Compliance Within Lawson M3 John Chandler Product Management - Financials [email protected].

Compliance Within Lawson M3

John ChandlerProduct Management - Financials

[email protected]

Page 3Copyright © 2008. Lawson Software. Presentation GAM3 2008.

The Lawson Product Offering


The Lawson Industry Offer


With Focus on Specific Markets…..

..wherever our customers choose to operate…..

Page 6 Copyright © 2008. Lawson Software. Presentation GAM3 2008.

Global Integrated Financials for IFO’s - Introduction

Suppliers

Customers

The order flow

The logistic flow

The financial flow

ProcurementProductionplanning

Sales &order

Receipthandling

ProductionWarehouse/Distribution

Accountspayable

General ledger

Accountsreceivable

Monitor the Performance of other flowsManaging the financial flow

Page 7 Copyright © 2008. Lawson Software. Presentation GAM3 2008.

Providing information – to internal/external customers

Managing the financial supply chain

M3 Financials - supporting our Customers

Allowing users to work in ways that they wish

Using technology for efficient financial processes

Page 8Copyright © 2008. Lawson Software. Presentation GAM3 2008

Disclaimer regarding future product discussion

This presentation includes information about future development plans of the Lawson Product Development organization. By providing this update, Lawson is not promising to develop, deliver or market any specific product, functionality or service. Lawson makes no representations or warranties about the contents of this document, and specifically disclaims any express or implied warranties of merchantability or fitness for any particular purpose. Further, Lawson reserves the right to change its future products or services offerings at any time without obligation to notify anyone of these changes. Customers under maintenance are not specifically entitled to anything on the roadmap or what is included in this presentation.

Disclaimer regarding use of screen shots in this presentation

This presentation has been prepared to demonstrate a variety of ways that Lawson software applications and tools can be set up and utilized by customers. The screen shots provided may not be standard, out-of-the-box reports, but may require your organization to engage Lawson Professional Services in order for the applications or tools to work as shown.


M3 Financials and Compliance

Financial Reporting….…

Introduction –

Company…..

Business Processes….

Accounting Transactions……

Summary

Audit Trail…..

Page 10 Copyright © 2008. Lawson Software. Presentation GAM3 2008

Compliance - sometimes we get mail on this topic


Compliance - sometimes we get mail on this topic

Implementing Compliance in Movex


Disclosure Controls Internal Controls

• Designed to ensure that required disclosed information is recorded, processed, summarized, and reported within the time periods specified by the SEC.

• Include controls and procedures to help ensure that the required disclosed information is accumulated and communicated to management to allow timely decisions regarding required disclosure.

• Controls that pertain to the preparation of financial statements for external purposes that are fairly presented in conformity with generally accepted accounting principles.

Preservation Controls

• Designed to ensure that all audit records, material financial transactions, related communications, working papers, and other data, is preserved, protected from alteration, and readily available.

Understanding the Law

The Sarbanes-Oxley Act established new and enhanced standards for corporate accountability, as well as severe penalties for corporate wrongdoing. Good corporate governance and ethical business practices are now the law.

Primary Areas of Regulation under Sarbanes-Oxley


SEC.404 - Corporate responsibility for the financial reporting process


Sarbanes-Oxley – Relevant Sections

Section 404

– Requires management to annually:

State their responsibility for establishing and maintaining an adequate internal control structure and procedures for financial reporting

Conduct an assessment of the effectiveness of the company’s internal controls and procedures for financial reporting

– Requires the independent auditor to:

Attest to management’s assertion (requires a framework such as COSO)

Section 409

– Real Time Disclosures:

Issuers are required to disclose to the public, on an urgent basis, information on material changes in their financial condition or operations. These disclosures are to be presented in terms that are easy to understand supported by trend and qualitative information of graphic presentations as appropriate.


Section 302 Certifications……..

Certifications must include:

– CEO and CFO have reviewed the periodic filing and to their knowledge, information provided presents fairly the financial results of the company.

– CEO and CFO have established and maintain disclosure controls and procedures that ensure that all material information is made known to them.

– CEO and CFO have evaluated the effectiveness of the disclosure controls and procedures as of 90 days prior to the date of the periodic report and presented their conclusions in the report.

– CEO and CFO have disclosed all internal control deficiencies and any fraud, whether or not significant, that involves management or other employees who have a significant role in the companies internal controls.

– Statement of whether the company has established a Code of Ethics for senior financial officers.

– Other miscellaneous items.


Control Environment

Sets tone of organization-influencing control consciousness of its people.

