According to this articles we find a lots of problem relating to the fraud, and staff management. Which is given below. 1. Segregation of duties
2. Less documentation
3. Human mistakes
4. Computer fraud
5. Misappropriation of assets
Segregation of duties;
In internal control no person should be given more than one responsibility for same position. If ( Andrew) give too much pressure for his employees to do different work in same position , it makes conflict between them. It will directly affect in daily business activities. We can take example from given articles. Hiring department’s staff should not give sales counter job, it will create problems. In peak season Andrew should hire more staff in hiring, sales and marketing department to assist the fast customer services. It will makes customer good impact towards his store. Employees have less work load if Andrew allocates one position for one responsibility, it will help good environment within that store as well its daily business activities will increase.
In every business organization, there are always problems comes related to proper documentation. Like same thing happen in this case. When customers hire their item, they make two docket one for customers other for office use, after certain period of time that customers bring back hire items. In the same time staff should check both docket as well equipment .but they fail to match the docket. Sometimes customers become annoyed with the delay.
They should make proper documentation about hire items as well incoming equipment’s and sales items for future sale forecasting. According to customer name, telephone no, living address etc, they should allocate to them. It will make mare easy when they need that person’s docket, they can easily take from locker. On the other hand it will decrease customers waiting time. They will get that document whenever they need it.for a complete recordind data at least they need to fulfill following facts- 1.date and time of day the sale occurred
2.Employee who made the sale and the checkout clerk who proceed the sale 3.checkout register where the sale was processed
4.Quantity of each item
5.List of price and actual price of each item sold
6.Total amount of the sale
Human Mistakes ;
5 to 6 years ago there is a lots of problem comes from human mistakes, because they don’t use modern technology to store or backup their data. According to the articles there is some problems related to human mistake. While they are recording stock using stock cards, details of new stocks are entering on to the card when new and finished good coming and outgoing. They have to enter all details, when it happens very often; they forget to enter all detail in stock sheet, at the end of the month. There are to accurate stock. For the solution of human mistake, they should capturing details about which...