SOX Compliance Information Technology

 Remove the unforeseen issues of compliances by using our SOX compliance information technology. Our software quickly and reliably complies with the full range of compliance requirements.

Why is Segregation of Duties important?

 The Importance of Segregation of Duties

Segregation of Duties software is an internal control that prevents a single person from completing two or more tasks in a business process. Organizations require Segregation of Duties controls to separate duties among more than one individual to complete tasks in a business process to mitigate the risk of fraud, waste and error.

Actual job titles and organizational structure may vary greatly from one organization to another, depending on the size and nature of the business. Therefore, it’s important for management to analyses the skillset and capabilities of the individuals involved based on the risk likely and impact to business processes. Critical job duties can be categorized into four types of functions: authorization, custody, record keeping, and reconciliation. In a perfect system, no one person should handle more than one type of function.

You can apply the following options to segregate job duties:

·         Sequential separation (two signatures principle)

·         Individual separation (four eyes principle)

·         Spatial separation (separate action in separate locations)

·         Factorial separation (several factors contribute to completion)

Many companies struggle to implement effective Segregation of Duties for Oracle ERP Cloud, even though the concept of SoD is simple as described above. This is mainly due to the complexity and variety of the applications that automate key business processes, and the ownership and accountability for controlling those processes requires complete analysis of thousands of functions available across roles and responsibilities assigned.

The Segregation of Duties Matrix lists potential conflicts to determine what risk may be realized should a user have access or authorizations to a combination of entitlements. For example, what is the likelihood, that a user can create a fictitious supplier and make a payment to that supplier? The risk likelihood and impact varies based on industry, business model and even individual business unit. It is not uncommon for a large global company to have more than one matrix due to differences in the business processes by location or business unit. For example, a company may have a manufacturing business unit with a large amount of inventory, requiring a Segregation of Duties matrix that focuses on specific inventory transactions. They may also have a service-based business unit necessitating a focus on project accounting, requiring a different SoD matrix. Though knowledge of similar businesses and industries can help to establish the conflict matrix, each business unit must perform a customized analysis of its conflicting transactions to capture the real risk for that particular business model.

Segregation of Duty controls are a significant component of control environment of any organization that operates its business on an ERP platform.

Risk-Free Cloud Transformation

 Reduce cloud transformation risks, time and cost with SafePaaS cloud transformation tools and services to deploy effective security model, manage configuration changes, and enforce process controls.

Many organizations have made it a top priority to transform their business to the cloud by taking advantage of the latest enterprise applications made available by leading ERP vendors including Oracle ERP Cloud Migration, SAP, Microsoft, Workday and others.

  Oracle ERP Cloud Security Model

Organizations that deploy the cloud applications to operate their business can gain key competitive advantages in finance, human capital management, customer relationship management, procurement and supply chain management areas. However, successful business transformation to modernize systems and reduce operating costs, requires complex tasks to design processes, migrate data and build security to protect it all.

Cloud offers new collaboration capabilities to organizations that can enhance business processes across functional boundaries, time zones or even beyond organizational borders.

In our Risk-Free Cloud Transformation webinar, SafePaaS CEO Adil Khan addressed how to embrace cloud migration using the latest savvy technology and resources to discover hidden risk and scale up your business. He discussed how to plan for a successful cloud transformation using the latest technologies and resources to discover hidden risk to respond to changing market conditions and help accelerate the growth of your digital business.

As businesses move to the cloud, security gets left behind. However, moving to the cloud together with SafePaaS controls can close the gap between that vulnerability and security.

We shared our latest client case study of a public-listed software company that is leveraging the cloud to ensure effective management of controls as well as best practices and industry insight into how cloud-enabled organizations succeed.

If you were unable to attend our Risk-Free Cloud Transformation webinar you missed a great Q & A session.

How can risk be controlled in Cloud ERP?

SafePaaS CEO, Adil Khan replied:

“That’s a tricky question as it depends on the risk but by controlling security, transactions, configurations and master data – the 4 pillars on control within the oracle cloud for ERP. They’re not very different to on premise it’s just that Cloud doesn’t allow for as much access to the infrastructure as on premise – you’re relying on a supplier to provide a lot of the backend infrastructure which is a saving. So, therefore need more layers of evidence to verify that the cloud provider can be trusted. Even if you’re receiving SOC 1 etc. you still need to independently verify that for your own sake. “

Which Oracle ERP Cloud risk management does SafePaaS support?

SafePaaS, CEO, Adil Khan replied:

“We support Oracle ERP cloud risk management, Workday, NetSuite and we’re working on SAP S/4HANA which has a cloud component. Our mission is to stay current with all suppliers who are moving their technology to the cloud and stay current with all Tier 1 Cloud Platforms.”

Can we compare configurations in multiple ERPs?

SafePaaS, CEO, Adil Khan replied:

“Not all ERPs are equal but it depends where you’re coming from. If you are to look at it from a process perspective for example procure to pay cycle you’ll be able to identify those risks that are in the P2P cycle by looking at the same configurations on premise as well as cloud. So, that’s certainly possible.  We can do it where possible. It is possible if you think from  process to process it’s really possible. There’s a little bit of methodology that our partners know but that’s where we can guide you as well.”