As your Sarbanes-Oxley project moves toward a process approach, it is important to standardize the documentation of internal controls. This presentation serves as a guide for successfully achieving that standardization. Sections in this presentation include: outlining what to document, how to do it and to what extent; understanding the documentation road map; identifying and assessing key risks; and performing walk-through procedures.
When documenting processes, risks and control activities:
Use the Process Classification Scheme to identify key processes that materially affect priority financial reporting elements.
Document input, activities and outputs for each subprocess. Source risks and identify key control points.
Identify related process risks for each subprocess.
Compare process flows to current procedures, identify gaps, and develop and update procedures, as necessary.
Utilize a company-specific process map for each subprocess.