Factors include integrity, ethical values, competence, authority, responsibility.

Foundation for all other components of control.

Risk Assessment

Risk assessment is the identification and analysis of relevant risks to achieving the entity’s objectives - forming the basis for determining control activities.

Monitoring

Assessment of a control system’s performance over time.

Combination of ongoing and separate evaluation.

Management and supervisory activities.

Internal audit activities.

Information and Communication

Pertinent information identified, captured and communicated in a timely manner.

Access to internal and externally generated information.

Flow of information that allows for successful control actions from instructions on responsibilities to summary of findings for management action.

Control Activities

Policies/procedures that ensure management directives are carried out.

Range of activities including approvals, authorizations, verifications, recommendations, performance reviews, asset security and segregation of duties.

COSO – Internal Control Framework


COSO – A Framework for Internal Control Financial Reporting…….


Primary Areas of Focus

…….after analysing Risk and determining the Control Environment

Control Activities

– Completion of the documenting of internal controls

– Testing and implementing internal controls

– Sustaining internal control implementations

– Implementation of system based controls

Information and Communication

– Financial Reporting from one database

– Timely distribution of information

Monitoring

– Timely review of reports

– Internal audit function

– Proactive notification of material events


An accountability structure for Sec. 404 compliance


Internal Controls at every level in the business

Business Hierarchy

Supported by

Systems and SoftwareResponsible

Company/Group Business Strategy & Policies

IT Infrastructure;

Board of Directors; CEO; CFO; CIO

Business Processes Integrated Application Software

Operational Plans & Budgets

CIO; Process Owners

Accounting Transactions

Integrated Financial Modules

Job Instructions

Process Owners; CFO; CIO; Controller; Users

Financial Statements Periodic Accounting Process

Integrated Reporting Tools

CFO; CIO; Analysts

Monitoring and Auditing

Testing and Validation

Proof of Control

Shareholders; Board; CFO;

Auditors


System Access is controlled

First level.Log-on network-User id-Password/fingerprints


Enterprise Level Controls…………… The term “entity-level controls” as used in this document describes aspects of

a system of internal control that have a pervasive effect on the entity’s system of internal control such as:

controls related to the control environment

– for example, management’s philosophy and operating style, integrity and ethical values; board or audit committee oversight; and assignment of authority and responsibility

controls over management override

the company's risk assessment process

centralized processing and controls, including shared service environments;

controls to monitor results of operations

controls to monitor other controls, including

– activities of the internal audit function

– the audit committee, and

– self-assessment programs;

controls over the period-end financial reporting process; and policies that address significant business control and risk management practices. The terms “company-level” and “entity-wide” are also commonly used to describe these controls.


System Foundation Suite

Ensures and manages the essential applications and functions necessary to run, operate and secure the M3 Enterprise Management System.

Combines an industry standard, open run-time environment with tools for managing deployment, security and performance for all M3 Applications.

Modules Include:- Application Foundation, Workplace Foundation, Web Application Foundation

“Java-based solutions like M3 score very high with respect to openness transparency and platform independence.”Jürgen Schmitt - PEPPERL+FUCHS


System Foundation Suite

Application Foundation

– Contains central supporting application functions, security and features that operate and ensure the management of the M3 Product Line.

– The framework the underlying foundation for M3 applications and modules.

Workplace Foundation

– Provides the underlying foundation to enable Workplace portal with configuration, layout and access functionality

Web Application Foundation

– Platform for M3 modules for web user interface, integration, tools and e-Commerce.

– Provides a rich web application deployment environment, and ensures mission critical support and allows companies to enable new innovations.


The M3 Application Foundation

Modules

M3 Foundation

– Security Management

– Field Audit Trail

– Job Scheduler

– Output Management

Environment Manager

Solutions

M3 Foundation contains central supporting application functions, security and features that operate and ensure the M3 Enterprise Management System.

It is a well crafted framework that is the underlying foundation for M3 applications and component groups.

Signature Features

Highly scalable

Reliable processes management

Secure and traceable

Application Server Tier Database TierWeb Application Tier

Web User

Administrator

Environment Mgmt

User Administration

Server Viewer

Browser

Workplace

Power User

Supply Chain Mgmt

Enterprise Performace

Report Generator

`

Client Tier

Web Server

Servlet ContainerIBM WebSphere

Online Status UI Services

Application Server

Business Logic

Application Components

Database Server

Transaction DB

Business Transactions

Planning DB

Application Servlets

HTTP ServerIBM WebSphere

Web pages

Foundation

Message Services

Work Load Services

Transaction Services (MDB)

Monitoring Services (SNMP)

Security Policy Services

Integration Services

Web Services

Output Mgmt

M3 Business Engine + M3 Workplace

Security & Audit Trail

Web Administration Services API Integration

Service

Analytic DB

Reports

Directory Service

Content Mgmt DB

Mobile DB

Analytical

Memoryresident LDAP

Unstruc-tured

Perasive




Introduction –

Company…..



