Our Services
Internal Audit
A process-based internal audit approach, in line with the COSO framework, focuses on auditing the processes that support the organization’s internal controls. This methodology aims to assess whether these processes are effective, efficient, and compliant with regulations.
To implement a process-based internal audit according to the COSO framework, follow these structured steps:
The COSO framework is based on five key components that guide internal controls:
- Control Environment: Establishing a foundation for internal controls with a strong organizational culture and governance.
- Risk Assessment: Identifying and analyzing risks to achieve objectives.
- Control Activities: The policies and procedures that mitigate risks and ensure objectives are achieved.
- Information and Communication: Ensuring relevant information is communicated across the organization.
- Monitoring Activities: Ongoing assessment to ensure controls are operating effectively.
In the process-based approach, the focus is on the specific business process being audited (such as Indent to Pay, Order to Cash, Inventory management, Accounts & Finance, etc.). The first step is identifying and defining the process areas.
A process-based internal audit begins with assessing the control environment as it influences the overall effectiveness of internal controls. Consider factors such as:
- Organizational structure and culture
- Management’s attitude towards risk and compliance
- The integrity of employees involved in the process
- Availability and competence of resources for the specific process
- Identify Risks: Identify and document the risks associated with the process (e.g., fraud, errors, compliance violations).
- Assess Risk Impact: Evaluate the likelihood and impact of these risks on the process.
- Determine Risk Tolerance: Assess the organization’s tolerance to these risks.
These are the specific actions or procedures implemented to mitigate identified risks within the process. This includes:
- Policies and Procedures: Check for formal written procedures that guide the process.
- Segregation of Duties: Ensure that there is proper segregation of duties to prevent fraud or errors.
- Authorization Controls: Ensure that transactions are properly authorized before execution.
- Physical and IT Controls: Evaluate safeguards over physical and digital assets, including access controls to prevent unauthorized access to critical systems.
- Preventive and Detective Controls: Determine if the controls are proactive in preventing errors or violations, and whether they can detect issues in a timely manner.
Internal communication and the flow of information are critical to ensuring that processes run efficiently and meet compliance requirements. The audit should assess:
- Whether information related to the process is communicated effectively between departments.
- The availability and quality of data for decision-making and reporting.
- The effectiveness of communication channels, ensuring that information reaches relevant stakeholders in a timely manner.
Monitoring refers to assessing the ongoing effectiveness of the internal controls over time. This involves:
- Ongoing Monitoring: Conducting real-time or periodic checks to ensure that controls continue to function as intended.
- Periodic Audits/Reviews: Assessing controls periodically through internal or external audits to ensure continuous compliance and effectiveness.
Once the framework is applied to the process being audited, the internal audit team should:
- Document and Test Controls: Perform control testing to verify that controls are in place and operating effectively.
- Review Process Documentation: Ensure that the process is well-documented, and records are maintained as evidence of compliance.
- Evaluate the Adequacy of Controls: Assess if existing controls are sufficient or need improvement.
- Test for Compliance: Verify that controls adhere to legal, regulatory, and internal standards.
After the audit, the internal audit team should provide a comprehensive report that includes:
- Findings: A summary of identified issues or weaknesses in the process.
- Risk Impact: An evaluation of the risks associated with the findings.
- Recommendations: Practical suggestions for improving internal controls, risk mitigation, or process efficiency.
- Action Plan: Outline of corrective actions and timelines for improvement.
Once the audit is completed, the organization should take steps to address the findings, implement the recommended changes, and monitor the effectiveness of those changes. This phase often includes:
- Conducting follow-up audits to ensure that improvements have been implemented.
- Updating the process controls and documentation as necessary to reflect any changes or improvements.
Business Consulting Services
Management By Objective
Transform Your Organization with Clear Goals and Focused Direction:In today’s fast-paced business world, alignment and measurable results are key to achieving long-term success. At Astral Business Consulting LLP, we help organizations unlock their potential by adopting a strategic approach to goal-setting that drives efficiency and accountability.
Organizations thrive when every team member understands how their contributions connect to broader business objectives. By aligning individual roles with company-wide goals, teams become more engaged and collaborative, working toward shared success.
