Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas

This paper explores the internal control issues, operations and sustainability in the supply chain of automobile industry when exporting their cars overseas. Particularly this paper emphasized the possible reasons of internal control issues and implications that cause the increase in insurance cl...

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Main Authors:	Mat Dangi, Mohamad Ridhuan, Abdul Latiff, Nurul Ezhawati, Ahmad, Emmarelda Maswesi, Asat, Siti Haliza, Mohd. Noor, Rohana
Format:	Article
Language:	English
Published:	Penerbit Akademia Baru 2017
Subjects:	HN Social history and conditions. Social problems. Social reform
Online Access:	http://irep.iium.edu.my/57256/ http://irep.iium.edu.my/57256/ http://irep.iium.edu.my/57256/1/ARBMSV7_N2_P42_54.pdf

id	iium-57256
recordtype	eprints
spelling	iium-572562017-12-20T05:25:14Z http://irep.iium.edu.my/57256/ Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas Mat Dangi, Mohamad Ridhuan Abdul Latiff, Nurul Ezhawati Ahmad, Emmarelda Maswesi Asat, Siti Haliza Mohd. Noor, Rohana HN Social history and conditions. Social problems. Social reform This paper explores the internal control issues, operations and sustainability in the supply chain of automobile industry when exporting their cars overseas. Particularly this paper emphasized the possible reasons of internal control issues and implications that cause the increase in insurance claims on Damage in Transit (DIT) and/or Missing and Discrepancy (MAD) on car exporters. Goods and items exported overseas face the risks of DIT and/or MAD that are affected by any number of causes and exposures such as natural disaster, deficiencies, criminal activity and so forth. The increase in DIT and/or MAD insurance claims has a direct impact on the company’s operating costs that requires a higher premium to be paid to the insurance company, hence reduce the revenue. The internal control weaknesses in handling the exported goods also can become one of the major reasons to DIT and/or MAD that related to criminal activities. This paper reviewed the past literatures relating to damages, missing or discrepancy happened during the process of exporting cars and the concept of internal control and some examples of the cases of companies that put it into practice. This study is expected to provide notion to the automotive industry that exporting cars overseas to evaluate their existing procedures in place and make improvisation to deliver better quality services and products to their customers and to improve the current working process in related departments if such weaknesses induced to DIT and/or MAD exists. In addition, this study also aims to improve communication between divisions to ensure and to prevent the occurrence of the same issues in the future. Finally, this study proposed the execution of COSO internal control framework and a better cost management exercise may be practiced to alleviate DIT and/or MAD. Penerbit Akademia Baru 2017-06 Article PeerReviewed application/pdf en http://irep.iium.edu.my/57256/1/ARBMSV7_N2_P42_54.pdf Mat Dangi, Mohamad Ridhuan and Abdul Latiff, Nurul Ezhawati and Ahmad, Emmarelda Maswesi and Asat, Siti Haliza and Mohd. Noor, Rohana (2017) Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas. Journal of Advanced Research in Business and Management Studies, 7 (2). pp. 42-54. ISSN 2462-1935 http://www.akademiabaru.com/doc/ARBMSV7_N2_P42_54.pdf
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English
topic	HN Social history and conditions. Social problems. Social reform
spellingShingle	HN Social history and conditions. Social problems. Social reform Mat Dangi, Mohamad Ridhuan Abdul Latiff, Nurul Ezhawati Ahmad, Emmarelda Maswesi Asat, Siti Haliza Mohd. Noor, Rohana Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas
description	This paper explores the internal control issues, operations and sustainability in the supply chain of automobile industry when exporting their cars overseas. Particularly this paper emphasized the possible reasons of internal control issues and implications that cause the increase in insurance claims on Damage in Transit (DIT) and/or Missing and Discrepancy (MAD) on car exporters. Goods and items exported overseas face the risks of DIT and/or MAD that are affected by any number of causes and exposures such as natural disaster, deficiencies, criminal activity and so forth. The increase in DIT and/or MAD insurance claims has a direct impact on the company’s operating costs that requires a higher premium to be paid to the insurance company, hence reduce the revenue. The internal control weaknesses in handling the exported goods also can become one of the major reasons to DIT and/or MAD that related to criminal activities. This paper reviewed the past literatures relating to damages, missing or discrepancy happened during the process of exporting cars and the concept of internal control and some examples of the cases of companies that put it into practice. This study is expected to provide notion to the automotive industry that exporting cars overseas to evaluate their existing procedures in place and make improvisation to deliver better quality services and products to their customers and to improve the current working process in related departments if such weaknesses induced to DIT and/or MAD exists. In addition, this study also aims to improve communication between divisions to ensure and to prevent the occurrence of the same issues in the future. Finally, this study proposed the execution of COSO internal control framework and a better cost management exercise may be practiced to alleviate DIT and/or MAD.
format	Article
author	Mat Dangi, Mohamad Ridhuan Abdul Latiff, Nurul Ezhawati Ahmad, Emmarelda Maswesi Asat, Siti Haliza Mohd. Noor, Rohana
author_facet	Mat Dangi, Mohamad Ridhuan Abdul Latiff, Nurul Ezhawati Ahmad, Emmarelda Maswesi Asat, Siti Haliza Mohd. Noor, Rohana
author_sort	Mat Dangi, Mohamad Ridhuan
title	Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas
title_short	Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas
title_full	Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas
title_fullStr	Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas
title_full_unstemmed	Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas
title_sort	supply chain of the automobile industry: internal control issues, operations, and sustainability of cars exported overseas
publisher	Penerbit Akademia Baru
publishDate	2017
url	http://irep.iium.edu.my/57256/ http://irep.iium.edu.my/57256/ http://irep.iium.edu.my/57256/1/ARBMSV7_N2_P42_54.pdf
first_indexed	2023-09-18T21:20:54Z
last_indexed	2023-09-18T21:20:54Z
_version_	1777411874734735360

Supply chain of the automobile industry: Internal control issues, operations, and sustainability of cars exported overseas

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