Summary

Audit Trail…..



Business Hierarchy

Supported by

Systems and SoftwareLawson Product


IT Infrastructure;

M3 Foundation

M3 Life Cycle Management



M3 Product Suite



Job Instructions

M3 Financial Applications



M3 Report Writer

LBI for M3

Auditors – Internal/External


Proof of Control

Field Audit Trail

Financial Audit Report


Access


Second level.Log-on to M3-User id-Password


Effective Internal Controls – for any business

It is the responsibility of management to safeguard the assets and liabilities of the business – so its normal part of business life

It is also the management's job to maintain a system of internal controls over the financial reporting process to ensure that the financial statements will be reliable.

The objective of internal control over financial reporting (“ICFR”) is to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles (“GAAP”).

The purpose of the evaluation of ICFR is to provide management with a reasonable basis for its annual assessment as to whether any material weaknesses in ICFR exist as of the end of the fiscal year.


Effective Internal Controls – Two Basic Questions

1) Do my employees understand what they need to do to properly prepare external financial reports?

2) What information do I need to make sure they have done those things?

The SEC's new management guidance suggests considering these two fundamental questions in three steps.

– Step 1 - Identify Financial Reporting Risks and the Controls that address them.

– Step 2 – Do your Controls work in practice?

– Step 3 – Reporting your conclusions on overall effectiveness and deficiencies.

–


OverallFinance Function

TransactionManagement

Business Support Business Risk

Purchase to Pay

Details

Order to Cash Hire to Retire Record to Report

Process Controls and Business Transactions

Systems and Tools for checking and validation

Development of People within the Processes

BusinessFunctions

Processes

Sub Processes


Access



Third level.Access to function in M3


OverallFinance Function

TransactionManagement

Business Support Business Risk

Purchase to Pay

Procurement

Order to Cash Hire to Retire Record to Report

Accounts Payable

Travel & Entertainment

Accounting

BusinessFunctions

Processes

Sub-Process Controls and Business Transactions

Sub-systems and Tools for checking and validation

Development of People within the Process and sub processes


Control Risk Control Objective Activity

Completeness Material Accrual of transaction open liabilities not recorded

Invoices accrued after closing

Issue: Invoices go to field and AP is not aware of liability.

Example: Accounts Payable Process


Evaluation and Assessment of the ICFR…..

Identifying Financial Reporting Risks and Controls

– a. Identifying Financial Reporting Risks

– b. Identifying Controls that Adequately Address Financial Reporting Risks

– c. Consideration of Entity-Level Controls

– d. Role of Information Technology General Controls

– e. Evidential Matter to Support the Assessment

Evaluating Evidence of the Operating Effectiveness of ICFR

– a. Determining the Evidence Needed to Support the Assessment

– b. Implementing Procedures to Evaluate Evidence of the Operation of ICFR

– c. Evidential Matter to Support the Assessment

Multiple Location Considerations

– Same country or different countries


Here is my Balance Sheet … where is the Risk ?

BALANCE SHEET at 31 December 2007

Assets 2007 2006Fixed assetsBuildings 187,654 176,554Machines 85,987 83,898Financial assets 4,984 4,980

Current assetsInventory 45,909 49,311Other short term investments 1,083 987Accounts Receivable 45,909 41,790Cash and bank 44,798 39,002Total assets 416,324 396,522

Debts and Liabilities

Own capitalShare holders 250,000 250,000Acc profits 45,789 37,890

Long term debtsLoans 86,088 72,577

Short term debtsOther short term debts 7,911 6,468Tax debts 3,456 2,585Accounts payable 23,080 27,002Total debts and liabilities 416,324 396,522


Financial Reporting Risks and their related Controls. Key is knowledge of your business

As applied to the generally accepted accounting principles that apply to your financial reporting

Risk factors inherent in your business, both internal and external

Risks in the way you authorize, process and record transactions that are reflected in the financial statements.

Your company's vulnerability to fraud

How do your entity-level controls relate to financial reporting elements?

– With what level of precision do they operate?

