The construction of internal control system is the only way for the sustainable development of Dadi Group. It is also the key factor for the success of the IPO of the Group Company. It has been highly valued by the senior executives of the Group Company and the leaders of all units and departments of the Group. The internal control system has been listed as the key work of the Group Company this year. To this end, the internal control work leading group and the internal control project team were established, and the Dongfangyoucai Consulting Management Company was hired to jointly build with the internal control personnel of the Group Company.

On July 9, 2019, the “Dadi Group Internal Control System Construction Project Launching Conference” was held. At the conference, Chairman of the Board of Directors XIE Meihua, General Manager WANG Dongping and Executive General Manager ZHOU Shaolei respectively stressed the importance and necessity of internal control work, which opened up the prelude of the Dadi Group internal control system construction project.

 The construction of the internal control system requires not only the attention of senior leaders, but also the joint efforts of the internal control management department and all employees of the Group Company. It needs continuous renewal and improvement. In order to enhance the understanding of internal control system among all levels of internal control staff, the Group Company held an internal control training meeting on July 23. The consultant of Dongfangyoucai explained the way and method of Dadi Group’s internal control construction work in the way of combining theory with practice, and answered the questions existing in various units of the Group Company at the present stage. This paper lays a foundation for the implementation of internal control in the next stage.

 With the cooperation of all units and departments of the Group Company, the internal control project team, together with Dongfangyoucai professionals, has carried out a comprehensive survey of all units and departments. Through data collection, interviews with middle and senior managers, questionnaires and on-site tests, the team has gained a deep understanding of the status quo of the internal control system of the Dadi Group and found out the risk and defect points of the Group. Contrasting with the national internal control standards, Li Xin, the director of the Dongfangyoucai, gave an objective evaluation of the current situation of the Dadi Group internal control management, and said that considering the actual business, we should gradually lead the Dadi Group to the advanced enterprise standards of systematization, standardization and institutionalization. The overall strategy is: to implement separately and advance simultaneously; to jointly determine the main contents of co-construction of internal control; to provide in-depth counseling and to train the professional team of internal control of Dadi Group.

As for the objective evaluation given by Dongfangyoucai professionals on the current situation of Dadi Group’s internal control management, XIE Meihua, the Chairman of the Group Company, said that we have recognized the problems existing in the construction of Dadi Group’s internal control system, and we should bravely accept it and actively make changes. Mr. Xie requests the leaders of all units and departments to be the first responsible person. They should actively cooperate with the working arrangements of the project team, vigorously promote and self-optimize and grow in the process of building the internal control system. This is a century-long plan involving the long-term development of Dadi Group in the future.

In the following work plan, the internal control project team and consultation team of the Group Company will connect with the Group, all units and departments according to the overall strategy of the construction of the internal control system of Dadi Group Company, and carry out specific work such as communication between management at all levels, system process design, document system construction and core business testing, so as to complete the work in an all-round way for the construction of the internal control system of Dadi Group.

Internal control project team

Dadi Engineering Development (Group) Co., Ltd.