When cash flows are improperly monitored and adequate controls to prevent fraud and misstatements aren’t in place, there is a large amount pervasive business risk. This process flow focuses on treasury and cash management and provides controls to mitigate risks.
This document can be used as a general guide to understand and review the treasury and cash management options process. Organizations should continuously update and monitor the processes included in this document to ensure that they accurately reflect business operations.
Process risks covered in this sample process flow include:
- Money transfers not properly secured and inaccurately recorded
- Wire transactions in the wrong amount and transferred to the wrong bank account
- Inter-company transactions improperly recorded
- Disbursements of cash lacking proper approval and susceptible to theft
- New bank accounts not properly monitored and lacking proper approval to be opened