Business Processes Flashcards
Automation requires
Repetition and recurring processes.
In processing sales orders, what document authorizes the warehouse to send goods to the shipping department.
A pick (or picking ticket)
A pick ticket is found in which business process?
The revenue process.
What is a pick ticket?
A list provided to the warehouse or inventory detailing the items and quantities that should be picked and packaged and sent to the shipping dept for an order.
Within the expenditure process, what documents are part of a 3 way match?
Hint: These are the “vouchers”.
- Purchase Order
- Receiving Report
- Supplier invoice
Note: NOT a sales order
What document accompanies a shipment that provides a contract concerning the allocation of responsibilities between the seller, carrier and customer?
Bill of lading
NOTE: Not included in the “voucher”
What of these is a common document found in the revenue process?
A. Bank Statement
B. Packing slip
C. Bill of Materials
D. Voucher
B. Packing Slip
What process is a bank statement part of?
Finance and reporting process
What process is the bill of materials part of?
Manufacturing process
What process is the voucher part of?
The Expenditure Process
What are the 5 steps of the manufacturing process?
- Product Design and Engineering
- Product Development
- Manufacturing Forecasting and Scheduling
- Manufacturing Operations
- Manufacturing and fixed asset accounting and reporting
What process is a production schedule part of?
The Manufacturing Process
What process is a receipt part of?
Revenue Process
What is a document that accompanies the paycheck detailing earnings and deductions for the current pay period and the year-to-date totals?
What process is this a part of?
Earnings Statement
Part of the Human Resources and Payroll Process
What is a detailed document that specifies all of the components and quantities required to manufacture a product?
Bill of Materials
For a control perspective, which of these processes does NOT need to be segregated from the others:
A. Custody of assets
B. Record Keeping
C. Marketing
D. Authorization
C. Marketing
What kind of control is “reconciliation of changes to the data”?
Detective
Note: Detective controls ONLY reviews changes.
What kind of control is “Access and Authorization”, “Change Control”, and “Read-only Rights”?
Preventive controls
What creates a framework so values in data entered into a foreign key field must first be entered into a corresponding table with a primary key?
A Validity Check
Ex/ prevents retailers from getting orders for products that are not available.
What does a reasonableness check do?
Validates the logic of input values where fields are dependent or relevant to each other.
What verifies that all required data has been input?
Completeness Check
What retrieves and displays info related to the input to verify accuracy?
Closed-loop verification
What limits the number of character inputs into a field?
A size check
What establishes upper and lower limits for input data?
A limit check
What is the process of testing the sum of a column of row totals to the sum of a row of column totals to verify results?
Cross-footing
What matches multiple items such as purchase orders, receiving reports, and vendor invoices prior to executing processes?
Data matching
What works on ensuring batch processing is done in a complete and accurate manner utilizing record counts and batch totals?
Input Validation
What is a process of having prenumbered documents and verifying that no documents or transactions are missing?
A sequence check
What kind of monitoring control s a hiring guideline?
Preventive supervisory and monitoring control.
Performance reviews, mandatory vacations, and audits are __________________ supervisory and monitoring controls.
Detective
Which of the following is a detective supervisory and monitoring control:
A. Input validation
B. Regular backups of data
C. Clear organizational hierarchy charts
D. Expense budgets
ANSWER: D
Expense Budgets are supervisory
Input Validation, Regular backups, and Org charts are all Preventive supervisory and monitoring controls.
What are written depictions?
Narratives
What depicts the logical flow of data, but does not detail the physical aspects of the process?
Data flow diagrams
What focuses on the interfacing of clients and systems and do NOT depict the physical flow of information?
System interface diagrams
What visualizes not only the logical flow of data through a process but also the physical aspects of the that flow?
Hint: This method includes the form in which the info flows through the process and whether actions taken on the document are done manually or automated.
Flowchart
What focuses on interfacing clients and systems and does NOT depict the logical flow of information?
System interface diagrams
