The role of the controller
The Role of the Controller in a Modern Organization
Abstract Changes in the accounting industry have forced a shift in the role of the controller within the organization. From the controller’s perspective, this paper will seek to identify current issues faced at The Beverage Company. We will uncover issues within internal control systems, investor relations, strategic planning, control of cash, customer credit and collections, inventory control, and provide solutions to resolving them. It is apparent that the last couple decades have exposed the need within the financial industry for stronger control points as well as a standard level of accountability across the board for upper management when it comes to certifying the accuracy of financial information. The controller’s role has migrated from one of just oversight to one that encompasses planning, control, reporting, accounting, and other primary responsibilities (Willson & Colford, 1991). In addition to the desire for a greater skill set, the controller must assure that their subordinates adhere to ethical standards along with the many regulations enforced by Sarbanes Oxley. This paper will discuss the changes I would make as controller for the company I currently work for; “The Beverage company” along with the newfound role of the controller and its impact on internal control systems, investor relations, strategic planning, control of cash, customer credit and collections, and inventory control within The Beverage Company.
Internal Control Systems As the controller at The Beverage Company I find it extremely important to implement control systems that satisfy the five main control objectives: authorization, reconciliation, recording, safeguarding, and valuation (Bragg, 2009, p. 90). Authorization will be achieved by setting approval limits on wire transfer amounts, therefore certain managers can only approve wires up to their limit. This may require the approval
Abstract Changes in the accounting industry have forced a shift in the role of the controller within the organization. From the controller’s perspective, this paper will seek to identify current issues faced at The Beverage Company. We will uncover issues within internal control systems, investor relations, strategic planning, control of cash, customer credit and collections, inventory control, and provide solutions to resolving them. It is apparent that the last couple decades have exposed the need within the financial industry for stronger control points as well as a standard level of accountability across the board for upper management when it comes to certifying the accuracy of financial information. The controller’s role has migrated from one of just oversight to one that encompasses planning, control, reporting, accounting, and other primary responsibilities (Willson & Colford, 1991). In addition to the desire for a greater skill set, the controller must assure that their subordinates adhere to ethical standards along with the many regulations enforced by Sarbanes Oxley. This paper will discuss the changes I would make as controller for the company I currently work for; “The Beverage company” along with the newfound role of the controller and its impact on internal control systems, investor relations, strategic planning, control of cash, customer credit and collections, and inventory control within The Beverage Company.
Internal Control Systems As the controller at The Beverage Company I find it extremely important to implement control systems that satisfy the five main control objectives: authorization, reconciliation, recording, safeguarding, and valuation (Bragg, 2009, p. 90). Authorization will be achieved by setting approval limits on wire transfer amounts, therefore certain managers can only approve wires up to their limit. This may require the approval