CFO. Improving the Bottom Line with Advanced Controls CONTENTS
|
|
- Brianne Pope
- 8 years ago
- Views:
Transcription
1 CFO Improving the Bottom Line with Advanced Controls CONTENTS EXECUTIVE SUMMARY 1 THE PROBLEM ILLUSTRATED 2 SOLUTIONS 4 PROCESS RISKS AND CONTROLS 6 CASE STUDY 9 SELF ASSESSMENT 12 WHAT DOES THE FUTURE HOLD? 13 CONCLUSION 13
2 EXECUTIVE SUMMARY Issues that contribute to cash leakage, such as duplicate vendor payments or transactions that contravene company policy, can seem insignificant individually. But mounting evidence shows that collectively these problems can have a dramatic and material effect on an organization s bottom line. This white paper examines how advanced controls can substantially improve the bottom line, the scope of the issues addressed by advanced controls, and the reasons why leading companies and experts who monitor cash leakage are increasingly looking to advanced control solutions. Cash leakage, also known as financial leakage, is the unnecessary outflows of money due to business process errors, fraud or inefficiencies. Advanced controls continuously monitor Enterprise Resource Planning (ERP) configurations and transactions to identify and resolve cash leakage and similar problems, such as cash flow issues, working capital issues and fraud. Advanced controls address three main categories of process transaction problems: Issues with a definite impact on the bottom line, such as duplicate vendor payments Issues with a potential effect on the bottom line, such as split purchase orders Issues with cash flow impacts on the bottom line, such incorrect vendor payment terms The Accounts Payable Network a 50,000-member organization that establishes best practices for accounts payable (AP) technologies and controls recommends the use of advanced controls to provide continuous monitoring as a layer over ERP controls, especially for companies with automated systems. The organization makes detailed recommendations in its report, Safeguarding Disbursements: A Technology-Enabled Approach to Overpayment Detection and Prevention. The benefits of advanced controls have been demonstrated by the bestin-class companies that are typically the first to adopt new technologies and establish best practices. Organizations that have made the most progress in shifting away from manual controls are adopting advanced control solutions and showing what a difference those controls make, says Rob Rogers, editorial vice president at Financial Operations Networks, parent organization of the Accounts Payable Network. There is a transformation that is in process, or an evolution, if you will, in accounts payable processing and order to cash, Rogers says. The benefits of advanced controls have been demonstrated by the best-in-class companies that are typically the first to adopt new technologies and establish 1
3 best practices. Those companies have shown the considerable return on investment for process automation. While all organizations can benefit from advanced controls, companies with high transaction volumes or high-value transactions stand to gain the most. Advanced controls replace manual controls and continuously monitor configurations and transactions, so most issues are immediately detected and resolved. Advanced control solutions also offer strategic insights into emerging internal trends to better manage operational risks. This paper provides examples that highlight not only the bottom line benefits of advanced controls, but also the strategic benefits for organizations. THE PROBLEM ILLUSTRATED Advanced controls address issues that affect the bottom line of an organization across virtually all business processes. A recent study of the AP function by PRGX Global Inc. illustrates the nature and extent of the problems that are addressed by advanced controls. PRGX, which has conducted audits for over 40 years to recover funds lost through cash leakage, analyzed 376 of its AP recovery audits over a fiveyear period. Although PRGX conducts global audits for organizations in all industries, this study focused on five specific industries. CASH LEAKAGE BY INDUSTRY Although the study found that organizations in all industries lost significant sums due to AP errors, five specific industries stood out because of the scale of the average loss: Industry Average Recovered Funds per AP Audit* Airline $450,000 Automotive manufacturing $1,500,000 High tech $650,000 Manufacturing (non-auto) $1,200,000 Transportation $500,000 *85 percent of the recoveries were from audits that covered a one-year period The study had three main takeaways, said Joe Collins, director of thought leadership at PRGX and author of the study: 2
4 Profit leakage is not specific to one type of industry or error type. Companies that don t use recovery audits are losing out on recovered cash. By understanding and quantifying past errors, companies can use insights from recovery audits to implement stronger controls. Recovery audits don t eliminate the need for advanced controls, nor do advanced controls eliminate the need for recovery audits. Advanced controls and recovery audits work well together. Recovery audits identify and quantify the amount of profit leakage you have and advanced controls enable your team to proactively detect more errors, Collins said. Recovery audits don t eliminate the need for advanced controls, nor do advanced controls eliminate the need for recovery audits. Besides demonstrating the immediate return-on-investment (ROI) benefits of recovery audits, the PRGX study defined the top AP problems identified in the audits. Three AP errors were shared on the Top 5 list for each industry tracked by the PRGX study: overpayments, duplicate invoice payments and paper-related duplicate payments in an electronic process. These and the other problems can be significantly reduced by using advanced controls. TOP 5 AP ERRORS BY INDUSTRY Error Airline Auto Manufacturing Industry High Tech Manufacturing Transportation Overpayment Duplicate invoice payment Duplicate payment paper related Credit memo error Process breakdown ERS receiving error ERS-related Sales tax rate Sales tax taxability Re-bill LEGEND Overpayment Duplicate invoice payment Duplicate payment paper related Credit memo error Process breakdown ERS receiving error ERS-related Sales tax rate Sales tax taxability Re-bill Overpayment unrelated to duplicate payments Payment made more than once for same invoice Duplicate payment from paper invoice in an electronic process Error with credit memo quantity or price, or other error Error related to lapse in documented processes Error caused by process breakdown at dock location Error related to evaluated receipt settlement payment Tax figured and paid on incorrect rate Tax paid for untaxed item Error related to inconsistent vendor corrective action 3
