Accounts Payables Best Practices

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Accounts Payables Best Practices

• Presented by
• Stout Causey Consulting

January 15, 2003
Profitfrom the relationship
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Agenda

• Stout Causey Consulting Overview
• Introductions
• Objectives
• Best Practices Discussion
• Disbursement Cycle
• Q A

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Stout Causey Consulting Overview
Stout Causey Consulting is a CPA / consulting
firm that specializes in recovery audit services,
specifically accounts payable auditing and
related consulting surrounding the procurement to
pay cycle. Our aim is to help our clients
anticipate and adapt to changing environments,
successfully meet the challenges they face, and
take full advantage of opportunities to enhance
their prosperity. Our firms philosophy is
simple we are team players dedicated to adding
to our clients success. Our mission is for our
clients to be as delighted with the process of
working with us as they are the results of the
work.
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Introductions - Brian M. Davis
Mr. Davis is a Manager in SCCs recovery audit
practice. His clients include several of the
most recognized companies in the world. Through
comprehensive reviews of both the operational and
internal control aspects of these companies, Mr.
Davis has assisted in identifying processing
errors that have provided opportunities for cost
savings, profit maximization, and cash
refunds.   Prior to joining SCC, Mr. Davis was
employed by a Big Four accounting firm where he
specialized in Business Advisory and Assurance
Services. Mr. Davis received his accounting
degree from the Towson State University, where he
graduated Summa Cum Laude. He is a member of the
American Institute of Certified Public
Accountants and the Maryland Association of
Certified Public Accountants.
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Introductions Andrew Spahn
Mr. Spahn is a senior auditor within Stout Causey
Consulting's Recovery Audit service line. In
this capacity, Mr. Spahn has had the opportunity
to be of service to some of the worlds leading
public and privately held companies in the
following industries Health Care, Cellular
Communications, Internet Services (ISP and Search
Engine), Freight Transportation and
Technology. Prior to joining Stout Causey
Consultings Recovery Audit service line, Mr.
Spahn gained an extensive knowledge base in
corporate and individual tax, financial statement
audits and personal property tax. Mr. Spahn
received his B.S. in Accounting from Towson
University.
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Objectives
1. Define Best Practices 2. Define the
Disbursement Cycle How Best Practices
Relate 3. Provided a forum to discuss Questions
/ Concerns, Success / Failures 4. Provide some
universal Best Practices
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What are Best Practices?
A group of tasks that optimize the efficiency
(cost/risk) or effectiveness (service level) of
the business discipline or process to which it
contributes. A standard benchmark for
world-class operations that are replicable,
transferable and adaptable across industries.
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What Determines Best Practices?

• It is important to recognize that many best
  practices are not the same for all organizations.
  Best practices must be determined for your
  organization based on several factors, including
• Industry
• Company size
• Resources available
• Corporate philosophy
• Current operating environment

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The Disbursement Cycle

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Get advice, Give advice
Complete these thoughts If there was one
process that I could change to make my
job easier, it would be In the last 18 months,
a process change that occurred at my job that had
the greatest impact on efficiency was
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In What Areas Can Best Practices Be Implemented?

• 1. Invoice Processing
• Receipt
• Approval
• Keying
• Filing/Storage
• Other

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Coding Vendor Invoices
Slashes, Dashes, Periods, Commas other
characters
2/3784J90
23784J90
134123402
1-34-1234-02
204951
204951
Excessive Digits
0 3 C D 9 4 8 8 5 9 1 2 3 4 5 6 7 8 9 10
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Coding Vendor Invoices
Leading Prefixes, Zeros Blanks
29384
39485
93849208
34596002
Recurring Payables
12-45854760301
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Disbursement Cycle Best Practices Areas

• 2. Vendor Set-up Maintenance
• Acceptance criteria
• Account Set-up
• Invoicing Method
• Other

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Disbursement Cycle Best Practices Areas

• 3. Invoice Payment
• Controls
• Frequency
• Method
• Filing/Storage of Check Copies
• Other

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Q A
Stout Causey Consulting is one of the fastest
growing CPA firms in the country. Since our
inception in 1991, we have been focused on
providing our clients with measurable business
results. Today, we are partnering with some of
the largest companies in the world.
If you have any questions, please contact us