The MBO Framework: Empowering Your Organization:Management by Objectives (MBO) is a time-tested approach to creating clarity, focus, and measurable progress. Inspired by Peter Drucker’s vision, MBO helps organizations define specific, achievable goals and track performance in real-time, ensuring that everyone is working toward common objectives. It’s a strategy that fosters accountability and boosts team morale, ultimately driving sustainable growth and success.
Annual Business Plan
Your Path to Strategic Growth – Thoughtful, Focused, and Effective:Achieving business success is no accident. It’s the product of thoughtful, strategic planning that keeps your team aligned and on track. We specialize in helping organizations develop clear and actionable Annual Business Plans designed to drive meaningful results.
By collaborating with you, we ensure your business has a structured framework that guides decision-making and fosters consistent progress. Our approach focuses on setting a clear direction, aligning goals, and enabling your team to adapt with confidence throughout the year.
With a carefully crafted plan, your business will be positioned for sustainable growth, better decision-making, and a strong foundation to navigate changing landscapes.
On Time Delivery
Timely Delivery that Drives Lasting Impact:We understand that on-time delivery is not just a promise—it’s a key driver of your company’s success. In today’s fast-paced business world, delays can lead to missed opportunities, damaged relationships, and lost revenue. That’s why we pride ourselves on being the go-to partner for businesses looking to overcome delivery challenges and meet deadlines with confidence.
The Importance of Timely Delivery:On-time delivery is crucial in today’s competitive business environment. The ability to meet deadlines consistently affects everything from customer satisfaction to operational efficiency.
Timely delivery is one of the key factors influencing customer satisfaction. Customers expect prompt, efficient service, and when they receive it, they are more likely to return and recommend your business. This focus on efficiency can help streamline operations, reduce bottlenecks, and optimize processes, ultimately leading to improved productivity and cost savings for the business.
Organizational Diagnosis
Unlock the Full Potential of Your Business with Organizational Diagnosis:We believe that every successful business starts with a deep understanding of its internal dynamics. Our Organizational Diagnosis service is designed to uncover the hidden challenges, inefficiencies, and opportunities within your company. Through a comprehensive analysis of your organization’s structure, processes, culture, and performance, we help you identify the root causes of any issues that may be hindering growth or operational efficiency.
The Importance of Organizational Diagnosis:Organizational Diagnosis is a systematic process of evaluating an organization’s overall health. It involves a thorough review of both tangible and intangible factors that impact your business, including leadership effectiveness, employee engagement, communication, workflows, and operational processes. By assessing these components, we can identify misalignments, bottlenecks, and gaps that might be limiting your company's success.
This approach not only uncovers inefficiencies and bottlenecks but also reveals opportunities for alignment and improvement that can transform your organization into a more agile, productive, and resilient entity.
Risk Advisory
Internal Control Testing Service Overview
In today’s intricate business environment, robust internal controls are crucial. Our Internal Control Testing Services guarantee process integrity, compliance, and reliability. We perform thorough testing, detailed analysis, and offer actionable insights to protect your operations and meet regulatory standards. Utilizing advanced data analytics and rating indices, we evaluate internal controls for alignment with business operations, benchmark corporate governance processes, and provide actionable recommendations to enhance controls and address deficiencies.
We assist organizations in developing or enhancing their Internal Control Frameworks. By benchmarking against internationally recognized standards like COSO, we identify gaps and recommend actionable improvements. Our approach ensures comprehensive coverage of entity-level, financial, IT, and operational controls.
We work closely with management to develop thorough, effective, and efficient internal control systems. Our identified improvements have enabled organizations to comply with the Companies Act, 2013, and the updated Clause 49 of the SEBI Listing Agreement.
1. Initial Consultation and Planning
We begin with a detailed consultation to understand your organization’s unique needs and objectives. Our experts collaborate with your management team to outline the scope and goals of the IFC assessment.
2. Risk Assessment and Identification
Our team conducts a thorough risk assessment to identify potential financial, operational, and compliance risks. We evaluate existing controls and pinpoint areas that require enhancement.
3. Control Design and Implementation
Leveraging industry best practices and frameworks like COSO, we design and implement robust control activities tailored to your organization’s specific risks and operational processes.
