Effective Risk Control within finance and accounting is based on a good financial data model. The data model often contains ERP data – for example, financial transactions, chart of accounts, intercompany information, fixed assets, budget and forecast, etc.
From there, we expand the data model with 3 areas:
- Controls related to the different data areas in the solution (for example fixed assets).
- Risks are related to the matching controls. It allows for coherent reporting and analysis.
- Calculations to support the controls – for example, variance calculations within the established limit values.