Suzhou Huaya Intelligence Technology Co.Ltd(003043)
Self evaluation report on internal control in 2021
In accordance with the provisions of the basic norms of enterprise internal control and its supporting guidelines and other internal control regulatory requirements, combined with Suzhou Huaya Intelligence Technology Co.Ltd(003043) (hereinafter referred to as the "company") internal control system and evaluation methods, and on the basis of daily and special supervision of internal control, we have self evaluated the effectiveness of the company's internal control as of December 31, 2021 (the benchmark date of internal control evaluation report).
1、 Important statement
It is the responsibility of the board of directors of the company to establish, improve and effectively implement internal control, evaluate its effectiveness and truthfully disclose the internal control evaluation report in accordance with the provisions of the enterprise's internal control standard system. The board of supervisors shall supervise the establishment and implementation of internal control by the board of directors. The management is responsible for organizing and leading the daily operation of the enterprise's internal control. The board of directors, the board of supervisors and the directors, supervisors and senior managers of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this report, and bear individual and joint legal liabilities for the authenticity, accuracy and completeness of the contents of the report.
The objective of the company's internal control is to reasonably ensure the legal compliance of the company's operation and management, asset safety, authenticity and integrity of financial reports and relevant information, improve operation efficiency and effect, and promote the realization of the company's development strategy. Due to the inherent limitations of internal control, it can only provide reasonable assurance for the realization of the above objectives. In addition, as changes in circumstances may lead to inappropriate internal control or reduced compliance with control policies and procedures, there is a certain risk to speculate the effectiveness of internal control in the future according to the internal control evaluation results.
2、 Internal control evaluation conclusion
According to the identification of major defects in the company's internal control over financial reporting, on the benchmark date of the internal control evaluation report, the company has no major defects in the internal control over financial reporting. The board of Directors believes that the company has maintained effective internal control over financial reporting in all major aspects in accordance with the requirements of the enterprise's internal control standard system and relevant regulations.
According to the identification of major defects in the company's internal control over non-financial reports, the company found no major defects in the company's internal control over non-financial reports on the benchmark date of the internal control evaluation report.
The period from the benchmark date of internal control evaluation report to the date of internal control evaluation report.
3、 Internal control evaluation
(I) evaluation scope of internal control
According to the risk oriented principle, the company determines the main units, businesses and matters included in the evaluation scope and high-risk areas.
1. Main units included in the scope of evaluation include: Suzhou Huaya Intelligence Technology Co.Ltd(003043)
2. The total assets of the unit included in the evaluation scope account for 99.31% of the total assets in the company's consolidated financial statements, and the total operating revenue accounts for 98.72% of the total operating revenue in the company's consolidated financial statements.
3. The main businesses and matters included in the evaluation scope include: organizational structure, development strategy, human resources, social responsibility, corporate culture, procurement (including materials, outsourcing and equipment), asset management (including capital, inventory and fixed assets), research and development, sales, financial report, information system, information and communication, etc.
4. The above units, businesses and matters included in the evaluation scope and high-risk areas cover the main aspects of the company's operation and management, and there are no major omissions.
4、 Internal control construction and control activities
(I) internal environment
1. Organizational structure
The company establishes and improves the corporate governance structure in accordance with the requirements of the company law, the securities law, the articles of association and other relevant laws and regulations. The general meeting of shareholders is the highest authority of the company and exercises the voting rights on major matters such as the company's business policy, financing, investment and profit distribution according to law. The board of directors is the decision-making body of the company, responsible for the establishment and supervision of the company's internal control system, establishing and improving internal control policies and schemes, supervising the implementation of internal control, being responsible to the general meeting of shareholders and implementing the resolutions of the general meeting of shareholders; The board of directors has a strategy committee, a remuneration and assessment committee, a nomination committee and an audit committee. The Secretary of the board of directors leads the work of the securities department, and the audit committee has an audit department. The management level consists of the general manager's office, personnel administration department, finance department, information department, marketing department, technology department, quality department, planning department, production and manufacturing department, automatic assembly department and other departments.
