Sarbanes Oxley

PSI's SARBANES OXLEY

Payable Systems, when used with your Accounts Payable system, is providing the following results in regards to Sarbanes Oxley requirements.



CONTROL OBJECTIVES:

• Ensure internal control exist over accounts payable to maximize ROI
• Ensure audit control over accounts payable to meet the Sarbanes-Oxley requirements
• Ensure accounts payable checks meet all contractual agreements prior to check writing
• Ensure maximum controls exist over merchandise received

ASSOCIATED RISKS:

• Data is entered into the system incorrectly
• Employees circumvent the system and approve a check that was in error
• A/P documents are misfiled, out of file, lost, destroyed or unavailable for what ever reason
• Complication of contractual agreements that prevent A/P from accurately approving invoices or approved when errors exist. Including:
  
  • Volume dollar discounts
  • Unit discounts
  • Select item rebates
  • Contract allowance issues
  • Payment processing errors
  • Payment application errors
  • Invoice price/cost errors
  • Product return errors
  • Rebate program application errors
  • Freight errors including:
  
  
  • Freight shipping error
  • Collect freight added to invoice
  • Unauthorized freight carrier
  • Excess freight-back orders
  • Freight rate charge error
  • Unauthorized pallet/container charges
  • unauthorized air freight
  • unauthorized up-charge, etc.
  
  
• Checks written to un-approved vendors
• Duplicate checks written for the same invoice
• Management approving checks without documentation, such as the P.O., receiving documents, contractual agreements and invoice
• Incorrect data received from dock personnel that effects A/P and inventory
• Multiple employees require access to files simultaneously
• Files need to be available to all authorized employees in remote locations
• Remote sites mishandling the entry of P.O.?s
• Improper payment of invoice caused by manual input or mishandling prior to payment
• Volume of invoices creates backlog resulting in payment errors and lost discounts
• After Pre-Audit is complete, an error is created by circumventing the system

SARBANES OXLEY CONTROL ACTIVITIES:

• Automatically enter all A/P documents with scan or an e-Portal process
• Automatically prevent employees from approving checks that have errors
• Automatically provide image files for review with proper authority
• Automatically provide pre-audit task comparing P.O.?s, receives, invoice and contractual agreements
• Automatically route check to correct vendor file for printing
• Automatically audit the invoice vs. all documents such as the P.O., receivers, contractual agreements, and the invoice prior to check writing
• Automatically provide management with the ability to review all documents prior to approval of checks. (P.O., Receiving data, Invoice, vendor profile)
• Automatically manage receiving documents
• Automatically provide the ability for all approved personnel to view documents with proper inquiry authority
• Automatically make A/P files available with proper security levels via a secure VPN
• Automatically allow remote sites to enter Purchase Order?s under system control with authority level
• Automatic input of all data
• Automated input of invoices eliminates backlog problem
• Automatic transfer of transaction data to a virtual post-audit system for complete review

INFORMATION AND COMMUNICATION:

• Provide access to all A/P documents with proper inquiry authority. Remote access via a secure VPN
• Maintain files as long as necessary for auditing purposes
• Allow the Vendor Management System to automatically review all Vendor terms, enabling application of those terms to the invoice tendered
• Provide virtual post audit capability

MONITORING:

• Pre Audit is the automated monitor that ensures correct procedures have been followed and applied
• All documents are accessible with proper inquiry authority
• Virtual Post Audit ensures that no transactions were circumvented after the pre audit was completed

Request for A/P Secure Product:   Information  or  Demonstration

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