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Internal Controls of Hemas Holdings PLC


Internal Controls of Hemas Holdings PLC

Word count 1792


1.0 Introduction

2.0 Internal control procedure

3.0 Internal controls having in the organization

3.1 Structure

3.2 Policies and procedures

3.3 Enterprise Resource Planning (ERP)

3.4 Auditing

4.0 Objectives of internal controls

5.0 Recommendations

6.0 Conclusion

Additional information


1.0 Introduction

The objective of this study is to evaluate the internal controls of the organization. Hemas Holdings which is listed company in Colombo stock exchange is selected to evaluate its internal controls. Hemas Holdings was founded in 1948 and now operates in Sri Lanka more than seventy years. Currently, company is the second largest conglomerate in Sri Lanka which operates in many areas such as FMCG, pharmaceutical, healthcare, logistics, tourism and etc. currently Hemas has more than 6000 employees and company has expanded its operations in countries such as Bangladesh and Pakistan. Company has recorded Rs 64 billion end of the 2018/19 financial year (Hemas annual report, 2019). Considering number of employees and level of operation, Hemas should have sound internal controls to manage the operation. Further, as a listed company, Hemas need to comply with some financial regulations enforced by Securities and Exchange Commission. Hemas Risk and Control department is the responsible body that develop and improve the internal controls throughout the organization.

2.0 Internal control procedure.

Main procedure to gather knowledge about internal control of Hemas Holdings is review the internal control policies, internal audit charter and manual. Further some information were gathered through by conducting interview with Assistant Manager of Risk and Control department (R&C).