普华永道-财务管理最佳实践课件

1、Best Practice Financial Processes：普华永道-财务管理最佳实践 Content1. Best Practice Financial Processes: Fixed Assets2. Best Practice Financial Processes: Cash Management3. Best Practice Financial Processes: Project Accounting4. Best Practice Financial Processes: Accounts Receivable5. Best Practice Financial Pr

2、ocesses: General LedgerFixed Assets - Best Practice ObjectivesFixed AssetsObjectivesTo maintain a complete register of all the organisations fixed assets which reflects location, age, current values, associated cost centresTo calculate depreciation consistently with financial reporting requirementsT

3、o optimise replacement policiesTo minimise ownership costsOrganisationAsset recording integrated with maintenance and non financial dataCentralised asset accountingAsset ownership devolved to business unit levelPeopleControl focusedChallenge asset requisition proposalsProcessesMaintain asset registe

4、rAcquisitions and disposalsDepreciation chargeVerifying asset baseMaintaining of valuation basisControlsAsset verificationAsset valuationAcquisition and disposal authoritiesMeasuresNumber of assets maintainedCost of departmentElapsed time to record assetInformation SystemsAsset ledgers integrated wi

5、th GL and APDepreciation and project control by cost centreAutomated depreciation calculationMaintain fixedasset registerControl acquisitionsand disposalsManage periodicasset depreciationVerify and valueasset baseProcess FeaturesDetermine asset categories for internal and statutory purposesMonitor a

6、sset maintenance chargesApply insurance valuation to key assetsEnsure asset responsibility at BU levelIdentify asset usage Set up appropriate control of asset acquisition and disposals across companyReport on acquisitions and disposals on a monthly basisMonitor tax issues related to acquisitions or

7、CIPEnsure BU responsibility for assets in their use and for disposal lossesDepreciate at point of asset useApply depreciation rules to asset classesDepreciation rates in management accounts in line with statutory ratesLinks asset depreciation to production and product costs/developmentRevalue key as

8、sets on a regular basis based on book value and high riskComprehensive asset verification on regular periodic or rolling basis where asset cannot be verified via technical assumptions (most telcos do not verify network assets: the fact that the network works is verification enough)Verify non capital

9、ised assetsSystem FeaturesOn line asset register holding key data and current cost allocationCost code validation with GLAutomatic links to AP and Project Accounting system to capture acquisitionsRevaluation of features and mass transfers of assets to new cost centresLeased asset features compliant

10、with accounting standardsAcquisition linked to purchase order and accounts payable ledgerDisposals linked to sales ledgerCIP linked to capital project accountingEffective tax management integrated with the fixed assets systemDepreciation charged automatically to cost centres in GLForecast asset depr

11、eciation for budget purposesVariable depreciation rules for classes of assetsAssets can be grouped for depreciation rulesVariable asset valuation mechanisms eg historic, current replacementComplete asset reports by physical location and cost centreReport on identified or missing assetsHold non capit

12、alised physical assists for verificationBar coding of assets for verificationFixed Assets - Best Practice FeaturesFixed Assets - Measures/Cost DriversNo of Business Unit FTEs per Fixed Assets FTE90 percentileMedian10 percentile5,2001,40035010 percentileMedian90 percentile731151Cost driversFixed Asse

13、ts cost per Business Unit FTE (in s)Median14 days90 percentile40 days10 percentile1 dayFixed Assets processing timeComplexity of assetsNumber of assets on registerNumber of asset movementsComplexity of depreciation policiesComplexity of authorisation proceduresRange of data heldNumber of users of da

14、ta rangeSource: Statistics taken from Benchmarking database: 21 February 1997Separate fixed assets moduleLack of asset ownershipCost of asset usage not attributed to productPerformed by Finance DepartmentIntegrated systems for:Asset tracking via Geographical Information System (GIS)Asset usageNetwor

15、k Capacity PlanningAsset MaintenanceCapital project planning and controlProduct/service costingBU responsibility for ownershipFromToFixed Assets - TrendsFixed Assets - Critical Success FactorsThese are a summary of the key business requirements, which must be met to achieve the objectives.Asset acco

