Spreadsheet Fraud

To any company executive or business owner, the mere possibility of fraud can be enough to send alarm bells ringing – for good reason. In a prolonged recession, the last thing investors would want to discover is a huge, gaping hole where supposedly a neat profit should have been. Also to find out that such loss was brought about by deliberately falsified accounting and poor spreadsheet controls only makes the situation even more regrettable.

Why?

Because these losses would not have occurred had there been a stronger risk management program in place and more stringent quality control on critical data to begin with.

But given the nature of a spreadsheet system i.e. its sheer flexibility and easy accessibility, plus the fact that they were never intended to be enterprise-level tools, there are no hard and fast rules for auditing spreadsheets. Also because of the lack of internal controls for end user computing (EUC) applications, in this case spreadsheets, you can’t expect these systems to yield consistently accurate results.

In fact, most managers assume that major spreadsheet errors should result in figures that are blatantly out of touch with how things stand in the real world, making these errors easily detectable.

Well they assumed wrong. You’ll find cases where the losses ran to millions of dollars without anyone being the wiser.

In instances of fraud, the problem becomes more complicated as these errors are deliberately hidden and cleverly disguised, perhaps one erroneous cell at a time. Even if these cover-ups started out with smaller figures that may have had negligible impact on a company?s operation, the cumulative costs of these ?insignificant? errors multiply exponentially as the spreadsheets are reused and utilised as bases for other related reports.

While there is no generally accepted definition of the term ?spreadsheet fraud?, its quite easy to identify one when a case crops up. Fraud arising from spreadsheets are typically characterised by:

Fallacious inputs – correct figures are deliberately replaced with false values.

Erroneous outputs owing to data alteration – hyperlinks are linking to the wrong spreadsheets or cells; use of macros or special lines of code which are understandable only to the person who developed the code.

Concealment of critical information – can be done with easy ?tweaks? such as hidden rows and columns, using the same colour for both the font and the background, or hard coding additional values into a cell.

There is nothing really highly-sophisticated or technical in any of these methodologies. But without internal spreadsheet controls in place, it would take a discerning eye and a thorough review to catch the inconsistencies contained in a spreadsheet fraught with errors. Also, if these errors are knowingly placed there, the chances of finding them are close to nil.

Learn more about our server application solutions and discover a better way to protect your company from spreadsheet fraud.

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Still looking for a Way to Consolidate Excel Spreadsheets?


Disadvantages of Spreadsheets


Spreadsheet woes – ill equipped for an Agile Business Environment


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Spreadsheet Woes – Limited features for easy adoption of a control framework


Spreadsheet woes – Burden in SOX Compliance and other Regulations


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Accurate data and interpretation of it have become increasingly critical. Ideas Laboratory reports that 84% of managers regard understanding their clients and predicting market trends essential, with accelerating demand for data savvy people the inevitable result. However Inc 5000 thinks many of them may have little idea of where to start. We should apply the lessons learned from when we implemented CRM because the dynamics are similar.

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Denizon believes the key is focusing on the results we expect from Big Data first. Only then is it appropriate to apply our minds to the technology. By working the other way round we may end up with less than optimum solutions. We should understand the differences between options before committing to a choice, because it is expensive to switch software platforms in midstream. data lakes, hadoop, nosql, and graph databases all have their places, provided the solution you buy is scalable.

Clean Up Data First

The golden rule is not to automate anything before you understand it. Know the origin of your data, and if this is not reliable clean it up before you automate it. Big Data projects fail when executives become so enthused by results that they forget to ask themselves, ?Does this make sense in terms of what I expected??

Beware First Impressions

Big Data is just that. Many bits of information aggregated into averages and summaries. It does not make recommendations. It only prompts questions and what-if?s. Overlooking the need for the analytics that must follow can have you blindly relying on algorithms while setting your business sense aside.

Hire the Best Brains

Big Data?s competitive advantage depends on what human minds make with the processed information it spits out. This means tracing and affording creative talent able to make the shift from reactive analytics to proactive interaction with the data, and the customer decisions behind it.

If this provides a d?j? vu moment then you are not alone. Every iteration of the software revolution has seen vendors selling while the fish were running, and buyers clamouring for the opportunity. Decide what you want out first, use clean data, beware first impressions and get your analytics right. Then you are on the way to migrating successfully from CRM to Big Data.

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Becoming sustainable is a three-pronged process. You must save money and push the buttons the government is pressing you to. But there?s a deeper, more urgent issue. If your customers mark you down for not being green enough you are heading for trouble. Let’s see how well this hotel is doing.

The Melbourne flagship of the Westin hotel chain boasts 262 spacious rooms with views of Melbourne Square and surrounding theatres, designer boutiques, galleries and national landmarks. The architects included conference facilities, a wellness centre and sundry bars and restaurants. After climate change arrived to stay, hotel management discovered they had inherited a water and energy-greedy monster. Their solution was to measure what was going through their systems, and then progressively cap the building?s greedy appetite.