5 SOLUTIONS Organizations seeking solutions to improve their bottom line have three approaches: recovery audits, ERP controls and advanced control solutions. Used separately, each of the solutions has many advantages and taken together they provide great synergies. RECOVERY AUDITS Recovery audits review company AP transaction histories, using data mining and other techniques to identify overpayments and other problems that impact the bottom line. When specific transactions are identified, the recovery audit firm works to collect the money lost from cash leakage. One key benefit of recovery audits is that money recovered is typically from previous accounting periods. From a cash flow perspective, this can be considered found money that can be applied straight to the bottom line. Recovery audits can provide insights into cash leakage risk areas and the materiality of related errors; organizations can use this information to strategically implement advanced controls. Advanced controls automate the detection process and detect errors early enough to avoid erroneous transactions that result in cash leakage. ERP CONTROLS ERP controls are essential to the ERP systems of organizations. Among the many benefits to your business processes, ERP controls provide key controls such as purchase order approvals and three-way supplier invoice matching. By combining ERP controls with advanced controls, organizations can focus on running their operations instead of devoting substantial resources assessing whether there are significant process control issues. Another benefit is they are embedded in your ERP systems and thus function seamlessly with your business processes. To help reduce operational risk, it is important for organizations to take advantage of these ERP controls where appropriate. With more scrutiny on the bottom line, the increased complexity of business processes and a larger volume of transactions, organizations are learning that they need another tier of controls to complement or augment their ERP controls. By combining ERP controls with advanced controls, organizations can focus on running their operations instead of devoting substantial resources assessing whether there are significant process control issues. 4
6 ADVANCED CONTROLS Advanced controls augment ERP standard controls by providing an added tier of controls: they monitor ERP controls, they detect configuration changes, and they review 100% of transactions. Advanced controls automate most of the remaining manual controls. This last mile of manual controls tends to be the ones that cause the most pain to an organization, in terms of cash leakage. And advanced controls provide distinct advantages over manual controls: they provide 100 percent coverage instead of relying on audit testing, they provide timely feedback about exceptions, they utilize sophisticated rules to detect challenging issues, and they efficiently track and resolve identified issues. Advanced controls can identify and prevent problems that have a direct, significant and easily measured impact on a company s bottom line. Some examples include: For the PTP process, advanced controls ensure the integrity of vendor master records and monitor for duplicate invoices. For the OTC process, advanced controls improve credit memos processing to minimize the extent of customer account write-offs. For expenses management, advanced controls can detect when employees obscure their buying and expensing of items not authorized by company policies. While the direct, easily measured effects of advanced controls are easy to tabulate for an ROI calculation, advanced controls also produce improvements to the bottom line that are harder to measure the ROI frosting on the cake. While the direct, easily measured effects of advanced controls are easy to tabulate for an ROI calculation, advanced controls also produce improvements to the bottom line that are harder to measure the ROI frosting on the cake. Examples of these less obvious impacts include identifying split purchase orders, and identifying unreasonable customer payment terms that can lead to excessive account write-offs. Advanced controls also identify issues related to cash flow that affects the bottom line, such as incorrect vendor payment terms that result in unnecessarily early payments. In addition to helping improve the bottom line, advanced controls improve the effectiveness of processes and reduce operational risk. For example, advanced controls reduce the incidence and impact of errors by identifying them through increased coverage, find errors sooner and even prevent 5
7 When you bring in advanced controls, you can get all of those things done, and not have things slip through the cracks because of the reality of the crush of incoming transactions. them in some cases. Advanced controls also allow process controls to be quickly adapted as requirements evolve, but without having to change the underlying processes. Another advantage of using advanced controls is that they allow companies to focus their efforts on more value-added activities, such as reviewing and analyzing items that can be overlooked when trying to apply manual controls to large volumes of transactions, says Rob Rogers of the Financial Operations Network. Whether it s your vendor master file review and cleanup and check; your approval levels your invoice data; statement authorization; card reconciliations; your bank reconciliations; or bypasses in your system, he said. All of these are things that should be looked at, in some way. And frankly, the sheer volume can be overwhelming. When you bring in advanced controls, you can get all of those things done, and not have things slip through the cracks because of the reality of the crush of incoming transactions. Simply stated, advanced controls allow for much more effective and comprehensive coverage than manual controls ever could, and at a fraction of the cost. PROCESS RISKS AND CONTROLS When an organization considers business problems that affect its bottom line, those problems generally fall into three categories: Definite impacts: activities that always affect the bottom line Potential impacts: activities that may affect the bottom line Cash flow impacts: activities that may affect the bottom line due to less-than-optimal cash flow The following tables provide process risks, bottom line impacts and solutions for the PTP and OTC processes for the three categories. These two processes were chosen because they are particularly vulnerable to cash leakage. 6
8 DEFINITE IMPACTS TO THE BOTTOM LINE In this category, for the PTP process, the bottom line is typically affected either because expenses or costs of goods sold (COGS) are increased. For the OTC process, the bottom line is typically affected because revenue is decreased. PROCURE TO PAY Process Risk Bottom Line Impact ERP or Manual Control Advanced Controls Solution Invalid entry of supplier invoices Untimely payments to suppliers Inappropriate purchase transactions Single supplier invoice entered and paid multiple times Lose out on opportunity to take early payment discounts Payment for goods or services that lack a valid business purpose Prevent same invoice number from being entered for the same supplier Run payment processes based upon terms and/ or specify to always take discounts on supplier records Perform manual review of business application security Detect invoices with similar invoice numbers and similar invoice amounts for the same supplier Notify when supplier invoices with discount terms are coming due and that the payment process needs to be run Alert management about users with incompatible duties; for example, who can maintain supplier master records and enter purchase orders ORDER TO CASH Process Risk Bottom Line Impact ERP or Manual Control Advanced Controls Solution Incorrect pricing Invoices are created and recorded for a lower amount Require approval for invoice pricing changes Compare invoices to historical averages and alert management when materially different from threshold Incorrect credit memos Credit memos for higher pricing than invoice pricing; Credit memos for higher quantity than actually returned by customer Utilize automated ERP functions to compare credit memos to sales documents Alert management when policies and procedures are not followed by users Inappropriate access to write off accounts Credit memo issued but goods not returned or valid services already rendered Require account writeoff approvals if above a threshold Require additional approvals based on specified conditions; for example, require additional approval if account has recent history of write-off s 7