– Is there more than one control that addresses the same financial reporting risk?

If so, which one provides the most efficient way for you to evaluate how well it works?

Is the control automated?

– If so, how sturdy are the relevant IT controls?

Or is the control manual –

– If so, what is the risk of human error?

NOT every control within a particular process needs to be identified

– only those that adequately address financial reporting risks


Minimizing Risk in Financial Reporting

Incorrect numbers or values

– Profits under or over stated by a material amount

– Liabilities under stated by a material amount

– Assets over stated by a material amount

Incorrect presentation of accounts

– Impairment adjustments not charged to reserves

– Incorrect reporting framework – IFRS v US GAAP

Numbers or values are misinterpreted

Errors in assumptions made in preparing numbers/values

Analysis of data used incorrect/flawed


How much evidence is needed ?


Reporting if the Internal Controls are working …

1. Evaluation of Control Deficiencies

2. Expression of Assessment of Effectiveness of ICFR by Management

3. Disclosures about Material Weaknesses

4. Impact of a Restatement of Previously Issued Financial Statements on Management’s Report on ICFR

5. Inability to Assess Certain Aspects of ICFR




Introduction –

Company…..



Summary

Audit Trail…..



Business Hierarchy

Supported by



IT Infrastructure;

M3 Foundation




M3 Product Suite



Job Instructions




M3 Report Writer

LBI for M3



Proof of Control

Field Audit Trail



Integrated Business Processes

Suppliers

Customers

The order flow

The logistic flow

The financial flow

ProcurementProductionplanning

Sales &order

Receipthandling

ProductionWarehouse/Distribution

Accountspayable

General ledger

Accountsreceivable

Monitor the performance of other flowsManage the financial flow


Access



Third level.Access to function in M3

Fourth level.Access to values- Customer- Supplier- Division- Cost center- etc


Integrated Financial Solution…as presented in Sales

Procurement

RentalContracts

Logistics

SalesOrders

ServiceOrders

Project Orders

MaintenanceOrders

Fixed Assets

Time Recording

GeneralLedger

AccountsPayable

AccountsReceivable

Human Resources


Integrated Financial Solution…the database schema

Procurement

RentalContracts

Logistics

SalesOrders

ServiceOrders

Project Orders

MaintenanceOrders

Fixed Assets

Chart of

Accounts

FCHACC

Supplier

Master

CIDMAS

Purchase

Orders

MPHEAD

Fixed Asset

Master

FFASMA

Customer

Master File

OCUSMA

Bank

Accounts

CBANMA

Customer

Orders

OOHEAD

Item

Master

MITMAS

Service

Agreements

SSAGRH


Update General Ledger

1) Program GLS040

2) Check GLS036

3) Inventory Valuation CAS180

Accounting and Reporting for - Inventory

Accounting

Transactions

FCR040Daily Processes

1) Inventory Records Function MMS901

2) Create Accounting Function CAS950-956

3) Update GL Function CAS960

Accounting

For

Logistics

CINACC


M3 Financial Core File Structure with Update Process


MWOPTR CPO…/CPOCAW

FGLEDG

MITTRA CRACTR

Stock Transaction.Display History

(MWS070)

MO Operation.Display Transactions

(PMS095)

Internal Account Entry.Display

(CAS303)

Order Costing. Display/WO Costing. Display(CAS310/ CAS305)

Internal AccountEntry. Create

(CAS950)

Internal Account Entry.Transfer To FIN

(CAS960)

WO Operation.Display Transactions

(MOS095)

MMOPTR

CINACC

Audit Trail from the GL to the Logistics files

Internal Account Entry.Open

(CAS300)

General Ledger. Display Transactions

(GLS210)


Accounting and Reporting Flows – Sales Revenues

Daily Processes

1) Invoice Customers Function OIS180

2) Update Financials Function OIS196

3) Create Sales Statistics

Accounting

Transactions

OINACC

Update General Ledger

1) Program GLS040

2) Check GLS036

3) Audit Trail OIS680

Accounting

Transactions

FCR040


Account Builder… CRS395 ….controls all accounting


Financial Reporting and Accounting Transaction Flows

Accounting Setups

1)OI20-971 DIM1 4010

2) OI20-971 DIM1 4010

3) CA60-910 DIM1 1410

General Ledger – A/C 4010

1)INT/TFR 2005-01-31 XXX,XXX.nn

2)INT/TFR 2005-06-24 X,XXX.nn

3)INV/ADJ 2005-12-31 XX,XXX.nn


General Ledger – A/C 4010

1)INT/TFR 2005-01-31 XXX,XXX.nn

2)INT/TFR 2005-06-24 X,XXX.nn

3)INV/ADJ 2005-12-31 XX,XXX.nn

GL Balances – Period 200512

1) A/C 4010 X,XXX,XXX,XXX

2) A/C 4020 X,XXX,XXX


Report Writer

1) Sales EUR X,XXX,XXX,XXX

2) COGS EUR Y,YYY,YYY,YYY

3) EBIT EUR X,XXX,XXX

Financial Reporting – The Process Flow

On-Line Reporting

The GL Balance File




Introduction –

Company…..



