MAINTAINING CHECKS AND BALANCES

Stories abound about unscrupulous financial managers, sales persons, accounts receivable clerks, and so on. Here are steps you can take to prevent your company from being ripped off by greedy or disloyal employees:

• Conduct random audits of highly sensitive positions, such as finances and technology.
• Make sure you have a standard operating procedure for everything that is done in highly sensitive areas.
• Separate functions that have inherent conflicts. For example, separate the accounts receivable from the account payables function where possible.
• Require specific passwords, double signatures, and other mechanisms to make sure the right people are accessing the right information.
• Don’t tempt people: Lock up blank checks, put away company credit cards, and maintain the confidentiality of passwords.
• Require and examine periodic reports containing reconciled financial and technological information.
• And lastly, mandate vacations. Bankers are required to do so by law for obvious reasons. The last thing you want is somebody who is unwilling to leave early or take a vacation for fear of being caught. Contact us to get more info. We are also available on Facebook and LinkedIn so connect with us today!

Scurich Insurance

320 East Lake Avenue, PO Box 1170

Watsonville, CA 95077-1170

Office:    1-831-722-3541

Toll Free: 1-800-320-3666

eMail:[email protected]