Beth Yates Customer Success Team Lead, Team 2 Fraud Prevention Beth Yates Customer Success Team Lead, Team 2

Purpose The purpose of this class is to discuss how WolfePak can aid management in fraud deterrence and establish internal controls to mitigate risk.

What is fraud? ACFE definition of fraud: “the use of one's occupation for personal enrichment through the deliberate misuse or misapplication of the organization's resources or assets.” ~ http://www.acfe.com/fraud-101.aspx

How can I prevent fraud? Good hiring procedures Set the Tone at the Top Educate Employees on Red Flags Conduct audits on a regular basis AND……..the biggest fraud prevention practice of all…… INTERNAL CONTROLS!!!!

Establish Internal Controls Access Controls Separation of Duties Treasury Controls Approvals Documentation Review of financial statements

How can WolfePak Help Me Establish Internal Controls? Access Controls Company Passwords Posting Allowed Date Range User Level Passwords User Level Security-Set it and Enable it!!!

Separation of Duties Separate the data entry and the check writing function Separate the cycle functions from the check writing function Initiate this through User Level Security by user/by company Limit access to manual entries-these should be minimal at most! Small Organization? Not enough employees for an extensive separation of Duties? Separate duties as much as possible.

Institute Approvals and Scan Docs GL Approvals Check Writing Approvals and Approver Maintenance AP Approvals (comes with Scanning) Use Purchase Orders-Purchase Order Module/AP module

Treasury Controls Who can write checks? Initiate who has access to check writing-User Level Security Approval Maintenance Grid-Set dollar limits for the check writing modules and for Quick Checks Using a signature file? Set the dollar limits the signature is allowed on. Set the password

Documentation Scan, Scan, Scan those docs WolfePak Scanning is Invoices, Receipts for everything, Material requests, Expense Reimbursement Reports, Internal Docs WolfePak Scanning is EVERYWHERE!!!!

Financial Statement Review Trend it out-are there big increases in expenses? Why? Review the Trial Balance Review the Journal Listing-it has Created Information! So does the Sub-Account Listing (F12). Drill down to those entries-View those docs Use the Income Statement Vertical Analysis. What do you see? Set up the Budget. Run the Budget Report! Where do you stand?

Audit Trail Utilities/Change Log, List Logged In Users-who’s logged on? Audit Report of Changes Check Approver Audit Report View Trend-You can see a lot here! Who created it? Was it Changed? Sub-Account View Change History AP Routing Approver Report and Ledger Listing with Approver Information Bank Reconciliation/Check Register-Audit your check numbers

Positive Pay Files Create the file when checks are written-Get it to the bank WolfePak has 59 Positive Pay Formats Let WolfePak program one for your bank-it’s a small fee for the security of your cash accounts!

Conclusion WolfePak has many fraud prevention avenues to suit your company needs and policies. Institute best practices across the board. Decide how much risk you’re company feels is acceptable. Take time to review reports-deterrence can stop fraud!!

Questions