Logan Construction Company needs to put in place mechanisms that ensure effective internal control in acquisition and finance to ensure improved methods of operation. These mechanisms need to be both short term and long term improvements in transparency and accountability. One of such short-term strategies would be the establishment of a proper filing system. Since the CEO signs blank checks, there needs to be a filing system that ensures the invoices paid for during the CEO's absence are accounted for to prevent double payment. What this could mean on the other hand is improved levels of inspection on the part of the CEO. She should ensure that all the blank checks left behind are appropriately accounted for. Another short-term strategy would be the creation of a central data collection central to anti-fraud and waste policies. By creating a primary data collection center, it becomes easy to establish and detect such cases as of the double entry of invoices, thus blocking the possibility of the controller double billing the invoices.
Regarding long-term strategies, Logan Construction should put in place a modern technology mechanism such as predictive analytics. The use of technological modes of payment and fling also enables the scrutinization of individual employee roles ensuring transparency in their duties. This not only holds the employees to account for their dealings but also ensures that transactions are properly documented and easy to access. As such, it becomes easier for the CEO, as well as any other relevant employee, and the auditing team to obtain the information therein. Talking of predictive analytics, the company also needs to put in place an effective auditing strategy. Auditing not only needs to be periodic but also thorough at every department level. This also promotes openness and transparency even at such low levels as the controller's level.
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