Show:
Plant's Security
Warehouse Review
Labor/Payroll
Invoice Auditing
Brown Noseing
100
Construction material is delivered at gate C. What corrective action should be taken?
Deliveries should be conducted at gate A because of its increased security and proximity to the warehouse.
100
Upon a tour of the warehouse, It was discovered that all four doorways are left open to during working hours. What is a recommendation to correct this deficiency?
All doors remained locked and access restricted by key card.
100
Payroll distributes checks. What is a recommendation?
Payroll clerks should not distribute paychecks. Checks should be direct deposited or mail to employees.
100
Invoice Auditor was not provided with a copy of the related contract with D.I.R.T. Construction Company. What is one simple recommendation to ensure the invoice auditor is aware of the contractual terms?
The invoice auditor should be provided with a copy of the contract with D.I.R.T. Construction Company.
100
What is the best Internal Audit Program in the world?
LSUCIA!
200
There is no log for fuel id# and gallons disbursed. In Addition, a section of a fence is in disrepair. What recommendations would address these control weaknesses?
A policy should be implemented requiring a log to monitor disbursements and track expenses of fuel. The broken fence should also be repaired, and documented periodic checks assessing any other disrepair should be conducted.
200
In a three-part requisition process, the Kardex system is updated upon the second step of the delivery process
Updating the Kardex system upon second receipt of the issuing process does not ensure inventory was delivered to intended destination. The Kardex system should be updated by an authorized employee once the cargo reaches its final destination.
200
The log used to record employees entering and leaving the site is not monitored. What is a recommendation?
Each employee should be required to sign in and out of the site and the time keeper should verify by checking their picture I.D. badge.
200
Payroll for the Journeyman was overcharged by $178,200. What is one way for this mistake to have been caught?
A policy should be developed for the invoice auditor in reviewing invoices for payment. The policy should require the invoice auditor to trace and recalculate all charges on the invoice in conjunction with the contract and 3rd party invoices.
200
Who has a great sense of humor and finds my costume ammussing?
Dr. Glenn Sumners. (I hope.)
300
Lack of space in the warehouse has caused high dollar items to be stored in the laydown area. High value Scrap is being kept without a fence away from other material. How can this issue be addressed?
Flex-Rod should pressure the contractor to build another warehouse or fence to securely keep all the high value items.
300
Kardex system had been established at for every item at the beginning of the project.
Periodic audits throughout the life of the project to determine all items required are accounted for in the Kardex system.
300
All employees do not sign the log kept in the Timekeepers Shack. What is a recommendation?
Implement an electronic system in which employees are required to swipe in and out upon arrival and departure of site. If implementing an electronic system is not cost effective each employee should have an I.D. badge in which they are required to wear upon arrival to the site.
300
$16,000 in materials were overcharged to Flex-Rod. What is one corrective action to ensure that this type of mistake does not happen again?
Verification of costs should be performed by tracing material costs back to the material detail statements. A recalculation of all line items should be required on a sample basis.
300
What is the biggest benefit a student receives after completing the program?
ITS OVER!!!
400
Gate C is open during normal construction hours, and Gate B, the emergency exit, is closed but only locked during non-working hours. In addition, guard service hours do not cover all the construction hours. What is a good recommendation for this deficiency?
Gates B and C need to be monitored appropriately. If gate C is to be open at all times, it should have extra monitoring and security. Gate B should be monitored and be an exit only gate to comply with both emergency exit regulations and security. Guard hours should be from start to finish of the site’s daily operations (7a.m.-6p.m.)
400
Receipt of material is physically checked by an employee. The employee then matches the material to the related purchase order.
Implementation of an AIS system would improve security and maintenance of the records and procedures through the use of barcode scanning.
400
Timekeepers shack is located between contractors parking and field offices. What is a recommendation?
The Timekeeper’s shack should be located near the employee entrance (gate c).
400
A procurement fee of 10% was charged on the invoice, while only a 5% markup was agreed upon in the contract. What is one way for a mistake like this one to have been caught?
The contract should be made available to the invoice auditor first. And the invoice auditor should be required to ensure that invoices are charged within the terms of the contract.
400
Who built the world's number one Internal Audit program without even breaking a sweat?
Who is Dr. Glenn Sumners
500
Oxygen and acetylene tanks are stored together. Plus, Oxygen and acetylene tanks are laying together off the road. A good recommendation for this is:
OSHA requires combustible gases to be stored at least 50 feet away from each other. OSHA also states that oxygen should be stored above ground either outdoors or in a building of non-combustible construction. Regulations require combustible gases to be stored in a secure environment to assure they are not being tampered with.
500
The warehouse manager prepared, approved, and signed another employee’s requisition form. All copies of requisition forms are kept in the possession of the warehouse manager.
Require separate signatures on a formatted requisition form, one from the employee making the requisition, and one by the warehouse manager. A copy should then be sent to the purchasing department.
500
Who is the best teacher in the world!!!!!!!
Lydia Lafleur!!!!