9 POTENTIAL IMPACTS TO THE BOTTOM LINE In this category, for the PTP process, the bottom line is typically affected either because expenses or COGS are increased. For the OTC process, the bottom line is typically affected because bad debt expenses are increased or revenue is decreased. PROCURE TO PAY Process Risk Bottom Line Impact ERP or Manual Control Advanced Controls Solution Split purchase orders (POs) to work around approval thresholds Excessive purchase of goods or services Purchase orders (POs) over a certain threshold require approvals Identify all POs that are within a rolling window (seven days, for example) from the same user and for the same supplier, then sum the group of POs and compare total to approval thresholds Unapproved suppliers, goods, and services Pay more than would have been paid using approved suppliers Have purchasing contracts in place and review maverick off contract spend Provide real time review of unique, noncompliant POs; for example, check if supplier has a contract, require additional approval if no supplier contract ORDER TO CASH Process Risk Bottom Line Impact ERP or Manual Control Advanced Controls Solution Inappropriate terms assigned to customer Excessive account writeoffs Only certain people are able to create new terms; define policies regarding terms Provide management with insight between customer account write-offs and corresponding extended terms Unreasonable sales discounts Excessive sales discounts are provided reducing revenue Enforce approvals on sales discounts given Define rules that compare sales discounts to historical averages and obtain exception approval for unusual sales discounts 8
10 CASH FLOW IMPACTS TO THE BOTTOM LINE For both the PTP and OTC processes, the bottom line is typically affected because interest expenses are increased or interest income is reduced due to lost opportunities. PROCURE TO PAY Process Risk Bottom Line Impact ERP or Manual Control Advanced Controls Solution Inappropriate access to change payment terms Invoices paid sooner than necessary per policy Require approval for changes to payment terms Define rules to review changes to payment terms and report to management when changes are made ORDER TO CASH Process Risk Bottom Line Impact ERP or Manual Control Advanced Controls Solution Incorrect credit memos Credit memo errors cause customer payment delays Review reports and follow up on credit memos not created timely Develop rules that will prevent incorrect entry of customer credit memos CASE STUDY A health services organization that recently considered advanced control solutions provides an illustration of a return-on-investment (ROI) calculation. The organization, with more than 1 million customers, examined the potential bottom-line affect of advanced controls in a detailed study late in Based in part on the ROI analysis, the company formed a plan to implement advanced controls during its ERP upgrade project and began implementation in the first quarter of In 2012, the organization was interested in increasing its focus on controlling administrative costs, in part because of healthcare reform. At the same time, it faced increased risks because of its growth through acquisitions and geographic expansion, and it was planning an ERP upgrade in
11 The organization was overly dependent on manual controls, which were inefficient and exposed the company to fraud and spending leakage. The organization faced several problems. The organization was overly dependent on manual controls, which were inefficient and exposed the company to fraud and spending leakage. The company had 40 to 60 users spending four to six weeks per year on testing, and it could take as long as three years between testing cycles for duplicate invoices. It was also difficult for the company s users to track changes to key setups and values, such as chart of accounts, Social Security numbers and other master data. The company lacked automated detection, remediation and prevention of segregation of duty (SOD) violations. And its IT staff had to spend too much of its time tracking patches and upgrades. The opportunity for benefits from implementing advanced controls was calculated in four quantifiable areas: Reduced fraud, waste and abuse Redirected external auditing fees Redirected internal auditing effort Decreased IT effort during routine upgrades The ROI analysis established baseline figures for each area and calculated improvements based on data from the company and industry averages, including figures from the Perspectives in Health Information Management journal and studies from Gartner, Forrester, Foley & Lardner, Financial Executives International and Compliance Week. The analysis concluded that advanced controls would drive benefits in three main categories for the company: Continuous monitoring of key financial controls that direct efforts to recover or prevent fraudulent transactions Reduced exposure to access security risks for fraud, waste and abuse Improved business processes and reduced effort spent on manual controls The analysis calculated a range for the possible financial benefit outcomes in each of the four quantifiable areas, with a conservative estimate, a mostlikely estimate and an optimistic estimate. The analysis showed, under the most-likely estimate, that the company would reach the break-even point by using Advanced Controls after 26 months. And after five years, the most-likely estimate showed a total net benefit of $2.4 million, using a Net Present Value calculation, which translates to a 259 percent ROI. 10
12 CASE STUDY: FIVE-YEAR QUANTIFIABLE COST AND BENEFIT OUTCOMES Item Conservative Most-likely Optimistic Recurring benefits $ 2,062,331 $ 3,130,656 $ 4,800,537 One-time benefits $ 146,484 $ 195,300 $ 244,141 Ownership costs $ (925,599) $ (925,599) $ (925,599) Net financial benefits $ 1,283,216 $ 2,400,357 $ 4,119,079 Return on Investment (ROI) 139% 259% 445% Break-even point (months) SELF ASSESSMENT If your organization is considering whether it could benefit from advanced control solutions, it makes sense to perform your own ROI analysis. But even before the analysis, answering some basic questions can help with the decision-making process. Ask yourself: How significantly is the bottom line affected by cash leakage at your organization? Does your company have the risk indicators that point to a need for advanced control solutions? The following self-assessment provides a thought-provoking guide to whether your organization might benefit from advanced control solutions. 11