4. Control Testing and Evaluation
Using advanced data analytics tools, we rigorously test the effectiveness of your internal controls. Our systematic approach ensures that all controls are functioning as intended and mitigating identified risks.
5. Gap Analysis and Benchmarking
We perform a comprehensive gap analysis, comparing your current control environment against industry standards and benchmarks. This helps us identify deficiencies and areas for improvement.
6. Reporting and Recommendations
Our findings are compiled into a detailed report, providing actionable insights and recommendations. We offer practical solutions to enhance your internal controls and address any identified gaps.
7. Implementation Support and Follow-Up
We assist with the implementation of recommended improvements, ensuring seamless integration into your existing processes. Our team provides ongoing support and follow-up assessments to ensure sustained effectiveness.
8. Continuous Monitoring and Improvement
To maintain a robust control environment, we establish continuous monitoring mechanisms. Regular reviews and updates ensure that your internal controls evolve with changing business needs and regulatory requirements.
After the Steps
This structured approach ensures that your organization’s internal controls are not only compliant but also efficient and effective, safeguarding your operations and enhancing overall governance. How does this align with your vision for the website content?
Success Story
Certainly! Here’s a success story from our Internal Financial Control (IFC) assessment work:
Client Background: A mid-sized manufacturing company was facing challenges with compliance and operational inefficiencies. They were concerned about potential risks and the accuracy of their financial reporting.
Our Approach:
- Initial Assessment: We conducted a thorough review of their existing internal controls, benchmarking them against the COSO framework.
- Risk Identification: We identified key risk areas, including financial reporting inaccuracies and operational inefficiencies.
- Control Testing: Using advanced data analytics tools, we rigorously tested their internal controls to assess their effectiveness.
- Gap Analysis: We pinpointed specific gaps and deficiencies in their control environment.
Results:
- Enhanced Compliance: The company achieved full compliance with the Companies Act, 2013, and other relevant regulations.
- Improved Efficiency: Operational processes were streamlined, resulting in a 20% increase in efficiency and ERP usage.
- Accurate Financial Reporting: Financial reporting accuracy improved significantly, reducing errors by 30%.
- Risk Mitigation: Key risks were effectively mitigated, safeguarding the company’s assets and operations.
Client Feedback: The client appreciated our systematic approach and actionable insights, which not only helped them comply with regulations but also improved their overall operational efficiency and financial accuracy.
This success story highlights how a comprehensive IFC assessment can drive significant improvements in compliance, efficiency, and risk management. Would you like to know more about any specific aspect of our methodology?
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Tailoring Internal Financial Control (IFC) assessments for different industries involves understanding the unique risks, regulatory requirements, and operational processes specific to each sector. Here’s how we customize our approach:
1. Industry-Specific Risk Assessment:
- Manufacturing: Focus on supply chain risks, inventory management, and production processes.
- Financial Services: Emphasize compliance with financial regulations, fraud prevention, and transaction accuracy.
- Healthcare: Address patient data security, regulatory compliance, and operational efficiency.
2. Regulatory Compliance:
- We ensure that the IFC framework aligns with industry-specific regulations and standards, such as HIPAA for healthcare or Basel III for banking.
3. Customized Control Activities:
- Design control activities that address the specific operational and financial risks of the industry. For example, in retail, we focus on point-of-sale controls and inventory accuracy.
4. Technology Integration:
- Leverage industry-specific technology and data analytics tools to enhance control testing and monitoring. For instance, using advanced analytics in financial services to detect anomalies in transactions.
5. Stakeholder Engagement:
- Collaborate with key stakeholders to understand industry-specific challenges and incorporate their insights into the IFC framework.
6. Benchmarking and Best Practices:
- Benchmark against industry peers and incorporate best practices to ensure the IFC framework is robust and effective.
7. Continuous Improvement:
- Regularly update the IFC framework to adapt to industry changes and emerging risks.
By tailoring our IFC assessments to the specific needs of each industry, we ensure that our clients receive relevant, effective, and compliant internal control solutions. Would you like to discuss how we can tailor an IFC assessment for your specific industry?
