Best tips for risk management


Enabling Sarbanes Oxley Compliance

Sarbanes Oxley compliance is not a one-day, acomplicated. You should also make it very
one-month, or even a one-year project;clear whose roles it will be to see to the
instead, Sarbanes Oxley compliance should beSarbanes Oxley rollout and to whom these
built into your corporate infrastructure aspeople  will  be  ultimately  answerable.
early as possible when you begin making
changes. The more quickly you transition yourImprovisational approaches - Jumping into
business into long-term strategy change, theSarbanes Oxley compliance will simply not
better you're going to be able to controlwork. You need to step back and plan how
Sarbanes  Oxley  compliance  issues.you're going to be incorporating the
structures and requirements of Sarbanes Oxley
There are a number of issues you can expectinto your daily work routines. And once a
to  impede  this  process:plan has been defined, you must follow the
plan, and ensure everyone else is also
Project mindset - Your managers will probablyfollowing  it.
look at Sarbanes Oxley compliance as a
project with a clearly definable endpoint.Underestimating the Impact to Technology -
This is not at all the case. The more quicklySarbanes Oxley would simply not have been
you can move to change their attitude, thepossible twenty years ago. Technology is
more likely you'll have a clear and simplecritical for your compliance with this act.
transition into the new way of doingYou can expect to make significant technology
business. You can use such items as continualinvestments as you procede to implement
education and newsletter updates as ways toSarbanes Oxley compliance. Investments will
show your managers that you expect Sarbanescover such things as sustainable compliance
Oxley to change the way they do businesswith repository, work flow, and audit trail
forever.functionality. In addition, your internal
control monitoring and reporting will depend
Manpower issues - Sarbanes Oxley complianceheavily on technology. At some large
is not friendly to businesses who are tryingcorporations, it might be worth looking into
to streamline their workforce. Though you mayhiring another full-time IT person who has
have to increase the size of your employeebeen specifically trained in implementing and
pool at the beginning of your Sarbanes Oxleymaintaining Sarbanes Oxley technological
compliance process, you can expect this poolinfrastructure.
to decrease as you gradually fold Sarbanes
Oxley compliance methodologies into yourIgnored Risks - Risk assessment is vital in
normal  way  of  doing  business.Sarbanes Oxley compliance. One of the first
meetings you should have as you implement
Poorly-defined roles in internal control - ifSarbanes Oxley compliance is one on risk
you don't clearly lay out responsibilitiesmanagement. Inadequately assessing risk can
such as auditing, accountability, and projectlead to serious financial reporting errors
management, your Sarbanes Oxleythat can render your investment in training
compliance]tasks are going to be needlesslyand compliance useless.



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