13 WOULD MY ORGANIZATION BENEFIT FROM ADVANCED CONTROL SOLUTIONS? # Question Yes or No 1 Has your organization had any recent, significant ERP system changes such as a major upgrade, chart of accounts redesign or changes in ERP vendors? 2 Does your organization have multiple ERP systems? 3 Is your organization considering or planning any initiatives to streamline processes across multiple ERP systems, and/or to provide consistent metrics across ERP systems? 4 Has your organization had any recent, major process changes (e.g., integrated purchasing and payables activities, integrated human capital management and payroll activities)? 5 Do any of your organization s sub-processes have a significant percentage of manual transactions or activities? For example, are a large percent of vendor invoices entered manually? 6 Is your organization considering or planning any initiatives to improve process efficiency and effectiveness through such activities as further automation? 7 Has your organization encountered business process errors that require significant time to investigate and resolve the errors? 8 Has your organization either encountered fraud or suspected fraud related to your business processes? 9 Has your organization s auditors identified any opportunities to make significant improvements to your business processes? 10 Has your organization recently moved toward a shared-services model or moved away from a shared-services model? 11 Is your organization considering or planning any initiatives to improve cash flow or to improve working capital? 12 Is your organization considering or planning any type of upgrade to your ERP system (i.e., technical, functional, new modules, transformation)? Count the number of yes answers, then assess your organization as follows : Extremely high benefit to your organization from using advanced control solutions 8-10: Very high benefit to your organization from using advanced control solutions 5-7: High benefit to your organization from using advanced control solutions 3-4: Medium benefit to your organization from using advanced control solutions 0-2: Low benefit to your organization from using advanced control solutions Bonus Question: If you answered yes to question #12, your organization is a prime candidate for advanced control solutions. 12
14 WHAT DOES THE FUTURE HOLD? Industry experts predict that advanced control solutions will provide companies with several new capabilities in the future, as the solutions are developed further and become more sophisticated. One feature being considered is incorporating closed-loop recovery audits into the solutions, so advanced controls will not only detect incorrect payments but also provide a single, enterprise repository and related workflows to manage and track recovery projects. Future advanced control applications will likely use high-end analytics, such as big data techniques to evaluate large transaction system data sets for anomalies and suspicious correlations and machine learning concepts to create controls that learn from the data. Another area where advanced controls of the future are expected to have an impact is by integrating their automated risk monitors with enterprise risk management. Under this concept, exceptions to advanced controls would be linked to documented risks as part of the risk assessment process. In the future, advanced controls could provide digital assessments of risk to enhance an organization s annual risk assessments with more data-driven approaches. The controls could also enable external audit functions to go far beyond their traditional random sampling approaches by providing near-complete data coverage. And advanced controls of the future will probably be capable of digesting multiple types of heterogeneous data sources, increasing the accuracy of the controls in finding exceptions. CONCLUSION Process transaction issues from errors, fraud and inefficiencies cause cash leakage and similar problems. These problems can have a dramatic and material impact on the bottom line. The definite, direct impacts include duplicate vendor invoices for the PTP process, and incorrect credit memos for the OTC process. Problems with a less direct but also significant impact include split purchase orders for the PTP process and unreasonable payment terms under the OTC process. 13
15 Advanced control solutions identify these issues both those that have the direct, measurable effects on the bottom line, and the problems with a less direct impact. Advanced controls alert management to these issues, remediate the problems and close the issues after they are resolved. They provide continuous monitoring, and they provide flexible solutions that can quickly adapt as process requirements evolve. Advanced controls are not limited by the transaction volume of an organization they monitor every transaction, whether the volume is 100 or 100 million. The solution provides bottom-line benefits to all companies, and particularly those with high volumes of transactions or high value amounts per transaction. Beyond the bottom line, advanced controls also allow companies to evolve their finance functions to provide strategic insight into emerging internal trends to better manage operational risks. Recovery audits also help with cash leakage issues, identifying overpayments and related AP issues and collecting those overpayments on behalf of the client. ROI for a recovery audit is relatively simple to calculate, and leading recovery audit firms conduct audits that are paid on a contingency basis. Advanced control solutions and recovery audits are both recommended as best practices, and adopted by best-in-class organizations. As organizations consider whether to adopt advanced control solutions, they should consider their individual circumstances and whether they ve encountered the issues outlined in this white paper. They should also study the potential ROI, and weigh the experience of best-in-class companies and industry leaders that have adopted advanced controls. Improving the Bottom Line with Advanced Controls is published by CFO Publishing LLC, 51 Sleeper Street, Boston, MA August 2013 Copyright 2013 CFO Publishing LLC. All rights reserved. 14
Using Technology to Automate Fraud Detection Within Key Business Process Areas
Using Technology to Automate Fraud Detection Within Key Business Process Areas 2013 ACFE Canadian Fraud Conference September 10, 2013 John Verver, CA, CISA, CMA Vice President, Strategy ACL Services Ltd
More informationAGA Kansas City Chapter Data Analytics & Continuous Monitoring
AGA Kansas City Chapter Data Analytics & Continuous Monitoring Agenda Market Overview & Drivers for Change Key challenges that organizations face Data Analytics What is data analytics and how can it help
More informationProcess Control Optimisation with SAP
Process Control Optimisation with SAP The procure-to-pay cycle, which includes all activities from the procurement of goods and services to receiving invoices and paying vendors, is a basic business process.
More informationStrong Corporate Governance & Internal Controls: Internal Auditing in Higher Education
Strong Corporate Governance & Internal Controls: Internal Auditing in Higher Education Contents Introduction Internal Audit as Trusted Advisor & Business Partner Big Ticket Items: Fraud, Revenue Leakage
More informationACL WHITEPAPER. Automating Fraud Detection: The Essential Guide. John Verver, CA, CISA, CMC, Vice President, Product Strategy & Alliances
ACL WHITEPAPER Automating Fraud Detection: The Essential Guide John Verver, CA, CISA, CMC, Vice President, Product Strategy & Alliances Contents EXECUTIVE SUMMARY..................................................................3