Continuous Assurance Services
Continuous Assurance Service Overview
CAS is a set of audit and monitoring services designed to provide ongoing, real-time evaluation of an organization's financial and operational processes with the support of technology. It aims to ensure that an organization's internal controls, financial reporting, and compliance activities are functioning effectively and in accordance with established standards and regulations, with minimal delay between the occurrence of events and their detection. CAS is a proactive approach to identifying problems earlier and preventing them from reoccurring.
Objectives of CAS
CAS provides assurance on the accuracy/correctness on the following:
- To ensure compliance with established policies and procedures framed by the management
- To identify any potential errors or irregularities in the existing process
- To evaluate that internal controls are effective and efficient
- To provide management with feedback on the overall effectiveness of financial and operational controls and provide process improvements
How CAS Helps the Organization
- Identify potential issues as an early warning system
- Allow preventive/corrective action to be taken in a timely manner
- Ensure compliance with established policies and procedures
- Mitigate financial and operational risks
- Ongoing and real-time monitoring to detect errors/fraud
- Streamline internal controls
- Greater Transparency
- Timely Information to expedite decision making
- Reduce the risk of financial loss
CAS Assurance Areas
Under CAS Services, we have categorized the services into 5 major assurance areas:
Revenue Assurance (RA):
- Ensure billing integrity and accuracy with respect to price and customer master
- Prevent revenue leakage/fraud detection
- Identify revenue cycle inefficiencies and recommend best industry practices
- Ensure compliance with internal policies and external regulations
- Facilitate the revenue reconciliation
- Ensure compliance with pricing, schemes, discounts, and rebates
- Ensure accuracy in accounts receivable & DSO
Payment Assurance (PA):
- Ensure timely payments to vendors
- Reduce the risk of incorrect transaction/non-payments/duplicate payments
- Ensure payments are made as per defined internal policy
- Prevent fraud/revenue leakage
- Facilitate payment reconciliation from multiple channels
- Ensure accuracy in accounts payable
- Validate the timely accounting of debit & credit notes
- Ensure the accuracy of attendance and payroll verification
Statutory Assurance (SA):
- To avoid legal penalties, fines, and/or interest
- To ensure financial integrity and accuracy
- To ensure the accuracy of tax compliance, including:
- Goods & Service Tax (GST) and other indirect taxes
- Tax withholding (TDS) from employee salaries or contractor payments
- Tax returns filing and documentation
- Income Tax for individuals and corporations
- To ensure accuracy in labor and employment laws, such as:
- Employee Provident Fund (EPF)
- Employee State Insurance (ESI)
- To ensure compliance with statutory regulations like the Factories Act, Companies Act, etc.
Operational Data Assurance (ODA):
- Ensure accuracy, reliability, and completeness of operational data
- Identify and prevent data errors, inconsistencies, or discrepancies
- Ensure the timely availability of required data
- Mitigate the risk of fraud and misreporting
- Increase confidence in data quality
Branch Assessment Rating System (BARS):
- BARS is a quantitative and qualitative evaluation approach to measure a branch's performance based on key metrics related to strategy and operational activities.
- BARS assesses how well a branch performs in achieving its objectives, delivering products and services, and managing resources.
Challenges in Operating Businesses in Multiple Locations
- Achieving targeted branch profitability
- Optimization of inventory levels
- Compliance with statutory requirements
- Monitoring of expenses within the budget
- Non-availability of information at the right time for decision-making
- Inconsistency of system and process across branches
- Managing the quality of service and customer satisfaction
- Fixing the right metrics for performance evaluation
Why BARS is Important?
By implementing a branch assessment rating system, businesses can ensure that their branches operate efficiently, provide high-quality services, and achieve their performance targets.
- Branch assessment rating systems are essential for businesses to align their branches activities with the organizations objectives.
- The system helps to identify areas of improvement, reward high-performing branches, and allocate resources effectively.
- The system will review and evaluate, both financial and non-financial aspects, service and other related operations, management methods and performances, functional efficiency and responsibility of the people and systems and procedures that exists at each branch.
