More than just a necessary compliance component, internal controls are a strategic asset that empowers financial leaders to proactively manage risk, optimise operations and drive informed decision-making. OnAccount activates the effective implementation of reliable internal controls, delivering trustworthy financial data across the entire organisation. 

The importance of internal controls

Internal controls help maintain the accuracy and reliability of financial systems and reporting. A common internal control is the segregation of duties. Examples of other common internal controls include: 

• Documented policies and procedures

• Account reconciliations

• Authorisation workflows

• Budgetary limits

• Internal audits

• Business unit performance and KPIs

• Change logging and audit trails

Beyond their regulatory and oversight functions, internal controls act as an early detection system to identify fraud, errors and other irregularities. 

Key benefits

Mitigating risk: Internal controls reduce the risk of financial misstatement, loss of assets, and reputational damage.

Enhanced operational efficiency: Well-designed controls streamline processes, reduce manual intervention and increase overall staff productivity.

Data-driven decision-making: Accurate and timely financial information enables staff to use reliable data when making decisions. 

Stakeholder confidence: Demonstrate a commitment to sound financial management to inspire confidence and trust in investors, lenders, and regulators.

Some of the challenges

While the importance of internal controls is clear, implementing and maintaining them can be complicated. Difficulties are commonly encountered in the following areas: 

• Inadequate segregation of duties

• Lack of oversight

• Insufficient documentation

• Complexity of business processes

• Reactive rather than proactive internal control management

• Inadequate technology system controls

How OnAccount can empower your financial controls

OnAccount provides a comprehensive suite of tools designed to fortify your internal control framework:

• Granular permissions management: Ensure only authorised personnel can access sensitive financial data.

• Seamless integrations: Connect your financial systems and data sources for a unified view of your financial landscape.

• Automated validations: Detect and prevent errors before they impact your financial statements.

• Detailed audit trails: Track changes and maintain accountability for all financial transactions.

• Configurable approval workflows: Streamline approval processes and ensure proper authorisation.

• Automated reconciliation tools: Streamline matching and highlight items that need investigation.

• Purchase Order Management: Control expenditure and manage approval workflows

• Credit Control Management: Automate the credit management process and create collection audit trails.

• Configurable reporting: Design reports to exact requirements.  Focus on key data to support effective oversight and review.  

• Continuous monitoring and testing: Proactively identify and address potential weaknesses in your control environment.

• Robust security and compliance: Sandfield’s ISO 27001 certification ensures the highest standards of data security and regulatory compliance.

Summary 

Internal controls are not just a matter of compliance; they are a strategic imperative for businesses looking to mitigate risk and optimise financial performance. OnAccount provides the tools you need to achieve these goals, helping ensure your organisation's financial integrity remains robust. 

Let OnAccount be your partner in strengthening your financial controls and building a resilient financial future.