The company has established an organizational structure that meets the business scale and operation and management needs of the company, reasonably set up departments and posts, scientifically divide responsibilities and authorities, and form an organizational system in which each performs its own duties, assumes its own responsibilities, cooperates and restricts each other. Each functional department performs its own responsibilities within its own functional scope.
2. Development strategy
The strategy committee under the board of directors of the company has formulated the working rules of the strategy committee of the board of directors to clarify the personnel composition, responsibilities and authorities, discussion and voting procedures of the strategy committee. The strategy committee holds regular meetings to study and make suggestions on the company's long-term development strategy and major investment and financing plans.
3. Corporate culture
The company has cultivated a corporate culture with its own characteristics, including the development vision reflecting its own corporate characteristics, positive values, honest and trustworthy business philosophy, fulfilling social responsibility and pioneering and innovative enterprise spirit. Enhancing innovation awareness and cultivating innovation spirit is one of the important contents of the company's corporate culture construction. Through organizing training and internal communication, the company makes employees fully realize that the innovation of the company depends on each department and runs through every work, not only the innovation of technology, but also the innovation of management and products and services, and gradually establishes the innovation of the enterprise Shanghai New Culture Media Group Co.Ltd(300336) .
4. Human resources
In recent years, the company has continuously improved its human resource management system, attached importance to talent introduction, improved post responsibilities, assessment and incentive, training and education, formed a benign competition mechanism and created a harmonious employment environment. In the future, the company will promote the development of enterprises with the development and optimization of human resources, and further establish and improve the human resources management system from the aspects of incentive, assessment and training.
5. Social responsibility
In the process of development, the company takes into account economic and social benefits, actively undertakes social responsibility obligations, operates legally, pays taxes according to law, is enthusiastic about public welfare, strengthens party construction, and effectively protects the legitimate rights and interests of shareholders, employees, customers and suppliers, so as to promote the harmonious development of the company and society.
(II) risk assessment
The company has formulated long-term overall objectives, supplemented by specific strategies and business processes to pass on the business objectives to the employees. At the same time, an effective risk assessment process has been established to facilitate all departments to identify and respond to changes that may have a significant and general impact on the company, including business risk, environmental risk, financial risk and so on.
(III) control activities
1. Financial activities
The company has formulated monetary fund management system, raised fund management system, foreign investment management system and other systems. Separation of incompatible positions for handling monetary capital business; It has established strict authorization review procedures, standardized the company's investment, financing and capital operation activities, effectively prevented the risks of capital activities and improved capital efficiency.
2. Asset management
The company implements asset management in accordance with the fixed assets management system, warehouse management regulations and other systems, and strictly separates the physical process from the corresponding accounting process. The company attaches importance to the safety management of assets and conducts inventory work regularly. The assets of the company operate well and the property is safe.
3. Procurement and payment
The company implements procurement and payment management in accordance with the procurement control procedure, accounts payable management system and other systems, manages in strict accordance with the financial management system and relevant supporting methods, and standardizes and controls the processes such as procurement approval, arrival acceptance, registration account, invoice management, preparation of accounting vouchers, payment approval, payment payment payment, reconciliation of accounts payable and preparation of accounts payable aging analysis, so as to plug the loopholes in the procurement link, Reduce procurement risks.
4. Sales and collection
The company has formulated job descriptions for relevant posts engaged in sales business, defined responsibilities and authorities for the Department's sales plan, sales order, customer quotation, customer management and sales collection, and formed an effective management system and authorization review procedure.
5. Research and development
The company has established a perfect product R & D management system, strengthened the whole process management of R & D, standardized R & D behavior, promoted the transformation and effective utilization of R & D achievements, and continuously improved the company's independent innovation ability.
6. Financial reporting
In accordance with the national accounting standards and relevant laws and regulations, and in strict accordance with the accounting standards for business enterprises and other relevant financial management systems, the company has defined the relevant work processes and requirements to ensure that the preparation of financial reports is legal and compliant, and the disclosure is true, complete and effective. The financial director is responsible for organizing and leading the preparation, external provision, analysis and utilization of financial reports. The person in charge of the enterprise shall be responsible for the authenticity and integrity of the financial report.