Benefits of BARS:
- It helps in improving the operational efficiency
- To evaluate the performance of the branches effectively
- To develop healthy competition among branches
- It improves transparency across the branch
- To assist in investment decisions and manpower planning
- To assist in developing any incentive schemes
Key Metrics in BARS
The branch assessment rating system utilizes specific metrics to evaluate how well a branch is performing. The key metrics used in the system include financial performance, customer satisfaction, employee satisfaction, operational efficiency, and sales performance.
In BARS, 95+ Key Metrics were considered for assessment and rating purpose, covering the areas in Strategy, Operation and Compliance. The following were the sample key metrics:
- Profit margin
- Return on Investment (ROI)
- Branch Expenses to sales
- Adherence to budget
- Days Sale Outstanding (DSO)
- Cash Flow
- Sales Growth %
- Achievement of sales target
- Conversion Ratio (HIT ratio)
- Average Realization value
- Adherence to marketing events & brand promotions
- Adherence to credit policy
- Market Penetration
- Branding / Visibility
- Ratio between existing and new customers
- Average sales per person
- On-time dispatch of goods & updating of proof of delivery
- Adherence to Invoice policy & procedures
- Adherence to statutory compliance – e-invoice/e-waybill
- Number of invoice cancellations due to manual error
- Adherence to SOP
- Inventory turnover ratio
- Non-moving stock
- Ontime after sales service
- Quality of Service
- Customer feedback score
- Customer repetitive order
- Customer complaints
- Service defects
- Net promoter score (NPS)
- Number of employees achieving target
- Employee turnover
- Average experience of the employees
- Adherence to the training schedule
Analytics and Automation
- Robotic Process Automation
- Audit Automation
- Data Analytics & Dashboards
Cycle Count & Asset Management Services
Leading Stock and Asset Verification Service
Inventory Verification
Conducting stock verification overnight allows for a more accurate count, as there are typically fewer disruptions and activities during non-business hours. This can result in more precise stock levels and reduced discrepancies.
Stock audits help ensure the accuracy of inventory records by comparing them with physical stock levels. Identifying and correcting discrepancies can prevent stockouts, overstocking, and other inventory-related issues.
Subcontract location stock verification refers to the process of verifying and auditing inventory levels at external or subcontracted warehouses or locations.
WIP stock verification provides accurate data on the current status of work in progress. This information is crucial for production planning, helping businesses adjust schedules, allocate resources, and meet customer demand more effectively.
Pan India stock verification provides a comprehensive view of inventory levels across all locations. This allows businesses to manage their stock more effectively and make informed decisions about replenishment, distribution, and overall supply chain optimization.
By cycling through different parts of the inventory on a regular basis, businesses can maintain a more accurate and up-to-date representation of their stock levels.
Retail and showroom stock verification ensures that the recorded inventory levels match the actual physical stock on hand. This accuracy is crucial for financial reporting and decision-making. It helps identify discrepancies between the recorded and actual stock, enabling businesses to hold individuals or processes accountable for any discrepancies.
Fixed Assets Management
Fixed asset verification, also known as asset auditing or asset reconciliation, involves periodically verifying and reconciling a company’s fixed assets to ensure that the recorded information matches the actual physical assets.
A well-prepared FA register ensures that the financial statements accurately reflect the value and status of fixed assets. This is crucial for providing stakeholders with reliable information for decision-making and financial analysis.
Coding and tagging provide a systematic way to track and locate fixed assets. With a unique identification code on each asset, staff can easily locate and reference specific items in databases or asset management systems. Tagging of assets involves physically affixing labels or tags with unique identification codes, such as barcodes or RFID tags, to individual assets.
Audit Assurance
- Internal Audit - Risk based
- Internal Audit - Process based
- Revenue Assurance
- Continuous Audit
- Due Diligence & Investigation
- Concurrent Audit
- Stock Audit
- Fixed Assets Audit & Usage analysis
Compliance
- Internal Control over Financial Reporting (IFC)
- SOC II
- ISMS - ISO27001
- GST and TDS
Information System Services
Unlock your business potential with our comprehensive Information System Services. We are specialized in ERP Consulting, ISMS Consulting, and RPA Consulting to drive efficiency and security of the Organization.
