Action research on improving the internal control for cash advance and credit card expense liquidation processes

Added Title

Improving the internal control for cash advance and credit card expense liquidation processes

Date of Publication

8-2021

Document Type

Master's Thesis

Degree Name

Master of Business Administration

Subject Categories

Business Administration, Management, and Operations

College

Ramon V. Del Rosario College of Business

Department/Unit

Management and Organization Department

Thesis Advisor

Benito Teehankee

Defense Panel Chair

Patrick Aure

Defense Panel Member

Maricel Balatbat
Raymund Habaradas

Abstract/Summary

This action research aims to improve the internal control for cash advance and credit card expense liquidation processes. Once the cash advance has been released or the credit cardholder used the credit card for payment, the said amount will be reflected in the employees’ SAP Concur for liquidation. To further understand the company’s control processes, the team first recognized the lapses in the system and used the 2013 COSO framework as a guide in identifying action items. The result of the first cycle was overwhelming. Since it was the first time that the issue was tackled, the team has identified various action items that can address the identified lapses and further strengthen the company's internal controls. Among the recommended action items, we prioritized those under the Control Environment per the 2013 COSO Framework. The Control Environment is the most important component, as it sets the tone of the company's internal control. We drafted and released a detailed corporate card policy and memorandum for the additional guidelines on cash advance. The second cycle was prompted by the e-mail release of the credit card policy. The team did not receive any feedback from the credit card holders; hence, we have assessed that there is a need for formal cascading. We have also taken the opportunity to address the restraining forces that were identified from the first cycle.

Abstract Format

html

Language

English

Format

Electronic

Physical Description

115 leaves

Keywords

Business enterprises—Finance; Cash management

Upload Full Text

wf_yes

Embargo Period

9-29-2021

This document is currently not available here.

Share

COinS