FINANCIAL MANAGEMENT & REPORTING

Senior managers face several challenges across the enterprise in today’s audit environment. Beek Consulting, LTD will assist with unlocking greater insights within your organization through effective use of automation, leveraging analytics and connecting with other business units. Our goal is to bolster the rest of your organization by helping them with strategic data driven decisions by providing:

  • Advice and guidance related to Planning, Programming, Budgeting, and Execution (PPBE) phases
  • Technical review and analysis of transactional data and reports
  • Identification and resolution of exceeded thresholds and Key Performance Indicators (KPIs) across the enterprise.
  • Assistance with compiling the myriad of data through effective communication across the enterprise to produce your Agency’s Annual Financial Report.
  • Automating your agency’s reporting requirements to reduce manual processes, save time, and create reports and supporting evidential matter that can pass an audit.
  • Documenting policies and procedures to serve as a benchmark within your Enterprise Risk Management Program.

 

Beek Consulting, LTD is Agile, Responsive, and Results Driven. We don’t necessarily need a multi-million dollar contract. We’ll provided targeted results to the challenges you’re facing and can supplement any tiger teams you currently have in place.

AUDIT READY TOOLS

To assist with addressing internal control requirements, Beek Consulting, LTD leverages Adobe® Experience Manager Forms® as a solution to help standardize and streamline the process through automation for the agency and its related business processes. Through implementing Adobe®, an agency will be able to:

  • Capture and process information – reduce the total cost of automating critical business processes by helping to create easy-to-use forms that incorporate policy and workflow routing into the form, which can be used for monitoring and documenting internal control activities. This also allows for the electronic routing of evidential matter and other transactional support to a central storage repository location.
  • Communicate with the end user – generate more secure, personalized electronic and paper documents, improving user engagement and standards compliance while reducing costs. This streamlines and improves user correspondence from creation to archival for system-generated, on-demand, or interactive communications.
  • Protect content – guards the integrity and privacy of sensitive client and organizational information. It also improves the reporting entity’s regulatory compliance posture and user satisfaction by incorporating requirements, workflow, and the capability to document evidential matter into a single form.

 

Commander’s Audit Readiness Checklist*

Commanders use funding to execute DoD missions and are therefore responsible for the management of funds under their control. Local systems of record must be accurate and complete. To help the Department become audit ready, Commanders should begin military style readiness inspections of financial information, as several cycles of inspection and training may be needed to achieve success. Having accurate financial information will help Commanders prioritize, eliminate inefficiencies, and maintain a high degree of excellence with fewer resources.

 

While financial reporting is the responsibility of Comptrollers, the actual financial events are the result of actions in our logistics, acquisition, personnel and other communities. It is the responsibility of each Commander to ensure all elements of their organization have the controls and record keeping in place to become audit ready.

 

The Audit Readiness Checklist provides questions Commanders should ask leaders within their organization to ensure they have the records needed to make sound resource decisions and the Department has the records needed to succeed in coming audits. The checklist provides Commanders with the basic actions their organization should take to determine whether they are audit ready and, if not, identify areas for improvement. The checklist helps Commanders assess the efficiency of their organization and validate how well each function performs.

 

https://comptroller.defense.gov/Portals/45/documents/fiar/Commanders_Audit_Readiness_Checklist.pdf

 

*Beek Consulting, LTD does not own or lay any claims to the tool. All rights of ownership belong to the Office of the Under Secretary of Defense (Comptroller) OUSD (C). We are merely highlighting an excellence use of resources that all Commanders should adopt to become “Audit Ready.”

DATA ANALYTICS

In FY 2018, the DoD and most of its Components had a material weakness related to the financial statement compilation process. We have found that Agencies spend way too much time in compiling their financial statements. There’s the myriad of feeder systems and organizations are all using different tools to explain and analyze their data. Each profit center is running different general ledger line item queries from the reporting system, mapping in master data information, segregating the data by category, and creating pivot tables in order to review financial postings for completeness and accuracy.  The challenges are abundant – a lot of Excel reports, analytic silo’s, high dependency on a small group of analysts, data blending was difficult. Teams are dependent on queries, Access and Excel for data manipulation, it’s a very manual intense process. About 75% of your time is spent on data preparation and only 25% of your time is on actual analysis.