More informationAn Introduction to Continuous Controls Monitoring
An Introduction to Continuous Controls Monitoring Reduce compliance costs, strengthen the control environment and lessen the risk of unintentional errors and fraud Richard Hunt, Managing Director Marc
More informationKofax White Paper. Overcoming Challenges in Accounts Payable Automation. Executive Summary. Benefits of Accounts Payable Automation
Kofax White Paper Overcoming Challenges in Accounts Payable Automation Executive Summary Accounts payable automation presents unique challenges. It is characterized by large volumes of data, arriving in
More informationContinuous Monitoring: Match Your Business Needs with the Right Technique
Continuous Monitoring: Match Your Business Needs with the Right Technique Jamie Levitt, Ron Risinger, September 11, 2012 Agenda 1. Introduction 2. Challenge 3. Continuous Monitoring 4. SAP s Continuous
More informationKofax White Paper. Overcoming Challenges in AP Automation. Executive Summary. Benefits of Accounts Payable Automation
Kofax White Paper Executive Summary Accounts payable automation presents unique challenges. It is characterized by large volumes of data, arriving in different formats and media that must be securely received,
More informationMike Ventrella, Vice President, Sales
Speed, Visibility and Control Best Practice AP Processing in Oracle E-Business Suite Presented by Mike Ventrella, Vice President, Sales Agenda 1. The Dilemma of Manual AP Inefficient Risky Costly 2. The
More informationLeverage T echnology: Move Your Business Forward
Give me a lever long enough and a fulcrum on which to place it, and I shall move the world - Archimedes Copyright. Fulcrum Information Technology, Inc. Is Oracle ERP in Scope for 2014 Audit Plan? Learn,
More informationAuditing for Value in the Procure to Pay Cycle Dallas IIA Chapter. October 1, 2009
Auditing for Value in the Procure to Pay Cycle Dallas IIA Chapter October 1, 2009 Supply Chain Risk Overview * Today s Focus * Includes Working Capital benefits 1 2009 Protiviti Inc. An Equal Opportunity
More informationPreventing Healthcare Fraud through Predictive Modeling. Category: Improving State Operations
Preventing Healthcare Fraud through Predictive Modeling Category: Improving State Operations Commonwealth of Massachusetts Executive Office of Health and Human Services Project initiated: July 2012 Project
More informationB2B Operational Intelligence
M A R C H 2 0 1 4 B2B Operational Intelligence This white paper describes how B2B Operational Intelligence safeguards your supply chain against non-compliant B2B data in the order lifecycle, ensuring that
More informationSpeed, Visibility and Control Best Practice AP Processing in Oracle E-Business Suite
Speed, Visibility and Control Best Practice AP Processing in Oracle E-Business Suite Presented by Kevin Ryan, Regional Sales Manager ReadSoft Oracle Solutions Agenda 1. The Dilemma of Manual AP Inefficient
More informationThe Transition from Paper to Painless
WHITE PAPER Accounts Payable Automation: The Transition from Paper to Painless ABSTRACT This white paper takes a comprehensive look into how businesses can leverage AP Automation to reduce costs, enhance
More informationFebruary 2, 2012 ACCOUNTS PAYABLE BEST PRACTICES
February 2, 2012 ACCOUNTS PAYABLE BEST PRACTICES IMPORTANCE OF A/P BEST PRACTICES After payroll, the largest disbursement of a firm s funds typically comes from Accounts Payable (A/P) Accounts Payable
More informationMaking Automated Accounts Payable a Reality
Making Automated Accounts Payable a Reality www.merkur.com (800) 637-1704 Table of Contents Introduction...3 Executive Summary...4 Challenges in Accounts Payable...5 What is the problem?...5 How big is
More informationWHITE PAPER HOW TO REDUCE RISK, ERROR, COMPLEXITY AND DRIVE COSTS IN THE ACCOUNTS PAYABLE PROCESS
WHITE PAPER HOW TO REDUCE RISK, ERROR, COMPLEXITY AND DRIVE COSTS IN THE ACCOUNTS PAYABLE PROCESS Based on a benchmark study of 250 companies with a total of more than 900 billion euro in Accounts Payable
More informationWelcome to Metafile. Solving document issues for over 30 years. Matt Akin msa@metafile.com 800-638-2445 x 301
Welcome to Metafile Solving document issues for over 30 years Matt Akin msa@metafile.com 800-638-2445 x 301 Janine Peck jgp@metafile.com 800-638-2445 x 303 Metafile helps many companies with their AP,
More informationTotal exception management
continuous control monitoring Total exception management Insight & Assurance See through the complexity of systems and processes and you will know your business inside out control PLAN report analyse improve
More informationPreventing Health Care Fraud
Preventing Health Care Fraud Project: Predictive Modeling for Fraud Detection at MassHealth Category: Improving State Operations Commonwealth of Massachusetts Executive Office of Health and Human Services
More informationDesigning an Optimal Technology Landscape For Accounts Payable Transformation
perspective Designing an Optimal Technology Landscape For Accounts Payable Transformation - Rajagopal NVS Abstract Companies that leverage technology to automate their Accounts Payable (AP) function can
More informationStrengthening Controls in 2013: The Order-to-Cash Cycle
Strengthening Controls in 2013: The Order-to-Cash Cycle Peter Millar Director, Technology Application Chris Stewart-Smith Senior Technical Consultant 2 Why are we talking about O2C? Economy is turning
More informationPROCURE-TO-PAY TRANSFORMATION FOR CFOs. Achieving Control, Visibility & Cost Savings.
PROCURE-TO-PAY TRANSFORMATION FOR CFOs Achieving Control, Visibility & Cost Savings. Table of Contents Introduction...3 Driving up the Cost of the Procure-to-Pay Cycle...4 5 Ways to Cut Procure-to-Pay
More informationExecutive summary. Table of Contents. How control violations are performed. White Paper Detecting and preventing duplicate invoice payments 16% 20%
White Paper Detecting and preventing duplicate invoice payments Executive summary Duplicate invoice payments occur far more frequently than most organizations realize. On average, approximately 0.1% to
More informationAutomating Procure-to-Pay
White Paper Automating Procure-to-Pay Brian G. Rosenberg, Chief Executive Officer There has been an increased focus on the Procure-to-Pay ( P2P ) process over the past several years. This has resulted
More informationChaos to Clarity. Why Strategic CFO s Demand AP Automation 43% 55% 75% Written by Bottomline Technologies
Chaos to Clarity Why Strategic CFO s Demand AP Automation 55% 43% 75% Written by Bottomline Technologies Chaos to Clarity Why Strategic CFO s Demand AP Automation What s at the top of the modern CFO s
More informationOne source. One amazing service. Procurement Process and the Sarbanes-Oxley Act
One source. One amazing service. Procurement Process and the Sarbanes-Oxley Act May, 2005 EXECUTIVE SUMMARY Public companies are spending a great deal of time and effort to comply with the Sarbanes-Oxley
More informationEMDEON PAYMENT INTEGRITY SERVICES
EMDEON PAYMENT INTEGRITY SERVICES Emdeon Fraud Prevention Services Emdeon Fraud Investigative Services Emdeon Clinical Integrity for Claims Emdeon Third-Party Liability Analysis Simplifying the Business
More informationSolutions for Accounts Payable Process Optimization
Solutions for Accounts Payable Process Optimization ScerIS is your resource for Accounts Payable Process Optimization (APPO). We help clients do more at lower cost, in less time and with fewer people.
