Specialized Software Helps Executives Analyze Financial Statements
As executives face the brave new world of Sarbanes-Oxley and increased corporate accountability, they don’t have to go it alone. Two Canadian firms have updated and enhanced their analytical software for financial executives and audit professionals to use to ensure the accuracy and reliability of business operations.
Both CaseWare Idea Inc. and Vancouver-based ACL Services Ltd. have benefited from the recent accounting scandals, according to a March 6 report in The Globe and Mail. Both firms offer tools that allow senior business professionals to extract and analyze complex data. These tools are especially helpful to executives and directors, who must certify that financial statements are true and accurate.
Auditors and accountants have been using the specialized software for years but the recent wave of accounting scandals and the ensuing legislation have broadened the need. Developers are working on a new standard of reporting language, known as XBRL, which will make corporate reporting more consistent and easier to read.
In addition to data analysis, CaseWare and ACL offer fraud detection software, which monitors and analyzes day-to-day transactions looking for signs of fraud. The software detects inconsistencies, gaps, and duplications in the data. Fraud detection, however, is an emerging area and doesn’t have standards in place yet.