The Armed Forces have been going thru a technology and business transformation over the last ten years. They have either implemented or are in the process of implementing new financial and logistics enterprise resource planning (ERP) systems and have experienced unprecedented changes in their business operations as they prepare to comply for the Statement of Budgetary Resources (SBR) Audit in September 2017. The goal is to be able to produce timely, relevant, and accurate financial information that supports the highest standards of military readiness.
The Army has created a financial improvement plan that is aligned with the Office of the Under Secretary of Defense Comptroller, Financial Improvement and Audit Readiness (FIAR) Guidance to improve financial management, prioritize improvement activities, strengthen internal controls and ultimately achieve auditability.
The Army has made significant strides in improving internal controls towards achieving audit readiness with the utilization of the new enterprise resource planning (ERP) systems (GFEBS and GCSS-A). NextStep has been assisting several Army National Guard sites get the most out of the GFEBS system and with SBR audit readiness. The SBR audit touches on many of the Military systems and the new ERP systems, which are our sweet spot. Our Information Systems service offerings, knowledge of Military business processes and finance experience positions NextStep right in the middle of the audit work. In addition to our ERP services support, we have been assisting the Army in streamlining, documenting and establishing internal controls in areas such as Funds Receipt, Distribution, Monitoring Civilian Payroll, Contracts Reimbursable Transactions (MIPRS), MOCAS Military Payroll, TDY Travel, Purchase Card Transactions, Miscellaneous Payments and Supply Requisitions.
Pre-Audit Services Include:
- Prepare Internal Review staff for the audit
- Review of internal controls and expected data
- Educate groups on audit data required
- Follow process flows provided by headquarters
- Identify positions for each internal control
- Separation of duty – the right people are processing transactions
- Transactional – review processed transactions
- Reporting – ensure proper recording and reporting
- Mock testing