One manager for both Cash AP 2298
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HI,
We are in Container finance business and our financials are in SAP.
As part of SOX team we are to advise our CFO - Can the one person lead both AP and the treasury team? in other words Can both AP as well as the treasury team report into the same Manager ? Is there any issue /challenge from a SOX/controllership perspective.Your advise will be of great help.
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In principle you could have one person lead both teams, provided that:
- no individual has access to both processing invoices and paying them, including the team leader.
- appropriate recs are perfromed independently of those doing the processing e.g. bank rec done outside of this team
- appropriate review and approval of payment runs happens
- additional review of ‘manual payments’ is required
- segregated processing of purchase orders and goods receiving
It may be the case that, especially for PO-type invoices, where you have a 3-way match enforced by the system (SAP does this) that payments are largely automated and that the control is enforced through invoices needing to be matched to a PO and goods received documentation. Here your main risks are either: - non-PO invoices i.e. for services, rent, etc where there would be no GRN
- any overrides to the 3-way match (outside an appropriate tolerance)
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Thanks a lot for you inputs, I will put these points in my meeting.
Best Wishes,
Ashish