Purchasing
WHY?
Purchasing involves acquiring goods and services necessary for the organization's operations. This process is crucial as it directly affects the organization's budget, quality of goods, and compliance with procurement policies. Implementing internal controls in the purchasing process is essential to prevent unauthorized purchases, ensure competitive pricing, and maintain accurate records. Effective internal controls enhance accountability, ensure compliance with budgetary constraints, and improve the overall efficiency of the purchasing function.
HOW?
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1. Segregation of Duties
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2. Procedural Controls
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3. Authorization Controls
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4. Documentation and Records
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5. Physical Controls
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6. Review and Monitoring
Q&A
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