1. ERP Services
ERP Product Selection & Implementation Support:
In today's competitive business environment, effective enterprise resource planning (ERP) is crucial for success. Our ERP consulting services are designed to help businesses streamline your operations, improve efficiency, and achieve strategic goals. Our ERP consulting process provides you with a clear roadmap for success. From initial assessment to post-implementation support, we guide you every step of the way to ensure a smooth transition and maximum benefit from your ERP system.
- Product selection Strategy
- Understand complete business processes
- Preparation of RFP
- Document High level business requirement
- Business Cases Preparation
- Facilitate Product Demo and Product selection
- ERP Implementation – Project Management
- Non-moving stock
- Facilitate CRP sessions
- Support Master Data cleansing
- Support User Acceptance Testing
- Arrive Go-Live Strategy and handhold till go-live
- Post Implementation support
- Bridge the gap between Client and Partner
An effective ERP system is essential for managing your business operations efficiently. However, over time, even the best systems can become outdated or misaligned with your business needs. Our ERP audit services provide a thorough evaluation of your current system, identifying areas for improvement and ensuring that your ERP solution delivers maximum value.
Following are the activities we cover under ERP / Application Audit:
- Conduct micro level walkthrough of process / ERP
- Understand Whole system and review
- Ensure SDLC Process
- Review of Access related controls
- ERP Application Audit Report submission
- Preparation of Roadmap on IT / ERP etc.
- Provide support in implementing gaps through partners
An ERP Clinic is a specialized service that Astral offers consultation, support, training, and solutions related to Enterprise Resource Planning systems. Businesses can approach Astral’s ERP clinic to address various ERP-related needs, challenges, and opportunities to optimize their ERP systems and processes.
Conducting an in-depth analysis of the organization's current ERP system to identify strengths, weaknesses, and areas for improvement. Providing recommendations for optimizing the ERP system to better align with business goals and improve operational efficiency.
Assisting businesses in the implementation of recommendations provided for optimization of ERP systems, including system configuration, data migration, and integration with existing systems.Providing support for seamless integration of ERP modules and functionalities to streamline business processes
Offering training programs for employees to enhance their understanding of the ERP system and maximize its benefits. Providing ongoing support to ensure smooth user adoption and utilization of the ERP system to improve productivity and decision-making.
Developing customizations and enhancements for the ERP system to meet specific business requirements and industry needs. Providing technical support for resolving system issues, optimizing performance, and ensuring data accuracy.
Assisting businesses in upgrading their ERP systems to the latest versions to access new features, improve security, and ensure regulatory compliance. Providing ongoing maintenance services to keep the ERP system running smoothly and efficiently.
Ensuring that the ERP system complies with industry regulations, data protection laws, and internal security policies. Implementing security measures and controls to protect sensitive data and prevent unauthorized access.
- Access to Expertise: Businesses can leverage the knowledge and experience of ERP consultants to address complex ERP challenges and maximize system efficiency.
- Tailored Solutions: ERP clinics can provide customized solutions and services tailored to the specific needs and requirements of each business.
- Improved Efficiency: By optimizing the ERP system and processes, businesses can improve operational efficiency, data accuracy, and decision-making.
- Cost-Effectiveness: Utilizing an ERP clinic can help businesses avoid common pitfalls, reduce downtime, and maximize the return on investment in their ERP systems.
In summary, an ERP clinic offers a range of services to help businesses effectively implement, optimize, and maintain their ERP systems to drive business growth and success. By partnering with Astral’s ERP clinic, businesses can unlock the full potential of their ERP systems and stay competitive in today's dynamic business environment.
2. Information Security Services
ISO 27001 Implementation Support
Why organization needs an ISO 27001?
