other individuals in the unit". provide reasonable assurance about the entity's ability to achieve its objectives in ensuring the reliability of financial reporting, ensuring operational efficiency and effectiveness, and compliance with applicable laws and regulations. relate to. Terminology

Internal control of revenue and expenditure activities at the National Children's Hospital - 2

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