1 / 15

DCAA Presentations

DCAA Presentations. 1:00-1:15 - DCAA Audit Guidance on ERPs April Stephenson, DCAA HQs 1:15-1:30 - Audit Risks in an ERP Environment John Dionne, DCAA Northeastern Region (Boston) 1:30-1:45 - NG Corporate & ACS ERP Implem. Cliff Cameron, NG CAC

kiral
Download Presentation

DCAA Presentations

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. DCAA Presentations 1:00-1:15 - DCAA Audit Guidance on ERPs April Stephenson, DCAA HQs 1:15-1:30 - Audit Risks in an ERP Environment John Dionne, DCAA Northeastern Region (Boston) 1:30-1:45 - NG Corporate & ACS ERP Implem. Cliff Cameron, NG CAC 1:45-2:00 - NG ISS Sector - Jerry McAfee

  2. DCAA Presentations 2:00-2:15 - NG AGS Business Area under ISS Ken Schrandt 2:15-2:30 - Break 2:30-2:45 - NG ESSS Sector - Duke Frazier NG Rolling Meadows - Matt Dito 2:45-3:00 - NG Logicon Sector - Shawn Boynton 3:00-3:15 - Honeywell Aerospace Services Matt Dito

  3. DCAA AUDIT GUIDANCE ON ERP SYSTEMS April G. Stephenson Chief, Policy Programs Division

  4. ERP Systems Audit Guidance • General Guidance • Treatment of Costs

  5. ERP Systems General Audit Guidance • DCAA Guidance Issued 2 September 1999 (99-PIC-095(R)) • Auditor Proactive Role • Current Functional Risk-Based Approach - Internal Controls

  6. ERP Systems Auditor Proactive Role • Determine scope and schedule • Understand differences between old and new systems • Determine specific ERP software and version/release • Review cost benefit analysis and business case

  7. ERP Systems Auditor Proactive Role • Determine impact on forward pricing rates for projected cost savings • Determine CAS impact • Explore direct, on-line access • Review data conversion • Determine impact on internal controls

  8. ERP Systems Internal Control System Reviews • Use current functional risk- based approach • Plan and time internal control reviews concurrent with ERP implementation • Participate in IPTs

  9. ERP Systems Treatment of ERP Costs • DCAA Audit Guidance Issued 22 July 1998 and 30 August 1999 • Absent specific FAR/CAS coverage, GAAP applies • FASB EITF 97-13 • AICPA SOP 98-1

  10. ERP Systems Treatment of ERP Costs • Business process reengineering costs • Preparation of request for proposal • Current state assessment • Process reengineering • Restructuring the workforce • Expense in accordance with EITF 97-13

  11. ERP Systems Treatment of ERP Costs • Computer Software Developed or Obtained for Internal Use - SOP 98-1 • Preliminary project stage - Expense • Application development stage - Capitalize except expense certain data conversion costs • Post-implementation/operation stage - Expense

  12. ERP Systems Treatment of ERP Costs • Preliminary project stage - Expense under SOP 98-1 • Conceptual formulation of alternatives • Evaluation of alternatives • Determination of existence of needed technology • Final selection of alternatives

  13. ERP Systems Treatment of ERP Costs • Application development stage activities - Capitalize SOP 98-1 • Design of chosen path including software config. & software interface • Coding • Installation to Hardware • Testing, include parallel processing

  14. ERP Systems Treatment of ERP Costs • Application development stage activities - Data conversion - Depends under SOP 98-1 • Costs to develop or obtain software that allows for access of old data by new system - Capitalize • All other data conversion process - Expense

  15. ERP Systems Treatment of ERP Costs • Post-implementation/operation stage activities - Expense under SOP 98-1 • Training • Application maintenance • Ongoing support

More Related