ISO/IEC 27001 is an information security management system (ISMS) that helps organizations identify, manage, and reduce the risk of cyber-attacks and other information security threats. It can help organizations of any size or industry comply with legal and regulatory requirements, such as the General Data Protection Regulation (GDPR) and Network and Information Systems (NIS) Regulations. Being an ISO 27001 certified company, the following benefits are availed,
- Enhanced Information Security
- Compliance Requirements
- Risk Management
- Customer Trust and Confidence
- Competitive Advantage
- Improved Processes and Efficiency
- Reduced security incident & cost
In Astral, we ensure our clients obtain the above benefits through the following process:
- ISMS Gap Assessment
- IT Risk Assessment and Mitigation Plans
- Preparation of Policy and Procedures as per ISO27001 standard requirements
- Facilitate ISMS Implementation
- Conduct ISMS Internal Audits and MRMs
- ISMS Migration Support (from 27001:2013 to latest standard 27001:2022)
ITGC Audit
An ITGC (Information Technology General Controls) audit is a critical component of an organization's internal controls over financial reporting. It ensures the reliability, integrity, and security of IT systems and the data they process. By evaluating the controls that safeguard IT systems, an ITGC audit helps mitigate risks related to data breaches, operational disruptions, and financial misstatements. Astral, being an expert for decades in Information Security and ITGC audits, will help you in risk mitigation, compliance, and operational efficiency.
Astral’s ITGC audits typically focus on four main areas:
- Access to Programs and Data: Ensures that only authorized personnel have access to critical systems and data. This includes reviewing user access controls, authentication mechanisms, and permissions management.
- Program Development and Changes: Assesses the processes for developing, testing, and deploying new software applications and changes to existing applications. This ensures that changes are appropriately authorized, tested, and documented to prevent unauthorized modifications and errors.
- Computer Operations: Examines the procedures for managing IT operations, including data backups, incident management, and system monitoring. This area ensures that IT services are available, reliable, and recoverable in case of disruptions.
- Program and Data Integrity: Focuses on the controls that ensure data accuracy and completeness. This includes database management, data validation controls, and encryption protocols.
Importance of ITGC Audit Conducting an ITGC audit is essential for several reasons:
- Regulatory Compliance: Many regulations, such as Sarbanes-Oxley (SOX) in the United States, require organizations to have robust IT controls in place. An ITGC audit helps ensure compliance with these regulations.
- Risk Mitigation: By identifying and addressing weaknesses in IT controls, organizations can reduce the risk of data breaches, financial fraud, and operational disruptions.
- Operational Efficiency: Effective IT controls support reliable and efficient business operations, leading to better decision-making and resource utilization.
- Trust and Confidence: A strong IT control environment enhances the trust of stakeholders, including investors, customers, and regulatory bodies, in the organization's financial reporting and overall governance.
An ITGC audit is a fundamental aspect of ensuring the security, reliability, and integrity of an organization's IT systems. By systematically evaluating and enhancing IT controls, organizations can safeguard their data, comply with regulations, and support efficient business operations.
Best Accountant (Accounts Outsourcing)
Brief Methodology for services provided by Best Accountant
Accounting Services
- Book Keeping Services
- Accounts Payable Management
- Accounts Receivable Management
- Payroll Processing
- Monthly Financials Preparation & Management
- Tender Reconciliation
- Year-End Books Finalisation Support
- Streamlining Existing Accounting Process
1. Book Keeping Services
- Chart of account Management for meaningful grouping of ledgers.
- Correct and timely recording of financial transactions – Sales/Services, Purchases, Bank, Cash, Journals etc.
- Generate financial statements namely, P&L, Balance sheet etc.
- Reconciliation of accounts.
- Exploring automation opportunities
- On Site – by placing staff at the client’s location.
- Off Site – Virtually through staff working away from client’s location.
- Full time – dedicated staff throughout the working days.
- Part time – for lesser volume, affordable.
2. Accounts Payable Management
- Develop Standard operating procedure
- Vendor Master Management
- 5-way matching – Indent Vs order Vs GRN vs QC Vs Invoice.
- Record Invoices
- Prepare Vendor ageing
- Submit payment plan
- Raise payment advice
- Record Payments
- Reconcile Bank statement
- Bill to bill matching
- Maintain related control accounts
- Reconcile vendor statements
- Provide information for GST returns
- Provide information for TDS.
- Exploring automation opportunities
3. Accounts Receivable Management
- Develop Standard operating procedure
- Customer Master Management
- Record Invoices
- 3-way matching – Order Vs DC vs Invoice.
- Prepare Customer ageing
- Submit outstanding report
- Receive payment advice
- Record receipts
- Bill to bill matching
- Reconcile Bank statement
- Maintain related control accounts
- Reconcile customer statements
- Provide information for GST returns
- Provide information for TDS.