Summary

Audit Trail…..



Business Hierarchy

Supported by



IT Infrastructure;

M3 Foundation




M3 Product Suite



Job Instructions




M3 Report Writer

LBI for M3



Proof of Control

Field Audit Trail



Business Reporting Supply Chain

ExternalFinancialReporting

BusinessOperations

InternalFinancialReporting

Investmentand Lending

AnalysisProcessesProcesses

ParticipantsParticipants

AuditorsTradingPartners

Investors

FinancialPublishersand Data

Aggregators

Regulators

Software Vendors

ManagementAccountants

Companies


Internal Controls over the Process of Financial Reporting

The process is designed and maintained by the management of a company to provide “reasonable” assurance about the reliability of financial reporting.

– External customers

– Internal customers

Effective internal control over financial reporting is vital to the proper recording of base accounting transactions and the preparation of reliable financial reports.

Such a control process has to be comprehensive and will involve employees at all levels (and all locations) throughout a company. It will include those who keep accounting records, prepare and disseminate accounting policies, and monitor systems, as well as people working in a variety of operating roles.


GL Balances – Period 200512

1) A/C 4010 X,XXX,XXX,XXX



Financial Reporting – The Process Flow

On-Line Reporting

Report Writer

1) Sales EUR X,XXX,XXX,XXX

2) COGS EUR Y,YYY,YYY,YYY


Statutory accounts

1)Turnover EUR XXX,XXX,XXX


3) EPS EUR XXX.YY

The GL Balance File


This Year

Profit and Loss – Pro-Forma

Turnover

Profit before Tax

Cost of Sales

Gross Profit/Loss

Financial Income/Expenses

Other Operating Costs

Last Year

Operating Profit/Loss

Taxation

Profit after Tax

IAS

M3 Module – RGR for Financial Reporting

23;xx,xxx,xxxxx,xxx,xxx

12; xx,xxx,xxxxx,xxx,xxx

1; 11; 16; 17; 18; 36

xxx,xxx,xxx xxx,xxx,xxx

xxx,xxx,xxx xxx,xxx,xxx

xx,xxx,xxx xx,xxx,xxx

xx,xxx,xxxxx,xxx,xxx


16; 17; 36xx,xxx,xxx xx,xxx,xxx



Text


My numbers are correct … where is the Risk ?

BALANCE SHEET at 31 December 2007

Assets 2007 2006Fixed assetsBuildings 187,654 176,554Machines 85,987 83,898Financial assets 4,984 4,980

Current assetsInventory 45,909 49,311Other short term investments 1,083 987Accounts Receivable 45,909 41,790Cash and bank 44,798 39,002Total assets 416,324 396,522


Own capitalShare holders 250,000 250,000Acc profits 45,789 37,890

Long term debtsLoans 86,088 72,577

Short term debtsOther short term debts 7,911 6,468Tax debts 3,456 2,585Accounts payable 23,080 27,002Total debts and liabilities 416,324 396,522


Assets 2003 2002Fixed assetsBuildings 187 654 176 554Machines 85 987 83 898Financial assets 4 984 4 980

Current assetsInventory 45 909 49 311Other short term investments 1 083 987Accounts Receivable 45 909 41 790Cash and bank 44 798 39 002Total assets 416 324 396 522


Own capitalShare holders 250 000 250 000Acc profits 45 789 37 890

Long term debtsLoans 86 088 72 577

Short term debtsOther short term debts 7 911 6 468Tax debts 3 456 2 585Accounts payable 23 080 27 002Total debts and liabilities 416 324 396 522

Inventory and WIP

By:• Warehouse• Product Group• Location• Ageing• etc


Finance – Inventory or Stock Valuation


Assets 2003 2002Fixed assetsBuildings 187 654 176 554Machines 85 987 83 898Financial assets 4 984 4 980

Current assetsInventory 45 909 49 311Other short term investments 1 083 987Accounts Receivable 45 909 41 790Cash and bank 44 798 39 002Total assets 416 324 396 522


