The Q AP Session

1. TheQAPSession Where Quality Talk is #1

2. What is it? • QAP = Quality Assurance Program • Transaction entry and approval moved from Business Affairs to Business Centers • Created a need for an ongoing internal quality assurance monitoring program • Monitoring and reviewing of accounting transactions for: • Policy compliance • Account coding • Internal control • Funding source • Operational efficiency • Adequate supporting documentation • Similar to the High Risk Monitoring Program (now part of QAP) • QAP will monitor transactions that post to all funding types

3. Why are we doing it? • Need to maintain consistency across the 7 different Business Centers • OUS Internal Audit recommended a monitoring system • Goals: • Optimize business processes • Maintain strong internal controls • Contribute to accurate financial statements

4. How does it work? • Three parts: • Exception Reports • Run daily to show unallowable expenses • Special Approval Queues • Transactions posted to certain account code series • Transaction Testing • Random samples of all transactions to determine if standards are being met • All transaction types will be tested • Testing will be an ongoing process

5. Reporting & Communication • New QAP SharePoint Site (under construction) • Results from Testing will be posted on the SharePoint Site • Monthly reporting initially; can change based on feedback from Business Centers • Each Business Center will have their own access/determine who can access the site • Goals: • Two way communication • Identify process and/or policy issues

6. QAP Responsibilities • Business Affairs and Business Centers • Policy compliance and internal control • Business Centers • Complete action items/corrections found during testing • Respond to recommendations from Business Affairs • Establish and maintain strong internal control environment

7. Benefits • Management tool for Business Centers • Assurance that processes and controls are in place and working • Tool to strengthen internal controls • Metrics • Ability to communicate findings from testing to Business Centers • Identify best practices

8. More Benefits • Identify training needs • Allow for targeted training based on findings • Reduce Audit findings • Once the system is in place, possibly even prevent audits! • Reduce Year End frenzy • Reviewing transactions throughout the year allows for corrections to be made much sooner • Better, more accurate financial statements

9. TheQAPSession Until Next Time….