- Exploring automation opportunities
4. Payroll Processing
- Develop Standard operating procedure
- Employee master Management
- Obtain Attendance
- Process salary, deductions, Incentive & allowances.
- Submit payment requisition
- Raise payment advice
- Record payment
- Reconcile Bank statement
- Provide information for PF, ESI etc.
- Provide information for TDS
- Exploring automation opportunities
5. Monthly Financials Preparation & Management MIS
- Profit & Loss account – Overall, Segmental.
- Balance Sheet
- Cash flow & Fund flow statement
- Creditors & Debtors ageing report
- Revenue trends
- Direct, Indirect cost comparisons and trends
- Financial ratios and analytics
6. Tender Reconciliation
- Develop standard operating procedure
- Obtain daily sales details
- Reconcile sales with various collection modes
- Cash
- Cheque
- Online transfers
- Cards
- UPI
- Other source
- Report deviations
7. Year-end Books Finalisation Support
- Checking opening balances
- Completeness of transactions
- Debtors, Creditors Reconciliations
- Cash & Bank reconciliations
- Loans & Advances reconciliations
- Inventory and control account reconciliation
- Statutory reconciliations – GST, TDS, PF, ESI, etc.
- Preparation of Financial statements
- Liaise with statutory auditors
8. Streamlining Existing Accounting Process
- Preparing standard Operating procedure
- Developing Authority Matrix
- Fixing Roles and responsibilities
- Performing workload analysis
- Exploring Automation options
- Reviewing accounting software
STATUTORY COMPLAINCES
- GST Verification and Compliance
- TDS Verification and Compliance
9. GST Verification and Compliance
- Reconcile GSTR1 with Turnover
- Check GSTR2A and GSTR2B with books of accounts
- Ensure correctness of GSTR3B
- Check for correctness of tax rates, ITC availed, RCM, refund claimed
- Check for availability of necessary documents
- Ensure availability of Lower/non-deduction certificates
- Ensuring E Way bill, E Invoice compliances
- Advise payment of GST, if required
- Annual return filing
- Advise on proper account ledger maintenance
- Explore options for automation
- Monthly real time basis
- For previous financial years as a one-time activity
10. TDS Verification and Compliance
- Correctness of TDS deductions referring to applicable sections
- Check for the correctness of TDS rates
- Timely remittance of TDS
- Quarterly return filing and reconciliation
- Issue of TDS certificates
- Ensure availability of Lower/non-deduction certificates
- Advise on proper account ledger maintenance
- Explore options for automation
VIRTUAL / SHARED CFO SERVICES
- Developing Budget and Forecasts
- Aligning Costing & Financial Profit & Loss account
- Segmental Reporting
- Financial MIS Reporting and Analysis
- Financial risk Management and advises
- Working on Cost controls
- Advice automation
- Liasoning of Funds
11. Developing Budget and Forecasts
- Annual budget for expenses
- Annual forecast for Revenue
- Long / Short term budget
- Fixed / Variable budget
- Product wise/ segment wise budgeting
12. Aligning Costing & Financial Profit & Loss Account
- Preparing Costing P&L
- Compare with Financial P&L
- Prepare Justification
- Advise realignment on requirement
13. Segmental Reporting
- Identify Cost and Profit Centres
- Advise chart of accounts based on the above
- Extract and analyse data
- Report the outcome with action plan
14. Financial MIS Reporting and Analysis
- Profit & Loss account – Overall, Segmental
- Balance Sheet
- Cash flow & Fund flow statement
- Creditors & Debtors ageing report
- Revenue trends
- Direct, Indirect cost comparisons and trends
- Financial ratios and analytics
15. Financial Risk Management and Advice
- Perform Financial risk assessment
- Identify steps for mitigating identified risk
- Provide recommendations
16. Working on Cost Controls
- Compare Expenses with revenue
- Compare Expenses across years
- Compare expenses among similar businesses
- Report deviations with recommendations
17. Advice on Automation
- Identify Routine, monotonous, time-consuming, manually driven processes
- Explore automation options
- Recommend best methods
18. Liaisoning of Funds
- Assessing fund requirements
- Prepare revenue projections and return workings
- Preparing pitch deck
- Identify Loan provider / Investor