Own capitalShare holders 250 000 250 000Acc profits 45 789 37 890

Long term debtsLoans 86 088 72 577

Short term debtsOther short term debts 7 911 6 468Tax debts 3 456 2 585Accounts payable 23 080 27 002Total debts and liabilities 416 324 396 522

Accounts Receivable

By:• geography/country• customer type• currency• ageing/forecast• business segment

0

5000

10000

15000

20000

25000

Notdue

1-5days

6-15days

16-30days

31-60days

61-90days

>90days


Finance – DSO Days Sales Outstanding


Finance – Exception report top Overdue customers




Introduction –

Company…..



Summary

Audit Trail…..



Business Hierarchy

Supported by



IT Infrastructure;

M3 Foundation




M3 Product Suite



Job Instructions




M3 Report Writer

LBI for M3



Proof of Control

Field Audit Trail

Electronic Signatures



Implementing Compliance in Movex


Master Files and Field Audit Trail (FAT)

Several laws, compliance rules require that important files can be monitored regarding changed items, new items and deleted items.


Field Audit Trail – FAT Enhanced


Re-design of Field Audit Trail – FAT Enhanced

1.Start FAT manager.


Field Audit Trail – FAT Enhanced

1.We want to audit the MSRESP field. Select the MSRESP field.The fields are listed in alphabetical order.


New Role Based Security – SES400….replaces SES003..


SES401 – Connects Users and Functions (via Roles)


MNS410 Connects Users to their Process Roles…


Text nnnnn


Text nnnnn


Enable Lawson Document Archive as a shortcut

•The electronic images are automatically stored and indexed into the Lawson Document Archive solution•You can enable this as a short-cut onto your desktop


The PDF documentation of the change is stored in DAF

•You can search for document by a variety of criteria


Text nnnnn


From the Document Archive


Page 1 of 2 – the signature of person making change


Page 2 of 2 – the details of the change recorded…….


M3 Audit & Reconciliation Reports – 1 of 2

Already available….

– APS500 – Accounts Payable listing

– ARS500 – Accounts Receivable listing

– APS580 – Goods Received Not Invoiced

– CAS515 – Inter Division Delivered to….

– CAS520 – Inter Division Received by….

– CAS530 – Inventory Reconciliation

– GLS218 – GL Balance File – on-line Audit Trail

– GLS940 – GL Balance File Analysis and Verification

– GLS960 – Voucher Number Check

– GLS965 – Journal Number Check

– GLS970 – Transaction File Check

– GLS975 – Voucher Balance Check

– GLS980 – GL Balance File Audit Report

Include these reports on the Job Scheduler…??…


Other audit trails – proving financials – 2 of 2

Delivered with Heart Beat 200805 delivery…..

– GLS940 – GL Balance File Analysis and Verification ….

Details to follow – ATE-13.1 Environment


GLR - Balance File Analysis…GLS940….




Introduction –

Company…..



Summary

Audit Trail…..


Compliance is always about people and systems

By itself… software can never make a company compliant!

Compliance Certificate

It is your company processes and the way they are used that are compliant

Our ambition is that M3 Applications can support your efforts to be compliant


Financial Compliance – The metaphor 1 of 2

Lawson would like to deliver a half-filled binder......or Database.

Table of Contents

1. Accounting plan1. Chart of account and accounting setups2. Accounting instructions

2. Storage plan and information flows1. Data base model over financial areas2. Graphic overview over the financial system3. Information flows4. Verification chains5. Archiving plans

3. Business processes1. Daily activities2. Period activities3. Year end activities4. Process for interim financial reporting5. Process for annual finacial reporting


Financial Compliance – The metaphor – 2 of 2

4. Organizational Rules & Procedures

1. Authorization of supplier invoices2. Organization for interim reporting3. Organization for annual reporting

5. Software log

1. Used software – installed log2. Implemented changes3. Audit log - descriptions


Core Ledger Update Financial Structure


Supporting Documentation


Financial Processes supported by M3 Functions…



Business Hierarchy

Supported by



IT Infrastructure;

M3 Foundation




M3 Product Suite



Job Instructions




M3 Report Writer

LBI for M3



Proof of Control

Field Audit Trail



Simpler is Better

Compliance Within Lawson M3 John Chandler Product Management - Financials [email protected].

Documents

presentation gam3

lawson software applications

lawson product offering

financial flow slide

lawson industry offer

topic slide

lawson professional

movex slide