More informationApplication Control Effectiveness for SAP. December 2007
Application Control Effectiveness for SAP December 2007 Meeting Objectives Application Control Effectiveness Compliance at a glance Trends and challenges Technology issues Application Control Business
More informationThe Role of Oversight and Monitoring and the Use of Analytics to Increase Effectiveness of your Compliance Program
The Role of Oversight and Monitoring and the Use of Analytics to Increase Effectiveness of your Compliance Program Presented by: David Curé, Vice President and Chief Auditor Christopher Price, Sr. Director,
More informationTHE ABC S OF DATA ANALYTICS
THE ABC S OF DATA ANALYTICS ANGEL BUTLER MAY 23, 2013 HOUSTON AREA SCHOOL DISTRICT INTERNAL AUDITORS (HASDIA) AGENDA Data Analytics Overview Data Analytics Examples Compliance Purchasing and Accounts Payable
More informationTop 10 reasons to automate expense management process
Top 10 reasons to automate expense management process Switching from spreadsheet to an automated solution Though many leading enterprises have moved to automate their expense management, there are still
More informationBEYOND PAPERLESS How AP Change Makers can improve on scan and capture solutions to unlock the full potential of AP Automation
CHANGE PAPER BEYOND PAPERLESS How AP Change Makers can improve on scan and capture solutions to unlock the full potential of AP Automation March 2014 TABLE OF CONTENTS 1. AP AUTOMATION WHERE ARE YOU TODAY?
More informationVendor Audit and Cost Recovery: Improving Bottom Line Results WHITE PAPER
Vendor Audit and Cost Recovery: Improving Bottom Line Results WHITE PAPER 2002 ACL Services Ltd. All rights reserved. AMWE109003 ACL and the ACL logo are registered trademarks of ACL Services Ltd. All
More informationSpecial Report: The Future of AP
The Future of Accounts Payable Five Top Transformative Changes Coming to AP What lies ahead for Accounts Payable and Shared Services? In these highly volatile and challenging economic times, can AP leverage
More informationReduce Audit Time Using Automation, By Example. Jay Gohil Senior Manager
Reduce Audit Time Using Automation, By Example Jay Gohil Senior Manager Today s Session Speaker Bio: Jay Gohil, Protiviti Jay is a Senior Manager in the ERP Services practice in Atlanta. In the past seven
More informationBest Practices Report
Overview As an IT leader within your organization, you face new challenges every day from managing user requirements and operational needs to the burden of IT Compliance. Developing a strong IT general
More informationAchieving the Goals of Accounts Payable Automation. White Paper
Achieving the Goals of Accounts Payable Automation White Paper Contents Executive Summary... 2 The Manual AP Process... 2 Goals of Automation... 3 The Automated AP Process... 4 Measuring the Achievement
More informationThe Power of Risk, Compliance & Security Management in SAP S/4HANA
The Power of Risk, Compliance & Security Management in SAP S/4HANA OUR AGENDA Key Learnings Observations on Risk & Compliance Management Current State Current Challenges The SAP GRC and Security Solution
More informationInternal Audit FINAL INTERNAL AUDIT REPORT. Management Initiated Review of Child Support Master Program Payments
Australian Government Department of Human Services Internal Audit FINAL INTERNAL AUDIT REPORT Management Initiated Review of Child Support Master Program Payments Report Number Conducted May - June 2012
More informationPerformance Audit City s Payment Process
Performance Audit City s Payment Process January 2013 City Auditor s Office City of Kansas City, Missouri 18-2011 Office of the City Auditor 21 st Floor, City Hall 414 East 12 th Street (816) 513-3300
More informationIntroduction. Table of Contents
Introduction To stay competitive, you know how important it is to find new ways to streamline and save on your company s operations. Learning how leading companies handle commercial payments can give you
More informationAP Automation Best Practices and Trends Oracle E-Business Suite
AP Automation Best Practices and Trends Oracle E-Business Suite October 17, 2012 Agenda The challenges of efficiently processing invoices Technology Evolution Invoice Capture ERP Integration Oracle EBS
More informationManage and Control Access Risk and Assess Its Financial Impact
SAP Brief Extensions SAP Access Violation Management by Greenlight Objectives Manage and Control Access Risk and Assess Its Financial Impact Make access control decisions based on business impact Make
More informationROI CASE STUDY KOFAX SUFFOLK CONSTRUCTION
ROI CASE STUDY KOFAX SUFFOLK CONSTRUCTION THE BOTTOM LINE Suffolk Construction used Kofax s MarkView Financial Suite to improve productivity and reduce costs by taking better advantage of its vendors early
More informationPart of the Deloitte working capital series. Make your working capital work for you. Strategies for optimizing your accounts payable
Part of the Deloitte working capital series Make your working capital work for you Strategies for optimizing your accounts payable The Deloitte working capital series Strategies for optimizing your accounts
More informationA Performance Audit of the State s Purchasing Card Program
REPORT TO THE UTAH LEGISLATURE Number 2006-09 A Performance Audit of the State s Purchasing Card Program September 2006 Audit Performed By: Audit Manager Audit Supervisor Audit Staff Rick Coleman Susan
More informationAccounting Best Practices. Part 2 of 3: Procurement to Payment. Surveys Results & Recommended Practices
Accounting Best Practices Part 2 of 3: Surveys Results & Recommended Practices June 2014 Table of Contents Click on title to jump to section Executive Summary 3 Introduction 5 Background 6 Contracts 7
More informationORACLE SERVICES PROCUREMENT
ORACLE SERVICES PROCUREMENT KEY FEATURES Create contracts for services with complex payment terms Incorporate progress payment schedule into services contracts Track and report progress based on schedule
More informationACCOUNTS PAYABLE AUDIT RECOVERING LOST DOLLARS AT NO COST
ACCOUNTS PAYABLE AUDIT RECOVERING LOST DOLLARS AT NO COST 1 Our Objective To assist organizations in finding lost thousands of dollars in profits through duplicate payments, duplicate billings, overpayments,
More informationAdvantages of using an automated control system for multiple transactions
Advantages of using an automated control system for multiple transactions White Paper By Boris Shapira, Ph.D. White Paper 2 Copyright 2010 Control s Force. All rights reserved. While every attempt has
More informationIntegrating Data Analytics into Internal Audit
Integrating Data Analytics into Internal Audit IIA Beach Cities Meeting May 19, 2011 Agenda Introductions Background Industry Perspective Benefits of Challenges in Examples / Case Studies Tools Of The
More informationIntroduction. Table of Contents
Introduction To stay competitive, you know how important it is to find new ways to streamline and save on your company s operations. Learning how leading companies handle commercial payments can give you
More informationmodern Payment Integrity the race to pre-payment White paper
modern Payment Integrity the race to pre-payment White paper White paper modern payment integrity the race to pre-payment U.S. Healthcare Spending Chart FY 2005-2015 $ Billions 1600 1400 1200 1000 800
More informationFeature. A Framework for Estimating ROI of Automated Internal Controls. Do you have something to say about this article?
