NORTH WEST CIGFARO SEMINAR 23 JULY 2019 KGOMOTSO KUMBE (ACCA) (CIA)

mSCOA

mSCOA - Municipal Standard Chart of Accounts Understanding mSCOA mSCOA - Municipal Standard Chart of Accounts provides a; uniform; and standardized financial transaction classification framework

mSCOA is a Understanding mSCOA business reform rather than a mere financial reform; and requires multidimensional recording and reporting of transactions across all the seven (07) segments

Business Process Requirements hosting of the mSCOA structure and associated detail as contained in the seven defined Segments; accommodate and operate the classification framework across all seven segments at a transactional level data extraction functionality as per the segmented transactional string and seamless upload to the Local Government Database not apply methodologies of data mapping or data extrapolation provide for the segmented transactional data string at a transactional level full seamless integration between the core financial system representing the general ledger, and any third party system i.e. human resource and payroll third party systems, billing etc.; and access to hardware that is sufficient to run the required software solution.

Detail Business Process Requirements The seven components which must integrate seamlessly with the mSCOA general ledger 1. Budgeting and planning; 2. Billing 3. Supply Chain Management; 4. Inventory and stores; 5. Assets management 6. Human Resources and payroll 7. General Ledger.

Financial Management Accountability Cycle

Detail Business Process Requirements IDP/SDBIP BUDGET S 71 S 72 S 52 ANNUAL FINANCIAL STATEMENTS REPORTS

CHALLENGES Failure to prepare IDP & SDBIP on the system Failure to prepare Schedule A Annual Budgets from the system Failure to upload “Error Free” Data Strings Failure to upload Data Strings Failure to extract Schedule C Monthly Reports from the system Failure to prepare Schedule B adjustment Budgets from the system Failure to achieve seamless systems integration

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