The Evaluation of the Accounts Payable Process in Cebu Shared Service Center
THE EVALUATION OF THE ACCOUNTS PAYABLE PROCESS in Lexmark Cebu Shared Service Center
______________________________________________
A Research Proposal
Presented to the
Faculty of the School of Business and Economics
University of San Carlos
Cebu City, Philippines
________________________________________________
In Partial Fulfilment of the Requirements of the Course
MAC 601 (Accounting Research)
_________________________________________________
By
HONEYLET L. QUIMILAT
MARY GLEE L. SEGUN
Month and Year Completed
Chapter I
INTRODUCTION
Rationale of the Study
The current economic crisis highlights the disastrous results when risks associated with strategies are ignored or ineffectively mismanaged. Most companies failed because of the absence or lack of proper risk management.
Risk management is “a process of understanding and managing the risks that the entity inevitably subject to in attempting to achieve its corporate objectives. For management purposes, risks are usually divided into categories such as operational, financial, legal, compliance, information and personnel. One example of an integrated solution to risk management is enterprise risk management” (CIMA, 2005). Effective risk management involves risk assessment, risk evaluation, risk treatment and risk reporting. The focus of good risk management is the identification and treatment of these risks in accordance with the organization’s risk appetite. These risks need to be managed and controlled in order to prevent vibrant organizations from catastrophic losses and help them achieve their goals and objectives.
Accounts Payable is a part of the expenditure cycle, which is prone and susceptible to risks. The expenditure cycle is a subsystem of the both the cash management system and the accounting system. The other parts of the expenditure cycle are purchasing, receiving, and warehousing. Each of these subsystems should have controls to ensure that its overall objective will be
______________________________________________
A Research Proposal
Presented to the
Faculty of the School of Business and Economics
University of San Carlos
Cebu City, Philippines
________________________________________________
In Partial Fulfilment of the Requirements of the Course
MAC 601 (Accounting Research)
_________________________________________________
By
HONEYLET L. QUIMILAT
MARY GLEE L. SEGUN
Month and Year Completed
Chapter I
INTRODUCTION
Rationale of the Study
The current economic crisis highlights the disastrous results when risks associated with strategies are ignored or ineffectively mismanaged. Most companies failed because of the absence or lack of proper risk management.
Risk management is “a process of understanding and managing the risks that the entity inevitably subject to in attempting to achieve its corporate objectives. For management purposes, risks are usually divided into categories such as operational, financial, legal, compliance, information and personnel. One example of an integrated solution to risk management is enterprise risk management” (CIMA, 2005). Effective risk management involves risk assessment, risk evaluation, risk treatment and risk reporting. The focus of good risk management is the identification and treatment of these risks in accordance with the organization’s risk appetite. These risks need to be managed and controlled in order to prevent vibrant organizations from catastrophic losses and help them achieve their goals and objectives.
Accounts Payable is a part of the expenditure cycle, which is prone and susceptible to risks. The expenditure cycle is a subsystem of the both the cash management system and the accounting system. The other parts of the expenditure cycle are purchasing, receiving, and warehousing. Each of these subsystems should have controls to ensure that its overall objective will be