Feature A Framework for Estimating ROI of Automated Internal Controls Angsuman Dutta is the unit leader of the marketing and customer acquisition support teams at Infogix. Since 2001, he has assisted numerous
More informationAccounts Payable Automation
A Simple Introduction to Accounts Payable Automation How to improve your Accounts Payable Process and get the results you really want A Publication of MEDI Table of Contents Introduction Chapter 1 Chapter
More informationLeveraging data analytics and continuous auditing processes for improved audit planning, effectiveness, and efficiency. kpmg.com
Leveraging data analytics and continuous auditing processes for improved audit planning, effectiveness, and efficiency kpmg.com Leveraging data analytics and continuous auditing processes 1 Executive
More informationAccounts Payable Automation
Accounts Payable Automation Dataline - a brief history Launched as privately owned company, based in Chatswood, Sydney. Became a leading proponent of distributed non-impact MICR technology We remain the
More informationAccounts Receivable Deduction Management: A Plague on Corporate Profits
Accounts Receivable Deduction Management: A Plague on Corporate Profits By Kristen Metzger Smyyth LLC Over the past years, corporate order-to-cash processes have evolved significantly, enabled by billions
More information5 Ways Senior Finance Executives are Improving Visibility Across the Procure-to-Pay Cycle
5 Ways Senior Finance Executives are Improving Visibility Across the Procure-to-Pay Cycle An IOFM white paper, sponsored by 5 Ways Senior Finance Executives are Improving Visibility Across the Procure-to-Pay
More informationContinuous Monitoring and Auditing: What is the difference? By John Verver, ACL Services Ltd.
Continuous Monitoring and Auditing: What is the difference? By John Verver, ACL Services Ltd. Call them the twin peaks of continuity continuous auditing and continuous monitoring. There are certainly similarities
More informationStreamline the Processing of All Your Invoices
SAP Brief SAP Ariba s Ariba Invoice Professional Objectives Streamline the Processing of All Your Invoices Invoice capture and workflow for accounts payable excellence Invoice capture and workflow for
More informationIntroduction. Table of Contents
Introduction To stay competitive, you know how important it is to find new ways to streamline and save on your company s operations. Learning how leading companies handle commercial payments can give you
More informationLiner Cost Management
Liner Cost Management Solverminds Solutions & Technologies Pvt Ltd September 2015 1. Introduction Introduction Knowledge and information are the lifeblood of any organization. The effective use of this
More informationMD AOC Project Introduction to PeopleSoft
Insert Pictures that represent Customer on Master slide MD AOC Project Introduction to PeopleSoft PeopleSoft Vendor Management Agenda Introduction Session Objectives PeopleSoft Overview Key Features Business
More informationAccounts Payable. How to Cut Costs and Improve Invoice Processing Efficiency
Accounts Payable How to Cut Costs and Improve Invoice Processing Efficiency Contents 3 4 Introduction The Challenges of Invoices 5 The Goals of Invoice Automation 6-7 The Key Elements of Invoice Automation
More informationAchieving Control: The Four Critical Success Factors of Change Management. Technology Concepts & Business Considerations
Achieving Control: The Four Critical Success Factors of Change Management Technology Concepts & Business Considerations T e c h n i c a l W H I T E P A P E R Table of Contents Executive Summary...........................................................
More informationCONTINUOUS CONTROLS MONITORING
Clarity. Certainty. Confidence. CONTINUOUS CONTROLS MONITORING Support Regulatory Compliance Improve Cost Management Drive Operational Performance Executives today are more challenged than ever to make
More informationRethink, Reduce, Recover:
Rethink, Reduce, Recover: Provided by: In search of reduced costs, increased visibility and improved cash management, a growing number of companies are automating their accounts payable operations. However,
More informationPRAGMATIC SOFTWARE GOVERNANCE
PRAGMATIC SOFTWARE GOVERNANCE DISCOVER HOW DYNAMICALLY CONTROLLING YOUR LICENSE ESTATE LEADS TO A SOFTWARE BALANCE AND PROTECTS YOUR ORGANIZATION GEOFF COLLINS MARTIN ANDERSON 1E APRIL 2011 ABSTRACT: This
More informationIBM Tivoli Asset Management for IT
Cost-effectively manage the entire life cycle of your IT assets IBM Highlights Help control the costs of IT assets with a single product installation that tracks and manages hardware, software and related
More informationThought Leadership White Paper
Thought Leadership White Paper Introduction Contracts form the foundation of all businesses and every business relationship. They define every aspect of a business s activities procurement, sales, marketing,
More informationThe ROI of Incentive Compensation Management Making the Business Case
Incent Perform Grow The ROI of Incentive Compensation Management Making the Business Case Any organization looking to increase the accuracy, improve the efficiencies, and increase the analytic capabilities
More informationSarbanes-Oxley Compliance A Checklist for Evaluating Internal Controls
Sarbanes-Oxley Compliance A Checklist for Evaluating Internal Controls Companies today are immersed in audits of their internal controls and financial processes in an effort to comply with Section 404
More informationLeveraging Accounts Payable Automation as a Service www.esker.com
Leveraging Accounts Payable Automation as a Service www.esker.com Table of Contents Introduction...3 Executive Summary...4 Challenges in Accounts Payable...5 What is the problem...5 How big is the problem...6
More informationMDaudit Compliance made easy. MDaudit software automates and streamlines the auditing process to improve productivity and reduce compliance risk.