16、unting policies clearly documentedAppropriate coding by asset category establishedAuthority levels clearly definedProcedures surrounding Fixed Asset process are documented and communicated to staffBudgets in place for capital expenditureAll existing assets identified and classifiedStaff trained in F

17、A process and have clear roles and responsibilitiesStatutory and tax requirements understoodFA calendar in place and communicated to staffStanding data set up on the system reflecting asset accounting policiesAbility to model depreciation scenarioFixed Assets - Level 2 FA1.1 Maintain Standing DataFA

18、 1.11 Raise requestFA 1.12 Prepare formal requestFA 1.13 Review and approveSub Processes / NotesFA 1.14 Set up new codes / dataSend request to FA accountant by e-mail with full explanation / reason for requestEvaluate request against current FA Register to identify actual need for new standing dataR

19、aise request and attach originalEvaluate requestCommunicate acceptance or rejection to originatorSet up standing data by FA AccountantReview set-up data and codes periodicallyFA 1.15 Notify affected users and groupsChanges inFA PoliciesandProceduresRequestFormal requestAcceptedrequestRejected reques

20、tActionedrequestFA RegisterstructuremaintainedAmend/updateasset typesor categories Raise requestFA 1.11Prepare formal requestFA 1.12Set up new codes / dataFA 1.14Notify affected users & groupsFA 1.15Send formal notification of set-upNotify that request rejected and whyChangerequestproceduresChangere

21、questproceduresAuthorisationrulesSystemvalidationcontrolsNotificationproceduresRequesterFA AccountantFinance ManagersFA AccountantFA AccountantReview and approveFA 1.13Fixed Assets - Notes on Maintain Standing DataBest Practice FeaturesAsset accounting polices clearly documented; Master Data set up

22、on the system to reflect these policiesAppropriate coding by asset category establishedProcedures surrounding the Fixed Asset process are documented and communicated to staff including requirements for issuing new codesAsset Register Rules incorporated into Master File, which control issues of new n

23、umbers within structured coding schemeStaff trained in Fixed Asset Accounting processes and have clear roles and responsibilities. They should have a good understanding of network and engineering areasSupervisory staff understand statutory and tax requirementsInternal Control RequirementsOnce entere

24、d, updates should be verified against the original requestsCodes will be received from the Master File and updates will be confirmed against the Master FileThe system will check that all required data fields are completeThere must be supervisory review for Master Data updatesKey Performance Indicato

25、rsSpeed of update: time from receipt of request to modification and verification of records: this should not exceed one dayNumber of input errors when asset details are validated: this should be zeroCost DriversComplexity of assetsNew types of assetsNumber of changes to physical location codingFixed

26、 Assets - Level 2 FA1.2 Add AssetsFA 1.21 Input automatic dataFA 1.22 Input manual dataFA 1.23 Add additional informationFA 1.24 Post asset detailsSub Processes / NotesReceive asset addition notifications from AP into FA RegisterRun interfaces with AP to transfer invoice linesTag/label asset with un

27、ique identifierManually enter assets which do not have invoice informationIdentify assets as ; WIP;Expenses; andCapitalised assets.Add additional asset datail to lines e.g.assign asset categories;split or merge assets; andadd to existing as cost adjustment.Assign asset lifeAssign asset to department

28、al manager, location Post prepared lines to fixed asset registerAssets from AP orProject AccountingAsset additionnotificationAP lines withSkeleton detailsAP lines with additional informationAdded AssetsUpdated FA RegisterFA register structuremaintainedFA register structuremaintainedGL a/c maintained

29、 for additionsInput automatic dataFA 1.21Add additional informationFA 1.23Post asset detailsFA 1.24Input manual dataFA 1.22System controlsAccounting policiesAccountingPoliciesSystemControlsAP SystemFA accounting staffSystem controls & accounting policiesFA accounting staffFA accounting staffFA accou

30、nting staffCost centre managersFixed Assets - Level 2 FA1.5 Perform Period End RoutineSub Processes / Notes FA 1.52 Calculate depreciationFA 1.53 Post depreciation to GLFA 1.54 Reconcile accountsFA 1.55 Send monthly reports to asset ownersCalculate cumulative depreciation to date in the year based o

