How much do you spend on your audit solution? How many of your staff know how to use your audit solution capably? Are you aware of missing invoices in your accounts payable department?
In September 2017 we were contacted by one of our top clients from Kenya about an audit solution. The audit solution in use in his company was implemented by some specialists from South Africa and this cost about 30M per month. The solution had convolutions and therefore majority of his staff couldn’t deftly use it. They relied on the few staff who could run the solution, thus led to inefficiency.
We had a conversation with the top team and informed them about how they can use their available tools to run an audit solution without having to purchase any additional software. Using Microsoft office applications that are cost effective and quite easy to use.
In November, our team connected the audit solution to the financial data management system. We run the solution and our client was able to make all the required financial reports on time
How the audit solution works
The solution connects to any data management system; from web, relational databases like MS Access, SQL, MySQL. Our Business Intelligence team works with the IT department to access these data systems with the required credentials provided to install it onto the machines
After establishing a connection with your core system, it lets you make all your reports for instance financial reports like financial statements, gap analysis report, duplicates report, Benford’s rate analysis report.
A read-on copy can be created that can be accessed when there’s no connection to the database. This means that one can access the reports made by the solution but can’t tamper with the data.
Why summitBI Audit solution
Our client was using audit systems that are too complex to understand hence delay in service delivery as well as inefficiency as compared to our solution which has an easy user interface. It is also referred to as self service system since once installed everything is at your disposal.
He was amazed by the ability of the audit solution to automate data cleaning, data structuring once connected to the data system. Given that auditing requires clean well-structured data. Therefore, one needs to work at it before auditing.
What is gap Analysis? Why Gap analysis.
As revealed by our client, missing invoices are one of the most frustrating issues in the accounts department. Invoice numbers are sequentially generated for example if you have an invoice numbered 1, the next time you generate an invoice it will be numbered 2.
In spite of the sequential generation of the invoice numbers, some accounting officers maliciously or accidentally tamper with the invoices. Therefore, identifying and tracking down missing invoices keeps most of the top financial officials up in the night.
Using gap analysis however helps identify these missing invoices as you will see later on. Our client’s Financial system had a database that contained a couple of tables and among the tables was the accounts table that had the invoice data like invoice numbers, date posted, date raised, amount and others as shown in figure 2
When you look closely at figure 2 you realise that invoice number 23956 is missing from the list in spite of the sequential generation of the invoice numbers, After running our audit solution, we identified the missing items in the system which were over 1723 invoices yet it cost just a pinch of our client’s petty cash purchasing it.
The red rectangle shows a missing invoice since the invoice numbers aren’t following the expected pattern.
After extracting the first and last invoice numbers, the solution tracks down the missing invoices.
Below are the identified missing invoice numbers in the system. Furthermore, with our solution it’s possible to identify the dates with missing items.
With this report its therefore easier to track down when and why invoices are missing. With our self-service business intelligence, we can work with you to effectively and efficiently find the gaps in your data. Don’t let your data lie to you. Know what’s hidden behind it. Then action can be taken accordingly
Would you like to learn more about our audit solution?
Make an appointment for a demo with us about our audit solution. You can as well let us know about any feed back in relation to this article. We look forward to working with you.