Ramos International is a rapidly growing hotel chain that is seeking to implement stronger internal controls for its newest 300-room complex in Virginia. In doing so, the firm’s information systems team must determine what the advantages and disadvantages are in relation to segregation of duties. It must also find the best correlation between cost-benefit analysis and the accuracy of records. Prioritizing the order of the firm’s internal controls will help to establish the strongest foundation of security and help to eliminate the potential for theft and fraud within the firm.
Segregation of Duties Dividing up the duties between multiple employees within the firm is essential for ensuring that the firm’s money matters are handled properly and legitimately. While it would be a simpler task if only one employee was in charge of all aspects of a given job area, this is not the safest manner to ensure that the firm’s finances and internal data a secure. Take Ramos’s Purchasing procedures for an example. The safest division of the purchasing procedures is to divide the steps into categories and have differing individuals in charge of those steps.
The Merchandise Buyer would be in charge of issuing requisitions for goods, the Purchasing Manager would be in charge of approving that issued invoice, the Accounting clerk would be in hare of updating AIS, and the firm’s Storekeeper/Inventory controller would be in charge of receiving the goods. This type of segregation of duties helps to ensure that multiple members of the firm’s staff are held accountable for products and funds thereby reducing the risk that fraudulent behavior will occur.
The Review on Effect of mergers and acquisitions on performance of firms
Introduction Background of the Study As pointed out by Agrawal, Jaffe and Mandelker (1992), decisions on mergers and acquisitions are highly critical in the success of companies, as well as their managers. Numerous corporations always find that one of the best means of getting ahead is expanding the ownership boundaries via the mergers, as well as acquisitions. Mergers and acquisitions result into ...
Cost-Benefits versus Accuracy Ramos is dealing with an issue of inaccurate time reporting that is resulting in a substantial loss to the firm. It has been decided that the best route to resolve this issue will be to have a new system for reporting employee time implemented. The firm has determined that the most effect cost-benefit process will be the access card system. With this system, employees will swipe in and out on terminals when they enter and leave the facility.
This allows for a more accurate account of where they are and how long they are actually on the clock. It will also serve to lessen the number of accounting errors associated with the current manual payroll department system. Prioritization of Controls Ramos must determine the most effective order of implementation for the new controls that will be in place as well as determine which system is of the greatest importance to the firm.
The most recent risk analysis done by the firm has determined that the controls will be secured in the following order: Computer Network secured with a computer security certification, the Building secured with a Trained In-house security team, and the Cash secured through daily bank deposits. While there are many other security measures that can help Ramos with its internal control needs, choosing to prioritize the current computer, building, and cash with the stronger controls meets the firm’s needs at a financial rate the helps balance its cost effectiveness as well. Summary
Ramos International and its management team have seen the need for changes and updates to its internal control systems. By adhering to the basics of accounting controls and expanding into modern, computerized control technologies, the firm has shown that it is able to stay one step ahead of those that would seek to defraud and steal from the firm. Ramos believes that as time goes by and they experience the growth that they are anticipating further changes to the internal controls will need to be implemented. When that time arises, Ramos and its team of strong leaders will be there to lead the way to change.
The Essay on Operating System Internet Time Real
UNIX is one of the most popular operating systems worldwide because of its large support base and distribution. It was originally developed at AT&T as a multitasking system for minicomputers and mainframes in the 1970's, but has since grown to become one of the most widely used operating systems anywhere, despite its sometimes-confusing interface and lack of central standardization. RTOS (A ...