Reference no: EM133025607

FNSORG602 Develop and manage financial systems

The Financial Services Reform Act

1 establish financial systems requirements

Consult relevant stakeholders and analyse existing financial plans to determine financial system requirements for efficient financial administration

The principle of recording
Identify and record reporting and procedural requirements that affect the organisation for future reference

Identify risks to financial viability and cost contingency strategies to manage risk

Source documents and references required for payroll

2 design financial system management

Access sources of competent assistance and use advice to secure financial records and assets

Ensure financial management system design provides accurate and timely information about organisation's transactions, working capital and cash flow Financial controls

Analyse effectiveness of processes and recommend improvements

Develop an understanding of what is acceptable

Identify, document and make recommendations

Choosing appropriate technology

Identify, acquire and implement installation of equipment and software needed for operation of system to support organisation's transactions

Ensure financial reporting requirements are known and used by relevant personnel

Ensure established financial reports provide accurate and timely data required for financial decision making

Identifying organisational requirements

Produce agreed schedules of account recording and reconciliation systems at regular intervals that support organisation's service provision and business decisions

Ensure mechanisms for review of terms of trade and fee structures are suited to organisation's needs and meet industry standards

Prepare financial reports at regular intervals in rrequired format to meet external audit requirements

3 prepare and review financial plans

Link financial plans to reviews of organisation's strategic business plan to enable timely financial adjustments

Why complete budgeting and financial planning?

Capital expenditure budgets (Capex)

What would be some benefits of using KPI's in your business?

Errors, Implementation, and resolution

Corporate Governance and internal control

4 Monitor and review financial reporting systems
Use financial reporting systems to evaluate organisational performance against agreed performance indicators, and enable timely adjustments to be made to business investments

The Auditor
Monitor financial reports and systems to ensure ease of use by staff authorised to manage organisation's finances

Assessment

Question 1 Who are the financial stakeholders at your organisation and how are they consulted re the financial plan of the organisation?

Question 2 What is the main purposes of financial planning and control

Question 3 Give three methods for estimating the organisations financial needs? How would these needs be recorded?

Question 4 What is the difference between an internal and external audit? How often is your internal audit completed -
Who is it disseminated to, how is it disseminated, who analyses the reports, and how are the recommendations instigated ? Give examples if possible in your answer

Question 5 How are the audit processes run at your organisation, and how are the results disseminated?

Question 6 What planning takes place for contingency strategies in your organisation, and who ensures the strategies are followed through?

Question 7 No one is a specialist in all fields. How do you solve the problem of sourcing professional financial advice?

Question 8 What are the three time frames relating to financial services or planning, and how far ahead as a minimum should your financial plan project?

Question 9 For your industry research at least 3 different types of specialized computer software systems that are available. Give a brief summary of each, and a reason why you would choose one ahead of the other two

Question 10 For question 9, does the software system you chose meet your organisations needs? Is there anything you would like to see changed in the system?

Does the system meet all your reporting requirements - both internal and external?

Question 11 All industries have CPD and generally some form of Government legislative requirements. How does your organisation maintain its currency and compliance requirements?

Question 12 What is the system used at your organisation for financial reporting? Explain how the reports are used in the day to day planning and long term planning of the business - use examples

Question 13 explain the difference between: seasonal and working capital and short term versus long term finance pointing out the advantages and disadvantages of both

Question 14 Risk is a very broad term. Define risk in general and then the concept of financial risk.

Question 15 Research and explain the difference between financial accounting and management accounting.

Question 16 Your organisation should be constantly planning ahead for its survival and continuing success. Who does this in your organisation, are you involved, is any information disseminated and how, can you think of any changes brought about by financial planning that had an effect (positive or otherwise) on the organisation?

Question 17 For your organisation, how are fees structured and reviewed and how do they compare with industry standards - explain with examples.

Question 18 Personal risk insurances are readily available eg life insurance. Research and list the different types of risk insurance policies and explain which would be recommended for someone in your industry.

Attachment:- Develop and manage financial systems.rar