 

Financial teams will need new strategies for dealing with the large volumes of data and cannot rely on legacy methods of reporting and analysis in spreadsheets. These teams will need to implement new technologies and skill sets to keep up with the exponential increase in workload.

 

Beek Consulting, LTD will connect to all your disparate data sources from MS Excel, Access, SAP Hana, SQL Server, etc.… and the myriad of other sources that offices within your agency are using.

 

  • Completeness and Accuracy = Requires Better Reporting
  • We’ll make sure that the information you’re presenting is complete and accurate to confirm your financials that you report on are reliable. It’s imperative that Financial Reporting teams have an airtight process to validate data being used for audit operations – whether it’s significant estimates, calculations, account balance assertions and key controls.
  • Integrating Automation and Technology for Analytics
  • Today more than ever, less time is available to detect anomalies or outliers in financial reports. With potential human error in reports costing some Agencies millions, it’s crucial that teams are able to integrate new technology and deep analysis capabilities to catch anomalies before they impact the business.

 

Our goal is to save you time so that your staff are able to free themselves of the repetitive tasks in Excel, obtain more accurate results and spend time doing analysis to better understand the results of the data.

 

You’ve got standard analytics. You’re collecting data. But what you do with that data makes all the difference. We make hard things easy.

ENTERPRISE risk management

Our goal is to understand your organizations risk management practices and to align them with best practices. We’ll evaluate your program and if necessary, integrate internal controls into your financial operations in a risk-based and cost beneficial manner. We strive to provide reasonable assurance that the entities internal control over operations, reporting, and compliance is operating effectively. It all begins with the establishment of a risk profile and developing an ERM program framework for achievable success. The activities focus on establishing or strengthening risk management governance by clarifying and documenting roles, authorities, responsibilities, competencies, functional relationships, and practices for risk management across the organization. This includes, but is not limited to:

  • Creating a “tone at the top” which is critical to the success of all the other pieces of the internal control framework. Providing information and communication that’s relevant, reliable, and timely to appropriate personnel at all levels to ensure internal controls are flexible enough to respond to changes in the control environment.
  • Documenting end to end process narratives, flowcharts, and reviewing system documentation.
  • Creating an Enterprise Risk Matrix.
  • Establishing/Evaluating Internal Control Activities (Manual & Automated) – Policies, procedures, and mechanisms in place to help ensure that the Agencies objectives are met. These control activities include information include automated general and application controls over financial transaction balances within computer applications, and manual application controls performed outside of computer applications.
  • Monitoring internal controls through periodic reviews, reconciliations, or comparisons of data through the use of Test of Design and Test of Operating Effectiveness. This should be part of the
  • regular assigned duties of personnel and the normal course of business to confirm the control structure is operating as planned and fills all gaps that may exist.

RECONCILIATIONS

Metric reporting through Key Performance Indicators allows an organization to measure its efficiencies providing good stewardship of our tax dollars. Beek Consulting, LTD focuses on the attributes within your reports to evaluate their effectiveness in providing a true financial picture for your agency. Reconciliations must include detailed worksheets and documentation to provide an adequate audit trail for the resolution of differences. We can assist your agency in evaluating and providing measurable results in the following:

  • Aged Accounts Payable and Receivables
  • Negative Payables
  • Contract closeout and Negative Unliquidated Obligations
  • Tri-Annual Review Process
  • Fund Balance with Treasury Reconciliations
  • Blocked invoices
  • General Ledger Account Code Tie-Point reconciliations to validate trial balance data

DEFICIENCY REMEDIATION

Beek Consulting, Ltd will help your agency resolve any Notice of Findings and Recommendations (NFR) identified by the Audit firm. We’ll drill down to the issue and perform a Root Cause Analysis based on the deficiency. From there, we’ll communicate the issues with your team members and collectively develop a Plan of Action and Milestones to layout an actionable timeline. Once this is achieved, we’ll perform compliance testing based on the frequency of the internal control within the business process until it’s been determined the internal control passes the test of design and test of operating effectiveness. Closing an NFR is no small effort and Beek Consulting, Ltd can help your agency with:

  • Documenting policies and procedures
  • Identifying proper Evidential Matter that supports a transaction
  • Creating Adobe Smart forms that provide Completeness and Accuracy of a transaction as well as a repository for EM
  • Developing a Risk Control Matrix
  • Developing and Testing Internal Controls
  • Completing tasks to close a Corrective Action Plan (CAP)

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