efficiencies

Hot career path: Internal auditor

Tue, 15 Jan 2008 06:59:59 -0500

We've noted that accounting as a profession has been given a boost by Sarbanes Oxley. To get a bit more specific, internal auditors have been enjoying something of a bull market for their services. KPMG notes that management increasingly is asking internal audit managers to find ways to help achieve strategic objectives. Clearly, the role has expanded way beyond internal controls assessment. Executives, at big companies anyway, have generally bought into the notion that compliance done right can yield strategic and operational windfalls. Of course someone has got to find the synergies and efficiencies. Increasingly, that would be the internal auditors.

For more:
- here's an article from KPMG

It pays to think about compliance broadly

Mon, 16 Oct 2006 20:01:39 -0400

Here's a new acronym for you: GRC. Which stands for governance, risk and compliance. Increasingly, these functions and responsibilities are merging, often confusingly. You've likely given some thought to the notion that the platform created for 404 compliance could be put to other uses--to support other control and monitoring activities. The need for efficiencies in these areas is driving a lot and leaves plenty of room for you to be forward thinking. You will look very smart if you drive collaboration across GRC disciplines. The term risk-intelligent has cropped up to refer to coordinated processes relating to GRC activities. A key benefit you might want to tout is the added ability to address the myriad what-if questions that all boards have to be aware of these days.

For more on this:
- Here's an article from Business Finance

The real costs of Sarbox compliance

Mon, 16 Oct 2006 20:01:39 -0400

So what is really driving the costs of compliance? A new survey from the Institute of Management Accountants has identified the following: 1) a lack of useful guidance from the SEC or other organizations about what constitutes effective internal control--COSO is apparently not enough--and 2) Redundant testing by auditors and internal Sarbox resources--the survey suggests that the idea of achieving efficiencies via an integrated audit of internal control incrementally along with the traditional financial statement audit has yet to be put into practice. As fate would have it, planned SEC guidance to help companies comply with Section 404 is scheduled to be discussed at a Dec. 13 meeting. Actual release could be far in the future, however.

For more on the survey:
- Here's a press release

Sarbox effecting IT policies

Mon, 21 Aug 2006 20:01:39 -0400

You've probably heard a bit about the positive consequences of Sarbox, such as renewed investor confidence. Well, there may be positive side effects on the IT side as well. For example, fewer accounting firms are bidding for IT-related projects and as a result, the IT consulting field has opened up. Internally, there seems to be a larger wall separating accounting and IT. However, the broader picture has to do with IT governance, the model by which firms manage far-flung technology deployments. Some have successfully created efficiencies as they have sought to more tightly control IT processes.

For more on Sarbox's effects on the IT side:
- here's some perspective from Enterprise Networks & Servers