Why does a company need good internal controls? What are Information Technology Controls and why are they important? Is it better to keep the fox out of the henhouse or to count the chickens after the fox has left?
Forensic Accounting is about looking at past financial transactions. If you want to look at your past transactions, but have poor IT controls, how will you know if the information is accurate? But why would your company need to analyze past transactions? Insurance claims, Fraud, Business Valuations…are several reasons. Therefore having proper IT controls (i.e. correct user privileges) can help you insure the integrity of the data and these controls can also help prevent fraud.
The question is whether you want to be proactive (which is all about internal controls) or if you intend to be reactive (which is about forensic accounting).
One of our information technology specialists, Sam BowerCraft presented this week at the Computer Forensics Show in Washington, D.C. An interview with Sam at this training was just published online at this link. Please click to learn more about the importance of proper management of your Information Technology process and controls and why the risks are great if not done correctly.
Contact me for an Information Technology Control checklist.