EVALUATION OF THE STATE OF INTERNAL AGRICULTURAL CONTROL IN THE SYSTEM OF MANAGEMENT OF SCIENTIFIC RESEARCH INSTITUTIONS
KOZACHENKO Anna – Candidate of Economic Sciences, Senior lecturer of the Audit and State Control Department, Vinnytsia National Agrarian University (21008, Vinnytsia, 3 Sonyachna Str., e-mail: firstname.lastname@example.org, +380675691010).
The activity of scientific research institutions is not deprived of the internal risks most commonly connected with unfair actions of official and materially responsible persons, instances of fraud and forgery. Taking the above into account, economic operations taking place in such institutions are subject to internal control for the purpose of a target and most effective use of financial resources. The mechanisms of realization of internal control can be diverse and depend on the sizes and the structure of households, experiment and selective stations and structures of their administration. As practice shows, internal control should not be limited only to checks of the legitimacy of the carried-out operations and the level of performance of planned targets. The strategic direction and control of a condition of economic processes at different stages of its consecutive implementation is the key to a stable functioning of scientific and research establishments, and a correctly created system of internal control is capable to prevent considerable volumes of the carried-out violations even without external influence. These problems defined the relevance of the article and the purpose of further research.
The assessment of the system of internal control of The Institute of Bioenergy Crops and Sugar Beet (IBC&SB) NAAS which has its own network of the research stations and research households located in various agricultural regions is carried out and gave ground to be convinced that they for the purpose of specification of control functions in management process and at different stages of the sequence of their implementation, in this integrated research institution there are the following component (types) of control:
1. Administrative control is a set of procedures directed to the implementation of production and financial plans and also duties by officials. It is carried out automatically within the approved internal organizational and administrative documents.
2. Accounting control is a set of procedures for identification of deviations of the actual indicators from planned ones (accounting records), the safety of assets of the enterprise, prevention of shortcomings and elimination of risks in the activity of an enterprise, ensuring the reliability of accounting data and financial statements.
3. Technological control is a set of the procedures providing production technology compliance (cultivation of grain crops (except rice), leguminous crops and seeds of oil-bearing crops, vegetables and cucurbits crops, root crops, biopower cultures, and sugar beet), norms and standards of a raw materials consumption, quality of goods manufactured.
The organization of internal control, as a rule, contains several stages the identification of which depends on the purposes, tasks, and expediency of check. The stages of internal control which take place at The Institute of Bioenergy Crops and Sugar Beet NAAS are the following:
I stage - control planning of efficiency of budgetary funds usage. Within the given stage of internal control of IBC&SB NAAS, it is expedient to carry out the formation of the list of the priority directions of control on the basis of strategic objectives of the institution. Besides, the compliance with duty regulations validating distribution of functional authority of heads of departments for the purpose of determination of the adequacy of distribution of duties, for the competence of personnel is necessary;
II stage - the realization of control actions within the monitoring procedure of effective management of budgetary funds. This stage includes the check of:
1) accuracy of the results of the statement of estimates implementation; 2) accuracy of account and use of noncurrent assets, supplies of the institution; 3) accuracy of petty cash operations management and observing cash discipline; 4) operations on accounts in banks and treasury; 5) reliability and reality of treatment in accounting of accounts receivable and accounts payable; 6) accuracy of payroll accounting and payroll payment and mandatory deductions; 7) accuracy of reflection in accounting and use of funding of the institution; 8) expenditures for the creation of an innovative product; 9) documentation of the operations on intellectual property items within capital assets and expenses on research works.
III stage - summing up control activity. It contains the approval of reports on results of the check, control of the implementation of the recommendations aimed directly at control object.
The efficiency of internal control of The Institute of Bioenergy Crops and Sugar Beet NAAS according to the conducted research depends not only on the considered check stages but also on the measures on its stimulation in the time aspect. The analysis of sources of scientific literature gave reason to make sure that most scientists divide control based on implementation term (timing) for: 1) the preliminary in-house control implemented at the stage of adoptions of management decisions prior to certain economic operations;
2) current internal control that is expedient to carry out in the reporting period for the purpose of timely and expeditious identification of the deviations and reasons which entailed them; 3) the following internal control directed to the check of lawful, correct carrying out and reflection of the financial and economic transactions presented in primary documents, account books and reporting forms.
During the research of The Institute of Bioenergy Crops and Sugar Beet NAAS activity, it was necessary to observe the usage of only such form of control as the subsequent control which is implemented according to results of activity of the budgetary institution.
It is proved in the article that internal control is one of the most important functions of management, as with its help the check on execution and efficiency of management decisions, control of existence and use of resources and also identification and elimination of deviations in the system of financial activity of institutions is provided. That is, internal control in the integrated research institutions has to provide timeliness of information introduction and allow to quickly prevent possible development of crisis situations with the purpose of adoption of effective management decisions. The combination of the offered stages of implementation of internal control, methodical procedures and measures of stimulation in time aspect to influence stable functioning of institutions including The Institute of Bioenergy Crops and Sugar Beet NAAS on assets saving and their rational use, observance of domestic policy, prevention and exposure of violations, the accuracy of accounting records, preparation of reliable and accurate financial information.
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