Financial Improvement and Audit Readiness Methodology Assertion Work Product Example Process Inventory Detailed Activity 1.1.1 – Prepare Inventory of Processes and Systems (Service Providers) NOTE: The Tool/Template/Work Product below is an example process inventory. Table of Contents Process Inventory – Example Example Process Inventory – Contract Pay Service Provider End-to-End Process Overview and Detailed Processes and Process Outputs ................................................................................................... 1
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Financial Improvement and Audit Readiness …...Financial Improvement and Audit Readiness Methodology Assertion Work Product Example Process Inventory Detailed Activity 1.1.1 – Prepare
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Financial Improvement and Audit Readiness Methodology Assertion Work Product Example
Process Inventory
Detailed Activity 1.1.1 – Prepare Inventory of Processes and Systems (Service Providers) NOTE: The Tool/Template/Work Product below is an example process inventory.
Table of Contents Process Inventory – Example
Example Process Inventory – Contract Pay Service Provider End-to-End Process Overview and Detailed Processes and Process Outputs ................................................................................................... 1
Contract Pay End-to-End Process
Invoice Entitlement
Pre-Validation Disbursing &
Posting Expenditure
Receipt & Acceptance
Commitment & Obligation
Reconciliation & Contract Closeout
Reporting & Accounting
Service Provider 3 / Service Provider 2
Pro
cess
S
ub-P
roce
ss
Distribute Funding
Purchase Requisition
Receive & Obligate Funding
Contract Input
Issue Orders & Adjustments
Contract Award
Validate Funds
Receive/Accept Goods/Srvcs at
Destination
Tri-Annual Review
Authorize Disbursement
Processing
Payment Authorization
EOM Reporting
Treasury Reporting
Debt Management
Calculate EOM Payable
Payment File Generation &
Release
Erroneous Payment Check
Resolve Payment
Discrepancies
Certification & Balancing
Planned Disbursement
Matched to Recorded Obligation
Disbursing Reporting &
Reconciliation
Commercial Invoices
Research & Resolve
NULOs/UMDs
Adjustments
Funds Reconciliation-
System 1
Erroneous Payment Check
Calculate EOM Accrual
Disallow Costs
Receive/Accept Goods/Srvcs at
Source
EOM Payable GL Posting
EOM Accrual GL Posting &
Reversal
Commitments & Obligations
Financial Reporting
Deobligate Excess/
Remaining Funds
Full Termination Settlement
Partial Termination Settlement
Funds Reconciliation-
Component
GL Posting
Demand/ Recoup Funds
Contract Financing
Key: Service Provider 1
Component
Roles/control activities principally performed by one organization: Roles/control activities shared by multiple organizations: Service Provider 3 / Service Provider 1 / Component
Service Provider 2 / Component
Service Provider 3 / Service Provider 2 / Component
Service Provider 3 / Component
Disbursements/Expenditures
GL Posting
Contract Closeout
Invoice Processing
Validate Inputs & Funding
Erroneous Payment Check
Notice of Last Action Process
Service Provider 2’s involvement in this role varies depending on the Component being supported.
This role is shared by Components and Service Provider 2, except for certain Components. Some Components are responsible for recording commitments and obligations in the system of record.
Service Provider Systems Relevant to the End-to-End Process
Service Provider 2 Service Provider 3 Service Provider 4
• System 1
• System 2
• System 3
• System 4
• System 5
• System 6
• System 1
• System 7
• System 8
• System 9
Service Provider 4
Service Provider 2
Service Provider 3
1
EXAMPLE
EXAMPLEDetailed Process Information Has Been Removed for the Purposes of this Example
If Working with a DoD Organization Implementing the FIAR Guidance, Please Contact the OUSD(C) FIAR Directorate for a Completed Example
Example – Prepare Inventory of Processes and Systems – 1.1.1 (Service Provider) Process Alignment (Service Provider 1) - 1
Contract Pay E2E Process OverviewService Provider Process Mapping – Detail
Process Name Sub-process Activity Name Sub-Activity Name Process Description/SummaryOutputs from Service Provider 1
Overview E2E Outputs from Service Provider 3 Sub-Processes Outputs from Service Provider 2 Sub-Processes
N/A
N/A
Invoice Entitlement
Advisory Audit ServicesContract Financing
Manage Procurement Instrument Entitlement
Other Third Party Organizations
Manage Procurement Instrument Entitlement
Disallow Costs
Debt Management
Disbursing & Posting Expenditure
N/A
Manage Procurement Instrument Entitlement
N/AReceipt and Acceptance
N/A
SSAE 16 Service Providers
Contract Financing
N/A
EXAMPLE
EXAMPLEDetailed Process Information Has Been Removed for the Purposes of this Example
If Working with a DoD Organization Implementing the FIAR Guidance, Please Contact the OUSD(C) FIAR Directorate for a Completed Example
Example – Prepare Inventory of Processes and Systems – 1.1.1 (Service Provider) Process Alignment (Integrated) - 12
Contract Pay E2E Process OverviewService Provider Process Mapping – Detail
Process Name Sub-Process Process Name Sub-Process NameOutputs from Service Provider 3
Processes to Service Provider 2 ProcessesOutputs from Service Provider 3
Processes to Reporting Entity ProcessesProcess Name Sub-Process Name
Outputs from Service Provider 2 Processes to Service Provider 3 Processes
Outputs from Service Provider 2 Processes to Reporting Entity Processes
Process / Activity Name
Sub-Process / Activity NameOutputs from Service Provider 1 Activity
to Service Provider 3 ProcessesOutputs from Service Provider 1 Activityto Service Provider 2 Certifying Processes
Outputs from Service Provider 1 Sub-Processes
Overview E2E Outputs from Service Provider 3 Sub-Processes Outputs from Service Provider 2 Sub-ProcessesOther Third Party OrganizationsSSAE 16 Service Providers