31、n current asset register with reference to relevant asset rulesPrepare all postings for GL e.g. additions, disposals, depreciation, adjustmentsPost to GL automatically Reconcile Asset register to Balance SheetReport on adjustments / corrections required Generate standard month end asset / depreciati

32、on report for relevant managersReportsUpdated FAregister & reportsReconciled GLaccountsDepreciationamountsFA interface with GLAdjustmentsCalculate depreciationFA 1.52Postdepreciationto GLFA 1.53ReconcileaccountsFA 1.54Spend monthly reports to asset ownersFA 1.55Depreciation policiesMaintenance polic

33、iesSystems controlsMonth end reconciliationPeriod end timetableCost centre analysisPeriod end timetableFA accounting staffFA accounting staffFA systemFA accounting staffFA accounting staffFA systemAdjustmentsFixed Assets - Notes Depreciation calculation Best Practice featuresIntegrated fixed asset s

34、ystems to calculate depreciation charges for tax and accounting purposesDepreciation rates by asset category are based on useful life of the asset, rather than designed to meet accounting requirements onlyConsistency of depreciation methods and rates across the businessInternal Control requirementsR

35、esults of depreciation run compared to expected amounts (from budget or forecast) to identify potential errors and over-runsUpdates to assets depreciation information must only be accepted if properly authorised and consistent with management/tax policyKey Performance Indicators Time taken to update

36、 depreciation data in fixed asset register at period close Reconciling items on depreciation accounts: should be zeroCost DriversNumber of depreciation ratesNumber of assetsFixed Assets - Notes Perform Period End RoutineBest Practice FeaturesAutomatic data flows between ledgers, e.g., between Fixed

37、Asset Register and General Ledger, Project Accounting, etc., to remove manual reconciliation effortSystem allows assets to be grouped or desegregated for reporting purposesInternal Control RequirementsSystem internal controls (e.g. user profiles)Timely and accurate clearance of system reject reports

38、Reconciliation of budget Vs. actual period end totalsReconciliation of movement in fixed asset accounts for the month (e.g. new NBV = old NBV + additions - disposals - depreciation)Key Performance IndicatorsTime taken to close Fixed Asset Register at period endTime taken to complete the GL/FA reconc

39、iliation Differences during reconciliationTime to print out the period end reportsCost DriversNumber of asset recordsCPU time for generation of reportsReconciliation required to clear General Ledger mis-matchesNumber of necessary changes during reconciliation with General LedgerFixed Assets - Level

40、2 FA1.6 Verify Physical AssetsFA 1.61 Compile accurate data for asset verificationFA 1.62 Conduct inventory checkSub Processes / NotesFA 1.63 Highlight exceptionsFA 1.64 Track asset history & reconcileFA 1.65 Update FA register & prepare GL journalsValidation checks on FA registerCompile FA reports

41、to required specificationsConduct inventory check / FA verificationComplete formal check reportsIdentify book value and physically check variancesReport differences Track asset histories / audit trialReconcile differencesEnter write-off on FA register via adjustment or disposal journals Updated FAre

42、gister &reportsComplete listfor InventorycontrolFeedbackon itemsheldItems to be furtherinvestigatedIdentifiedcorrectionsVerified FAregisterAuthorisedGL adjustmentsCompile accurate data for asset verificationFA 1.61Conduct inventory checkFA 1.62Highlight exceptionsFA 1.63Track asset history and recon

43、cileFA 1.64Update FA register & prepare GL journalsFA 1.65Verification timetableInventory control systemInventory control systemAudit trialAuthorisation for write offsFA accounting staffInventory staffFA accounting staffFA accounting staffFA accounting staffFA accounting staffFixed Assets - Level 2

44、- FA 1.7 Answer Adhoc QueriesReceive request for adhoc reportsFA 1.71Produce reportsFA 1.72FA RegisterFA accounting staffFA systemsRequest for adhoc reportsReportsFA Report routineReportsSystem controlsFA register routinesFA accounting staffFA systemsCost centre managersFA 1.71 Receive request for a

45、dhoc reportsFA 1.72 Produce reportsSub Processes / NotesReceive non-standard specificationPrepare reports routinesGenerate reportsFixed Assets - Appendix 1 : IDEF Process FlowThe diagram below provides a key to the process diagrams used in this document.Process / activityControls(i.e. ProceduresStan