7. Contract management
The company has formulated contract related management systems, standardized the relevant processes and approval rights of contract review, conclusion, performance, change and dissolution, and lawyers are responsible for reviewing the contract text, contract change, dissolution and dispute handling, so as to prevent and reduce the legal risks of the company and effectively safeguard the legitimate rights and interests of the company.
(IV) information and communication
The company has formulated a series of internal information and communication control systems and normative documents such as information disclosure affairs management system and insider registration management system, and uses ERP system, MES system and other information management systems to ensure internal and external information communication. The information released by the company shall be released after being reviewed and approved by relevant leaders.
(V) internal supervision
The board of supervisors of the company is responsible for supervising the performance of the board of directors, directors and managers and the legal operation of the company in accordance with the company law, the securities law and the work guidelines of the board of supervisors of listed companies. The audit department under the audit committee of the company shall regularly or irregularly supervise and inspect the implementation of the internal control system of all departments and subsidiaries of the company, the use of raised funds, related party transactions, major foreign investment, expenditure of relevant expenses, etc. according to the relevant internal control system.
5、 Basis of internal control evaluation
The company organizes and carries out internal control evaluation according to the enterprise internal control standard system, internal control system and internal control defect identification standard.
6、 Internal control defect identification standard
1. The board of directors of the company studied and determined the identification standards of internal control defects applicable to the company from the perspective of internal control over financial reports and internal control over non-financial reports according to the identification requirements of the enterprise's internal control standard system for major defects, important defects and general defects, combined with the company's scale, industry characteristics, risk preference, risk tolerance and other factors. 2. Identification standard of internal control defects in financial reporting
(1) The quantitative criteria for the evaluation of internal control defects in financial reporting determined by the company are as follows:
Category major defect important defect general defect
Potential misstatement amount of operating revenue ≥ 0.5% of operating revenue ≤ misstatement amount 1% of operating revenue 0.5% of operating revenue
Potential misstatement amount of total assets ≥ 0.5% of total assets ≤ misstatement amount 1% of total assets 0.5% of total assets
(2) The qualitative criteria for the evaluation of internal control defects in financial reporting determined by the company are as follows:
Qualitative standard of defect nature
Ineffective control environment for major defects; Serious fraud of directors, supervisors and senior managers of the company; The company corrects and traces the published financial reports and those found by certified public accountants but not identified by the company's internal control; Material misstatement in the current year's financial report.
Major defects: failure to select and apply accounting policies in accordance with the accounting standards for business enterprises; Failure to establish anti fraud procedures and control measures; For the accounting treatment of unconventional or special transactions, no corresponding control mechanism is established or not implemented and there is no corresponding compensatory control; There are one or more defects in the control of the financial reporting process at the end of the period, and there is no reasonable guarantee that the prepared financial statements achieve the goal of authenticity and accuracy.
General defects refer to other internal control defects other than the above major defects and important defects.
2. Identification standard of internal control defects in non-financial reporting
(1) The quantitative criteria for the evaluation of internal control defects in non-financial reporting determined by the company are as follows:
Index name major defect important defect general defect
Amount of property loss amount of loss ≥ 1% of operating revenue ≤ amount of loss 2% of operating revenue 2% of operating revenue
(2) The qualitative criteria for the evaluation of internal control defects in non-financial reporting determined by the company are as follows:
Qualitative standard of defect nature
The possibility of major defects is high, which will seriously reduce the work efficiency or effect, or seriously increase the uncertainty of the effect, or make it seriously deviate from the expected goal.
The possibility of important defects is high, which will significantly reduce the work efficiency or effect, or significantly increase the uncertainty of the effect, or significantly deviate from the expected goal.
Generally, the possibility of defects is low, which will reduce the work efficiency or effect, or increase the uncertainty of the effect, or make it deviate from the expected goal.
7、 Internal control defects and identification
According to the identification standard of the company's internal control defects in financial reporting, the company has no major defects and important defects in the internal control of financial reporting during the reporting period.
According to the identification standard of the company's internal control defects in non-financial reports, no major defects and important defects in the company's internal control over non-financial reports were found during the reporting period
