A fundamental element of internal control is the segregation of certain key duties. Adequate segregation of duties reduces the likelihood that errors (intentional or unintentional) will remain undetected by providing for separate processing by different individuals at various stages of a transaction and for independent reviews of the work performed. The basic idea underlying segregation of duties is that no employee or group should be able to perpetrate or conceal errors or fraud in the normal course of their duties.
This tool contains 14 sample questionnaires auditors can use to ensure proper segregation of duties for a variety of processes, including payroll, fixed assets and inventory.
Segregation of Duties Review Report
Application Audit Work Program