Many companies rely on spreadsheets as key applications that support operational and financial reporting processes. The increased regulation and compliance that now impact spreadsheet control is not surprising given past few years of numerous multimillion-dollar errors and fraud attributed to the use of spreadsheets. We also see companies filing reports of material weaknesses and deficiencies with the Securities and Exchange Commission (SEC) as a result of the lack of controls around their financial reporting spreadsheets.
This regulatory pressure and increasing focus from auditors are forcing organizations to address the issue of spreadsheet risk management, though few really understand what the issue is and what they need to do about it. This booklet represents a pragmatic response to spreadsheet risk based on real business needs.