Going public can place additional strains on the company. There comes a need to establish an effective process of internal controls, outlining the correct processes and upgrade outdated systems.
Establishing an effective controls framework, the following industry standardised practices. Moving on from outdated and redundant frameworks to reflect the current business environment.
Ensuring the company is up-to-date with all financial reporting standards, laws, regulations and policies is a must, as failure to do so puts the organisation at risk.
This may include updating;
- Reliability of financial reporting
- Feedback on achievement of company goals
- Compliance with existing laws and regulations
New Systems Discovery & Implementation
As part of updating internal controls a new selection of a core business system. Companies usually hire consultants to help discover the right software package for the business ensuring it fits all the necessary requirements.
Consultants on behalf of the business research and invite system vendors with an invitation to tender, with responses including product demonstrations and system implementation procedures. Lining out the requirements of the business and what a ‘successful package’ would offer, such as its accounting, management and reporting capabilities.
Consultants will then review all the offers provided, then select the package that best suits the business based on factors such as, functionality, price, scalability and compliance with future company objectives.
The company will then push forward with its objective to implement the new system usually at the start of a new financial year, with the objective to make financial data more accurate and accessible for financial reporting.