46、dardsRequirements for rework)Output(i.e.InformationMaterial)Resources(i.e.PeopleFunctionsIT systemsMachines)Input(i.e.InformationMaterial)Best Practice Financial Processes: Cash ManagementCash Management - Best Practice ObjectivesCash ManagementObjectivesOrganisationPeopleProcessesControlsMeasuresIn

47、formation SystemsManage short term liquidity and long term funding requirementsMinimise companys cost of capitalEfficiently manage the processing of cash transactions Effectively forecast cash requirementsManage petty cash efficientlyCentralised cash office & poolingIntegrated with Accounts function

48、sRecord/manage receipts and paymentsManage cash positionPerform reconciliationsPerform period end closing & reportingPolicies & ProceduresBank liaisonAuthorisation limitsInternal controlsSpeed of reportingAccuracy of forecastingReturn on CapitalIntegrated bank account with sub-ledgersAutomatic bank

49、reconciliationsOn-line/real timeCash forecastingCash management skillsLiaison with financial institutionsProcess FeaturesSegregate cash management from accounts receivable and accounts payable functionsLocalise cash collectionMinimise level of petty cash requirementsTransmit mechanisms evaluated on

50、cost and risk basisCreate netting arrangement with internal business partnersObtain pan-European banking facilities that allow netting off of account balancesMap cash collection and payment cycles, identify actions to minimise these periodsMinimum number of banking relationships maintained to ensure

51、 coverage and purchasing powerClear unmatched cash within 1 dayRegular reconciliation of all cash books. Maintain petty cash imprest systemsObtain access to on line bank statementsMonitor the cost of cash transmission mechanismsCash balances reported on a daily basis by account and business centresT

52、reasury determine short term cash requirements from cash forecast and daily reportCash surpluses managed by TreasuryPetty cash/foreign currency floats periodically auditedCompany loan accounts reconciled monthlyTreasury consolidate and manage cash forecast requirementsMonitor bank facilities to mini

53、mise interest payments and maximise receiptsForecast cash on a regular basis: rolling 12 month forecast - annual 5 year ahead reviewsCash Management - Best Practice FeaturesEstablish and maintain cash control mechanismsPerform bank reconciliationsReport andmanage cash balancesForecast cash requireme

54、ntsSystem FeaturesEDI used for majority of payments and receipts Comprehensive system security and password features for paymentMulti-currency systems.Transmission used for bank statementsBank remittance notices issued with sales invoicesElectronic reconciliation of bank statement and cash bookCurre

55、ncy rates available for sterling equivalentsIndividual bank account cash balance reports produced on a daily basisSummary consolidated cash reports available on-line to TreasuryIntercompany netting bank accounts reconciled automaticallyIntegrated enquiry from cash book entries to sub-ledgersAutomati

56、c production of cash forecast statements from commitment/accrual accountingProject analysis and control linked to finance systemsAnalysis by market share/product cost etcCash Management - Best Practice FeaturesEstablish and maintain cash control mechanismsPerform bank reconciliationsReport andmanage

57、 cash balancesForecast cash requirementsCash Management - Critical Success Factors These are a summary of the key business requirements, which must be met to achieve Cash management objectives.Electronic Interfaces with Accounts Payable, Accounts Receivable, Payroll and General LedgerEstablish and m

58、aintain good relations with banksAgree Finance terms Reconcile bank accounts on a regular basisEDI for the majority of payments and receiptsAutomated bank reconciliation systems and processesCash monitoring and forecasting techniques provide first class accuracyIntegrated on line systems to audit tr

59、ail cash transactionsOperate minimum petty cash and foreign currency floatsSeparation of Cash management staff duties from other finance operationsCash Management - Measures / Cost DriversMeasuresCost of CapitalNumber of bank accountsNumber of banking relationshipsNumber of outstanding reconciling i

60、tems 3 months oldDifference of interest rate of cash accounts vs. Money Market rates per currencyPercentage of cash transactions effected electronicallyNumber of days in obtaining value for fundsFloating days per bankCost of cash function as a percentage of total finance costNumber of cash transacti