MDaudit Compliance made easy MDaudit software automates and streamlines the auditing process to improve productivity and reduce compliance risk. MDaudit As healthcare compliance, auditing and coding professionals,
More informationTransforming Accounts Payable through Automation
Transforming Accounts Payable through Automation Loren Zadecky, KeyBank, Senior Vice President and Head of Commercial Payables Strategy Adoption of Accounts Payable (AP) automation has been slow, with
More informationAP Automation and SAP. An Industry Perspective and Lessons Learned in the SAP ERP market
AP Automation and SAP An Industry Perspective and Lessons Learned in the SAP ERP market Introduction Ron Kelley Principal and VP Business Development ron.kelley@docusphere.com Premise The problems we have
More informationB Resource Guide: Implementing Financial Controls
What s in this Guide: I. Definition: What are Financial Controls? II. Why Do You Need Financial Controls? III. Best Practices: Financial Controls to Consider I. Definition: What are Financial Controls?
More informationContinuous Monitoring and Case Management For SAP: Prevent Errors and Fraud in your most important Business Processes
REMEDYNE Continuous Monitoring Document Version: Rel. 1.6 2015-09- 07 Continuous Monitoring and Case Management For SAP: Prevent Errors and Fraud in your most important Business Processes TABLE OF CONTENTS
More informationAccounts Payable SMBs and their pain points
Accounts Payable SMBs and their pain points A survey of Finance departments in small and medium-sized businesses in Europe Canon (UK) Ltd Canon (UK) Ltd Canon Ireland canon.co.uk Woodhatch Reigate Surrey
More information<Insert Picture Here> PeopleSoft Financial Management Solutions 9.1 and Roadmap into Release 9.2
PeopleSoft Financial Management Solutions 9.1 and Roadmap into Release 9.2 Tom Vassallo Oracle Application Consulting The following is intended to outline our general product direction.
More informationAccounts Payable E-Payments Creating Value and Efficiency in the Payment Disbursement Process
Accounts Payable E-Payments Creating Value and Efficiency in the Payment Disbursement Process Overview of the CPS e-payments Program The CPS E-Payment Solution enables clients to automate the disbursement
More informationData Mining/Fraud Detection. April 28, 2014 Jonathan Meyer, CPA KPMG, LLP
Data Mining/Fraud Detection April 28, 2014 Jonathan Meyer, CPA KPMG, LLP 1 Agenda Overview of Data Analytics & Fraud Getting Started with Data Analytics Where to Look & Why? What is Possible? 2 D&A Business
More informationStreamline your processes with the OnBase Integration for Lawson
OnBase Integration for Lawson Streamline your processes with the OnBase Integration for Lawson Optimize your Lawson business processes organizationwide with OnBase Seamless integration. That s what you
More informationS24 - Governance, Risk, and Compliance (GRC) Automation Siamak Razmazma
S24 - Governance, Risk, and Compliance (GRC) Automation Siamak Razmazma Governance, Risk, Compliance (GRC) Automation Siamak Razmazma Siamak.razmazma@protiviti.com September 2009 Agenda Introduction to
More informationGOVERNANCE: Enhanced Controls Needed To Avoid Duplicate Payments
GOVERNANCE: Enhanced Controls Needed To Avoid Duplicate Payments Audit Report OIG-A-2013-018 September 20, 2013 NATIONAL RAILROAD PASSENGER CORPORATION Office of Inspector General REPORT HIGHLIGHTS Why
More informationFinding Nirvana in AP Automation and Outsourcing
WHITE PAPER Finding Nirvana in AP Automation and Outsourcing Gaining Control By Letting Go Nirvana: Joy, freedom from pain and worry an end to suffering. Suffering is something with which many Accounts
More informationMinimize Access Risk and Prevent Fraud With SAP Access Control
SAP Solution in Detail SAP Solutions for Governance, Risk, and Compliance SAP Access Control Minimize Access Risk and Prevent Fraud With SAP Access Control Table of Contents 3 Quick Facts 4 The Access
More informationAudit of the Administrative and Loan Accounting Center, Austin, Texas
Department of Veterans Affairs Office of Inspector General Audit of the Administrative and Loan Accounting Center, Austin, Texas The Administrative and Loan Accounting Center needed to strengthen certain
More informationRisk Management in Role-based Applications Segregation of Duties in Oracle
Risk Management in Role-based Applications Segregation of Duties in Oracle Sundar Venkat, Senior Manager, Protiviti Tai Tam, Accounting Manager, Electronic Arts Core Competencies C23 Page 0 of 29 Agenda
More informationAccounts Payable Automation: Top 9 Reasons to Automate: The Essential Guide to Why Your Business Needs to Automate its Invoice Processing.
Whitepaper Accounts Payable Automation: Top 9 Reasons to Automate: The Essential Guide to Why Your Business Needs to Automate its Invoice Processing. June 2014 Overview Reducing costs, improving performance,
More informationInternal Controls Best Practices
Internal Controls Best Practices This list includes the most common internal controls applied by small to medium sized businesses to their operations. It includes controls that apply to the processes most
More informationOFFICE OF AUDITS & ADVISORY SERVICES ACCOUNTS PAYABLE VENDOR MASTER FILE AUDIT FINAL REPORT
County of San Diego Auditor and Controller OFFICE OF AUDITS & ADVISORY SERVICES ACCOUNTS PAYABLE VENDOR MASTER FILE AUDIT FINAL REPORT Chief of Audits: Juan R. Perez Senior Audit Manager: Lynne Prizzia,
More informationHow to set up a people based. accounting system that makes your. small business work for you. Thomas G. Post. Certified Public Accountant 281-351-2688
How to set up a people based accounting system that makes your small business work for you. By Thomas G. Post Certified Public Accountant 281-351-2688 www.texastaxman.com 1 Title How to set up a people
More informationImproving sales effectiveness in the quote-to-cash process
IBM Software Industry Solutions Management Improving sales effectiveness in the quote-to-cash process Improving sales effectiveness in the quote-to-cash process Contents 2 Executive summary 2 Effective
More information