The overall classification of this Training is: UNCLASSIFIED Managers’ Internal Control Program (MICP) FY2013 Workshop
Dec 16, 2015
The overall classification of this Training is:UNCLASSIFIED
Managers’ Internal Control Program (MICP)
FY2013 Workshop
2UNCLASSIFIED
UNCLASSIFIED
Identifying Assessable Units
andCoverage Breadth
Managers’ Internal Control Program
3UNCLASSIFIED
UNCLASSIFIED
Identifying Assessable Units and Coverage Breadth
Objectives
Understand why we need assessable unitsUnderstand what is an assessable unitBe able to identify assessable unitsBe able to explain the roles of assessable unit
managersDescribe the coverage and breadth of your
assessable units
4UNCLASSIFIED
UNCLASSIFIED
What is an Assessable Unit?
Any organizational, functional, programmatic or other applicable subdivision of an organization that allows for adequate analysis.
The assessable unit is required to have an appointed and adequately trained assessable unit manager.
Identifying Assessable Units and Coverage Breadth
5UNCLASSIFIED
UNCLASSIFIED
What Are Assessable Units?
Distinct organizational functions
Reoccurring processes
Critical to mission
Clearly recognizable
Independent
Identifying Assessable Units and Coverage Breadth
6UNCLASSIFIED
UNCLASSIFIED
What are functions?
Activities that consume time
Have dedicated staff
Address organizational initiatives
Result in major work products
Carry out significant objectives/goals
Identifying Assessable Units and Coverage Breadth
7
UNCLASSIFIED
UNCLASSIFIED
Soldiers Receive Pre-Airborne Operation Instructions from Trained Jumpmaster, who attended Jumpmaster Course.
T10-C Parachutes Issued by the Quartermaster/Supply activity.
Prior to Loading Aircraft –Jumpmaster Inspects Soldiers equipment.
Jumpmaster identified T10-C Static Lines Separated (Cut) and operation ceased.
Investigation team conducts formal investigation .
1995 – Division Airborne Operation Static Line Incident
Identifying Assessable Units and Coverage Breadth
8UNCLASSIFIED
UNCLASSIFIED
Why do we need to identify Assessable Units?
Systematic way to leverage the internal controls of the organization
Identify the role/function the assessable unit performs for mission or objective success
Facilitates evaluations and remedies
Includes management in the process
Identifying Assessable Units and Coverage Breadth
9UNCLASSIFIED
UNCLASSIFIED
Do I use an Organization Chart to Identify Assessable Units?
Identifying Assessable Units and Coverage Breadth
10UNCLASSIFIED
UNCLASSIFIED
How do I identify Assessable Units?
Alert rosters
Phone rosters
Distribution lists
Walk around the area and observe
Organization charts
Identifying Assessable Units and Coverage Breadth
11UNCLASSIFIED
UNCLASSIFIED
Don’t forget to include these ways of identifying Assessable Units:
Committees
Satellite/Regional Offices
Boards or Governing Bodies
Chain of Command Approach
Identifying Assessable Units and Coverage Breadth
12UNCLASSIFIED
UNCLASSIFIED
Examples of Assessable Units:
Administrative Office
Finance Office
Safety Office
Security Office
Medical Office
Planning Division
Operations Division
Identifying Assessable Units and Coverage Breadth
13UNCLASSIFIED
UNCLASSIFIED
Example of Assessable Unit Segmentation:
Administrative Office
• Awards
• Evaluations
• Orders
• Leaves/Passes
• Promotions
• Payroll
Identifying Assessable Units and Coverage Breadth
14UNCLASSIFIED
UNCLASSIFIED
Assessable Units – Other Examples
Activity – Open Discussion
How do you identify assessable units within your organization?
What other assessable units do you have?
Do impediments exist that make it difficult to identify or recognize assessable units?
Are your assessable units consistent in their approach to further segmentation?
Identifying Assessable Units and Coverage Breadth
15UNCLASSIFIED
UNCLASSIFIED
What are the benefits of identifying Assessable Units?
Documenting mission areas
• Ensures areas are appropriately managed• Ensures responsibilities have been properly
designated• Ensures appropriate involvement of
personnel
Permits effective evaluation of internal controls
Identifying Assessable Units and Coverage Breadth
UNCLASSIFIED
UNCLASSIFIED 16
23 Dec C-23 lands on airfield and reports construction done on runway that requires a formal Notice To Airmen (NOTAM).
No NOTAM transmitted.
29 Dec C-130 Lands in the night crashing and totaling aircraft.
Mission support on airstrip ceased throughout investigation and repair work.
