EVALUATION OF INTERNAL CONTROL OVER PURCHASING ACTIVITIES AT PT JOPURI LESTARI MANDIRI (A CASE STUDY)

Abstract

Purchasing is one of important aspect in company. The researcher feels intrigued to evaluate the internal control over Purchasing Activities at PT Jopuri Lestari Mandiri because there is no purchasing division in this company. Questions keep appearing in writer mind, how the purchasing activities can run without purchasing division. The objectives of this research is to find the weakness of the internal control especially in purchasing activities at PT Jopuri Lestari Mandiri and gives recommendation to the company. The writer uses qualitative method to do the research and analyzes the internal control by conducting observation and collecting several documents related to purchasing activities. During the research, the writer finds out some findings. The findings are that there is no a written Standard Operating procedure of company, There is no proper security for warehouse, there is still no a written job description of the company, and also the writer finds that the company receives material with wrong specification. Based on these problems, the writer suggests several recommendations for company to develop a written SOP and also Job Description.