 Gap Analysis
1.
2.
3.
Identify individuals who should be performing the gap analysis (FMT members to complete the overview spreadsheet).
Complete the M-Reports online gap analysis.
Document procedures / update existing procedures to include key controls noted in gap analysis.
 Department Sub-Certification
1.
2.
Identify individuals who should be sub-certifying (both input and approval).
Complete the on-line sub-certification.
 Management Oversight Reporting is an important part of the sub-
Certification process.
 Identify individuals who are running and reviewing the required reports.
2

 Should be completed with individuals involved in the process ( i.e. handling cash, processing journal entries, hiring employees , etc.)
 As of March 2013, all DSA units will be using the on-line tools in MReports, which is explained in detail in this document.
3

4
http://www.finance.umich.edu/controls/certprocess
If you wish to look at the gap analysis tool, the instructions (quick version) below should get you there.
However, if you want detail instructions, download the ITS online gap analysis tool with step-by-step instructions .
1. select Wolverine Access
2. go to the Faculty and Staff tab
3. select M-Reports (under the Reporting section)
4. choose the Compliance tab
5. select Internal Controls Other Reports / Tools, then Gap Analysis
6. select your dept. ID or put your dept. ID in the search box
7. in your department's row, click on the status link / "not started" to review and/or start filling out the questionnaire

5

6
•
•
•
•
Clarify roles and responsibilities
Ensure process is happening as intended
Help with employee turnover (expected/unexpected)
•

7
Employment
P-Card
Cash & Credit
Card Handling
Concur
 Monitoring/oversight = key control



Helps to highlight if operating controls are working
Identifies trends/exceptions
High level summaries (by month/year, comparing to prior years, etc.)
Has time been entered timely and properly approved?
Are overtime, temp and retro pay reasonable?
Are P-Card holders appropriate?
Are credit limits appropriate compared to spend levels?
Have proper individuals taken cash handling training?
Are credit card merchants PCI compliant?
Are proper individuals approving expenses?
Are spending levels and patterns appropriate?

8
Management Reporting
Listed in the matrix below are the (4) areas of Internal Controls - Management Reporting which are required ( and signed off on as part of the annual certification ) by all areas to review, and follow up, on a periodic basis in a timely manner, preferably monthly or quarterly.
Source: Internal Control site ( http://www.finance.umich.edu/controls/resources)
Addl Comments Internal Controls - Management Reporting ( included in annual certification )
Employment
Department
Employee
Compens ation
Faculty Pay
• These reports are located in MREPORTS in the COMPLIANCE tab under the
Internal Controls menu.
• The Department Employee Compens ation report provides a summary of compensation in formation for an administrative department. The report is organized by various types of pay (e.g., regular pay, overtime pay, other pay ).
• The Overtime Pay, Temp Pay and Retro Pay are trending reports and show data for a funding department via graphs and high-level charts.
Staff Pay
Overtime Pay
Temp Pay
Retro Pay
P-Card
Travel & Expense P-Card
Holder & Limits by DeptID,
Dept Grp or EmplID
• Report is located in BUSINESS OBJECTS at: UM-Maintained -> Financials
-> FN06 Procurement
• Lists all P-Card holders, limits, and max, average and monthly spend amounts.
• Highlights potential underutilized cards.
• Review overtime, addl pay...and follow up accordingly. (Monthly /
Quarterly)
• Review P-Card limits...
and adjust accordingly.
Cash Handling
(Cash/Checks)
Cash Deposit Controls • Report is located in MREPORTS in the COMPLIANCE tab under the Internal Controls menu.
• Summarized by deposit amount, deposit count and discrepancy count for each depository location.

9
Internal Controls - ManagementReporting( includedin annual certification ) - continued
Cash Handling (Credit Cards)
Credit Card Controls • Report is located in MREPORTS in the COMPLIANCE tab under the Internal Controls menu.
•Summarized by net sales amount, sales count, refund amount and PCI compliance status for each credit card merchant account.
Addl Comments
• For unusually high refunds ($ or %) and follow up accordingly.
• Follow up on any PCI non-compliance and / or dates close to expiration.
Travel & Expense (Concur)
Travel & Expense Approver Report by EmplID, DeptID or DeptGrp
Travel & Expense Spend Report by
EmplID, DeptID or DeptGrp
• Report is located in BUSINESS OBJECTS at: UM-Maintained -> Financials -> FN06 Procurement
• Provides a listing of Concur approvers and the scope of what they have approved
• Notes approvers training completion status.
•Review approvers are appropiate and follow up accordingly.
• Follow up re: approvers training status if training was not completed or about to expire.
• Report is located in BUSINESS OBJECTS at: UM-Maintained -> Financials -> FN06 Procurement
• Highlights spend (both P-Card & out-of-pocket) by Employee for a specified date range.
• Review and follow up on any unusual items noted.