General Financial

Lead Text

Office of Internal Audit
1. Is there an organizational chart clearly defining lines of authority and responsibility within the unit?
  • Ideal Answer: Yes. If no organizational chart is available, such lines should be clearly established and communicated to the department or unit. 
2. Is there a current policies and procedures manual in the department covering all functions? Is there a systematic procedure to keep them updated?
  • Ideal Answer: Yes. Documenting procedures helps ensure consistency by providing a clear means to communicate standards and expectations to staff. 
3. Are all funds and accounts reviewed monthly and variances or deficits noted, analyzed and reported to management with corrective action taken?
  • Ideal Answer: Yes. Departments should ensure financial reports are adequately reviewed, analyzed, and unusual activity, deficits, or trends reported to management so appropriate correction action can be implemented. A review process should be documented with the reviewer’s initials, date of review, and notes of action taken, if any. Please refer to FARS’ Account Reconciliation Process webpage for additional assistance with managing financial information.
4. Are all financial funds or accounts assigned to a responsible person who is accountable as part of their duties for properly managing the fiscal resources?
  • Ideal Answer: Yes. Regular monitoring of financial activity promotes frequent communication within the department, which can help reduce misunderstandings and identify and solve potential problems sooner. Please refer to FARS’ Account Reconciliation Process webpage for additional assistance with managing financial information.

5. Does the department maintain the detail for all journal entries prepared and submitted to the general ledger?

  • Ideal Answer: Yes. Often the general ledger journal entry is just a summary of many transactions over the course of a day, week, month, etc. Depending on the type of journal entry, supporting documentation is required to be submitted to FARS with the journal entry. The department should always keep a copy of the journal entry and supporting documentation for their records and audit purposes. Please refer to FARS’ Journal Entries webpage for additional assistance.
6. Are the results of unit operations monitored through the use of measurable performance indicators? Are written reports required by management to evaluate performance?
  • Ideal Answer: Yes. Departments should have a methodology to identify key business processes and routinely measure how well they carry out those processes. Key processes are the processes the unit engages in to achieve the mission and function of their unit. 
7. Do supervisors meet regularly and informally with management? Do reports highlight significant or unusual variations?
  • Ideal Answer: Yes. Frequent communication can help reduce misunderstandings and identify potential problems earlier. 
8. Does the department have procedures for monitoring compliance?
  • Ideal Answer: Yes. Departments should identify all significant compliance requirements applicable to their unit and ensure responsibility for maintaining compliance is clearly assigned to appropriate personnel. Please see the Office of Sponsored Programs' (OSP) website for additional compliance information.
9. Are records maintained in accordance with the records retention guidelines?
  • Ideal Answer: Yes. Departments should be aware of FARS’ Record Retention Schedule for financial records. Original records generated by a department that are not submitted to another University department should be maintained by the department at least seven years and indefinitely for student and legal records. Please contact University Counsel if guidance is needed for specific records.
10. Does department record and track issuance of keys?
  • Ideal Answer: Yes. Departments should be aware of employees who have keys to buildings, labs, safes, etc., and ensure all keys are promptly returned from any employee either no longer requiring access or leaving the employment of the University.

11. Are all department employees who work with student records familiar with FERPA policies?