2004 – C130 Hercules Crashes on Field Landing Strip
Identifying Assessable Units and Coverage Breadth
17UNCLASSIFIED
UNCLASSIFIED
Who Manages Assessable Units?
Department/Division/Chief/Director
Senior Management with primary/direct responsibility
Appointed by the Commander/Principal
Individuals who know the day-to-day operations
Identifying Assessable Units and Coverage Breadth
18UNCLASSIFIED
UNCLASSIFIED
What are the Roles of the Assessable Unit Manager?
Ensure all mission areas are covered Ensure all risk assessments are
conducted/reviewed Ensure internal controls are in place to mitigate
identified risks Ensure internal controls are documented and tested Oversee and monitor corrective actions for all
weaknesses identified Appoint and inventory MICP responsible
individuals
Identifying Assessable Units and Coverage Breadth
19UNCLASSIFIED
UNCLASSIFIED
Assessable Unit Inventory - Example
Identifying Assessable Units and Coverage Breadth
ASSESSABLE UNIT
FUNCTIONS AND PROGRAMS REQUIRING ASSESSMENTS
PROCESS OWNER OFFICE / PHONE #
DATE OF LAST EVALUATION
DATE OF NEXT PLANNED
EVALUATION
METHOD USED TO EVALUATE
DEFICIENICES, REPORTABLE CONDITIONS, OR MATERIAL WEAKNESSES IDENTIFIED DURING THE EVALUATION
INTERNAL MANAGEMENT CONTROL PLAN FOR ASSESSABLE UNITS
20UNCLASSIFIED
UNCLASSIFIED
ASSESSABLE UNIT
FUNCTIONS AND PROGRAMS REQUIRING ASSESSMENTS
PROCESS OWNER OFFICE / PHONE #
DATE OF LAST EVALUATION
DATE OF NEXT PLANNED
EVALUATION
METHOD USED TO EVALUATE
DEFICIENICES, REPORTABLE CONDITIONS, OR MATERIAL WEAKNESSES IDENTIFIED DURING THE EVALUATION
PERSONNEL JOHN DOE / 555-1212
Jan-11 Jan-12INTERNAL CHECKLISTS
EVALUATIONS COMPLETED DEMONSTRATED DEFICIENCIES
FINANCE
SECURITY
NETWORK SYSTEMS
INTERNAL MANAGEMENT CONTROL PLAN FOR ASSESSABLE UNITSDEFENSE AGENCY
Assessable Unit Inventory - Example
Identifying Assessable Units and Coverage Breadth
21UNCLASSIFIED
UNCLASSIFIED
ASSESSABLE UNIT
FUNCTIONS AND PROGRAMS REQUIRING ASSESSMENTS
PROCESS OWNER OFFICE / PHONE #
DATE OF LAST EVALUATION
DATE OF NEXT PLANNED
EVALUATION
METHOD USED TO EVALUATE
DEFICIENICES, REPORTABLE CONDITIONS, OR MATERIAL WEAKNESSES IDENTIFIED DURING THE EVALUATION
AWARDSJOHN DOE / 555-1212
JAN 11 JUN 11INTERNAL CHECKLISTS
AWARDS NOT SIGNED BY PROPER LEVEL OF AUTHORITY
EVALUATIONS
ORDERS
LEAVES AND PASSES
INTERNAL MANAGEMENT CONTROL PLAN FOR ASSESSABLE UNITSPERSONNEL/ DEFENSE AGENCY
Assessable Unit Inventory - Example
Identifying Assessable Units and Coverage Breadth
22UNCLASSIFIED
UNCLASSIFIED
Assessable Unit Managers – Other Examples
Activity – Open Discussion
What level are your assessable unit managers?
Do they direct evaluations?
Do they address weaknesses identified?
Do they have direct communication with the Commander/Principal?
How frequent do MICP Coordinators communicate with assessable unit Managers?
Identifying Assessable Units and Coverage Breadth
23UNCLASSIFIED
UNCLASSIFIED
Do you have proper Coverage?
Identifying Assessable Units and Coverage Breadth
24UNCLASSIFIED
UNCLASSIFIED
Do you have proper Coverage?
Look at your organization• Are all risks addressed?• Are assessable units identified for all areas of
risk? Are all material (major) functions/activities
evaluated? Extremely subjective
Identifying Assessable Units and Coverage Breadth
25UNCLASSIFIED
UNCLASSIFIED
Assessment of Our Objectives
Understand why we need assessable units Understand what is an assessable unit Be able to identify assessable units Be able to explain the roles of assessable unit managers Describe the coverage and breadth of your assessable units.
Identifying Assessable Units and Coverage Breadth
26UNCLASSIFIED
UNCLASSIFIED
Questions ?
Identifying Assessable Units and Coverage Breadth