May 31, 2007
Uncategorized
The last days have seen some fierce debate among some of my colleagues around the area of governance, risk and compliance or GRC in SAP-speak…. James piece was followed by a light hearted dig by Vinnie Mirchandani.I find the title of James post worrying: SAP Grocks Governance Risk and Compliance: the new ERP…. Somehow I don’t think so.Vinnie’s position is that if SAP (or anyone else for that matter) is claiming to help protect my enterprise from falling foul of regulation or the ministries of the likes of Greenpeace then the vendor is adopting the position of insurer and should behave accordingly – and expect to be sued in the process.
…The counter argument may be the potential for audit cost savings but there is precious little evidence of auditors prepared to moderate their costs.But then compliance doesn’t stop with audit and if SAP is trying to run the entire gamut then it is biting off a very big set of problems which might be worth some extra.In an additional post, Thomas draws attention to Hackett Group research, suggesting that best practice companies have reduced relative financial compliance cost…. But then there are plenty of other providers out there offering solutions to that problem.Since US companies in particular have already been through the torture of SOX compliance, I doubt they’d be inclined to re-implement procedures that already exist…. Why else do you think there is a UK tax amnesty in place for those hiding assets abroad?Most errors don’t occur because of systems failure – at least not these days…. That’s why we have audits.I’ve seen some of the questionnaire stuff SAP has in place and I wonder whether there is a risk of over controlling. Where for example are the systems that will help you figure out whether a process is over controlled?Rather than taking a fire blanket approach, isn’t it better that GRC be assessed from a quality perspective that allows companies to evolve?
Read the full article →
May 30, 2007
Uncategorized
The results of an ICAEW sponsored survey claims:…one in ten UK fund managers and one fifth of US fund managers have more confidence in UK audited financial information than twelve months ago.20% of US fund managers and 20% of UK fund managers say that they have more confidence in US audited financial information over the same period.94% of UK fund managers who expressed a view had a great deal or a fair amount of confidence in UK audited financial information. 95% of US-based fund managers who expressed a view said that they had a great deal or a fair amount of confidence in US audited financial information.
Read the full article →