Payroll Controls Recommendations

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Recommendations: (PC 6.1, 6.2, 6.3 6.4) How can the above problems be fixed (what are the opportunities for the business)? You need to complete a separate table for each weakness/fraud risk. Costs for the recommendations and financial savings from benefits have to be calculated. Recommendation EAS 2.1 What is the solution? Each weakness/fraud issue needs a recommendation. Weakness Untrained Payroll Clerk Send the clerk on a 1 week payroll course at a local training centre Hire a temp clerk for 1 week. EAS 2.2 Affect on Users How do you expect the staff to be affected by the change? What reactions might you get when the change is made? The payroll clerk will make fewer mistakes Staff will welcome payroll accuracy. The payroll clerk will become more efficient and will waste less time correcting mistakes. The payroll clerk's productivity will improve. EAS 2.3 What training will be required? How will staff get to understand what is required of them? How do you plan to manage this change? EAS 2.4 What is the cost of this recommendation? Think equipment, time, staff What savings will there be? What other benefits will the company get? The temp will need a 1/2 day handover in the prior week. The payroll clerk will attend a 1 week local course. Meeting with FD and clerk to discuss handover and future actions 5 day payroll course = £895 + VAT 5.5 days for temp @ £120 +VAT Financial Savings estimated to be approx £53000 per annum ongoing. Other benefits include more accurate Inc Stat. Less lkelihood of fines from HMRC Recommendation EAS 2.1 What is the solution? Each weakness/fraud issue needs a recommendation. EAS 2.2 Affect on Users How do you expect the staff to be affected by the change? What reactions might you get when the change is made? EAS 2.3 What training will be required? How will

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