Fred Zajac

In my opinion, the worst type of auditor from Dr. Glebstein’s list is “The Bureaucrat”. The Bureaucrat is described as an auditor who “sells” projects to the business but doesn’t produce the proper return on investment. The Bureaucrat is an illusionist, who seems to have a company sponsor / budget for IS/IT projects. Instead of focusing /…[Read more]

Given the information shared – why would Dow Chemical company approve such a large investment?

The reason Dow approved the investment was future gains. The idea was to put DOW on a centralized system, helping employee productivity and streamlining business processes. In theory, the improvement made business sense. However, the expected c…[Read more]

Why would an implementation take this long and cost so much?

An implementation of this size will take several different resources, including human or labor to complete the tasks. The goal was to combine consolidate 4 regional systems into a single global ERP system. SAP had to create a system tailored to Dow Chemical business processes. The…[Read more]

A person’s character is very crucial in the audit industry. How would you build your reputation and maintain a good ethical character in this industry?

One of the most valuable things I took away from my time in the military was the 7 core Army Values.

Staying true to these values will ensure a good reputation and solid ethical c…[Read more]

In the Real World Control Failures we’ve reviewed, describe the character of the leaders involved. Is it a root of the control failures?

The tone at the top sets a company culture many employees will take as gospel. Especially to a young, inspiring adult with limited exposure to different company cultures. The leaders involved in the c…[Read more]

How much of automated controls should be desired? Is it beneficial to consider controls at the initial design phase or controls are introduced as and when needs arise?

The automated controls should be identified during the implementation stage. The automated controls should be used when a new user is added to the system. The system will set…[Read more]

When is the cost of implementing a compliance control higher then the benefit obtained? What should an organization do to ensure efficiency and profitability?

The cost of implementing a compliance control is higher than the benefit obtained when the calculated cost of losing a business process risk < the actual cost. A company must determine a…[Read more]

What aspect of compliance should an organization put the most effort into ensuring their controls are adequate? What factors about an organization (it’s industry, profit / non-profit, international, …) would drive this answer?

Industry compliance should be an organization most effort to ensure adequate controls. Obviously, a business out of…[Read more]

(Updated Nov 30) The ERP systems market is very competitive. What should SAP and other ERP systems providers be focusing on to make their systems more competitive in the future?

ERP providers should focus on each business as a unique client. Sure, most medium to large companies need some form or ERP system, but not all businesses are alike.…[Read more]

(Updated Nov 30) SAP is a world class ERP system provider. If you are an SAP customer – what would you expect them to provide to support your company’s internal controls?

The first thing I would want from SAP are pre-configured controls meeting any compliance or regulatory industry requirements, business processes, and common risks. The sec…[Read more]

Paul,

You can also download to your pc, and copy and paste the file to the vm.

Segregation of outsourced duties? Answer. Yes.

Many decision makers trample on this because they believe it is cheaper and easier to deal with one company, rather than writing multiple checks and calling multiple providers.

Outsourcing companies call it a “turn key” solution. It sounds good, is cheaper and easier but lacks one thing.…[Read more]

Sean,

I agree with you in a company must be able to accurately price the costs of the control and value of the business process being controlled with fluctuating variables.

Things like a companies human resources (how much output are they producing), natural resources (how much coal can we burn before we get taxed), financial resources (how…[Read more]

When is the cost of implementing a compliance control higher then the benefit obtained? What should an organization do to ensure efficiency and profitability?

The cost of implementing a compliance control is higher than the benefit obtained when the calculated cost of losing a business process risk < the actual cost. A company must determine…[Read more]

Have you ever been involved with an internal audit or audit of your process / project? Briefly describe.

I have been involved in a two different audits with the same company. I spoke of several real-world experiences over the discussion boards. One instance I mentioned was selling supplies by enticing buyers with promotions. Controls were…[Read more]

In future weeks we may have the privilege of having real world auditors join us for our discussions. What questions would you like to ask the Auditors to answer for us?

What are the three tools you couldn’t live without?
Software programs, Documentation material, ect

If you had a magic wand, what would you change about your job?

If y…[Read more]

My previous company decided to change the CRM system because the ticketing function was “better” and the solution was cheaper. I don’t know have an opinion on the ticketing function and didn’t deal with company expenses, but from a business development standpoint, the new CRM system was horrible. It didn’t integrate with our Microsoft outlook c…[Read more]

In your company, do you use any blueprints as documentation? Why are process blueprints important in the documentation?

We used a number of different flow charts, from conflict resolution in HR to the sales cycle in our marketing department. The process blueprints are important documentation to know how to work through each process, and…[Read more]

What are the key components of SAP change management controls you would expect the auditor to review? Why?

The key components of SAP change management controls are the:

The Technical Aspect – The size of the hardware required to perform the functions required for the business to function. The auditor would look at things like the RAM i…[Read more]