The Melbourne Westin Hotel could not have achieved results without these metrics. They began by determining key indicators and measuring them. This provided them with criteria to set achievable, cost effective targets in the following key areas of their business:

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Westin?s Melbourne landmark has made good progress towards becoming the green hotel for others to follow. It has adjusted its environmental policies, increased water and energy awareness and implemented tight waste management.

Consumers are already shopping to make their carbon footsteps lighter. Food stores are on the bandwagon although apparel is lagging. Perhaps it’s time you found out just how your company is shaping up. It’s no longer a matter of ?if carbon taxes?. It’s a matter of ?when it does?.

ecoVaro is a software system-in-the-cloud that lets you enter your water and energy consumption and process it online so you can monitor and manage your usage. In no time at all you could be saving money like Westin Melbourne did. Does that sound like something worth investigating?

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How FieldElite helps Plumbers

While most people think that running a plumbing business is a very easy job, things are a bit different on the ground. The job goes beyond the dropping by a client’s home and fixing a few pipes. In addition to the actual plumbing work, a plumbing business also involves managing quotes, invoicing customers, dispatching field service workers, and accounting, among others. Undertaking all these operations manually is extremely demanding. Besides the tedious work that it is, you’re likely to end up with a ton of errors. 

However, you can overcome these challenges by employing technology. The use of field service management software allows you to automate tasks. Consequently, you no longer have to deal with paperwork, delayed responses to customer requests, or double assignment of tasks.

If you’re wondering which field service management software to use, FieldElite is your best bet. FieldElite is feature-rich, and it gives you way more than the simple automation of the daily operations of your plumbing business.  

Below are some of the top benefits you’ll reap by using FieldElite to run your plumbing venture.  

Convenient Scheduling

Scheduling is an important aspect of the plumbing industry. Just like other field techs, plumbers would require tasks to be dispatched on time, which is only made possible by proper scheduling. With FieldElite, managers can easily schedule single and recurring tasks for the right plumber in a matter of seconds. 

On the other hand, plumbers can also view the available jobs and job information in the FieldElite easy to use App that’s available for Android, and confirm scheduled jobs. They can also accept these jobs using their smartphones and respond to service requests instantly.

Apart from getting the scheduled tasks, the FieldElite scheduling and dispatch feature is integrated with GPS functionality so that plumbers can get information on where to go next, and the optimal route to take from their mobile phones. 

The scheduling and dispatch feature also gives plumbers the information on the specific tools required for the job to allow them to get the tools in between appointments and schedules. 

Central Data Storage

Just like other field service industries, plumbing also involves big data. Handling data manually would mean more errors for your plumbing business, which will only impact negatively on your business. To eliminate such errors, go paperless with FieldElite. 

You can view everything from one place with FieldElite?s dashboard feature, including information about your plumbers and the scheduled tasks. On the other hand, your plumbers can access job details and the pending tasks from a central place. 

Plumbers can also get service requests from customers on the FieldElite mobile app from wherever they are. All the requests are stored in a central place, making the response to customer requests easier. The end result is satisfied customers, opening doors for return orders. 

In case of an update, all plumbers receive notifications at the same time and, where necessary, respond promptly to the requests. They can update the office instantly with job status changes from a central place. 

Convenient Reporting

Reporting is part of the tasks that plumbers have to do after completing the assigned job. As a manager, you expect your plumbers to keep you updated on the status of each assignment. Reporting on paper is time-consuming, and that’s why you need the services of FieldElite. 

With FieldElite reporting feature, sending over completed job reports is only a few clicks away. Plumbers can generate reports on the mobile app and keep the office staff updated on the status of the job. Using FieldElite, you can capture customer signatures and add attachments to the job status and send them instantly using the mobile app available on Android. 

Since they can do instant reporting via the mobile app, the plumbers can proceed to attend to new service requests as soon as they’re done without having to first come back to the office to submit their reports. 

Effective Communication

Timely communication is very essential if you’re working with field technicians. Since you’ll not always be with them in the field, it’s always important to establish a proper communication channel to ensure information reaches your plumbers in time. Here, you can get much more with FieldElite, including communication automation to remind customers of appointments.

With FieldElite field service management software, plumbers receive notifications through the mobile app. The notifications can be for anything from new task requests, requests for alterations, emergencies, and more. On the other hand, office-based staff gets to access the reports once the plumber completes their given task. 

That means the plumbers in the field and the office-based team gets communication instantly, enabling them to see and manage their workloads. For this reason, plumbers can complete multiple tasks within a short time, thus improving their overall productivity.

Scalability

The biggest question for most entrepreneurs when they want to buy management software is scalability. Businesses grow and incorporate new activities that would also require to be managed from a centralised system. Where that’s not possible, the business would have to move all their information from one system to a more robust one. 

With FieldElite, however, you’re safe. It works perfectly well for startups as well as large-sized plumbing businesses. It allows you to focus on the areas that your organisation covers now, but also lets you add new areas as you introduce them into your business. Moreover, FieldElite is also receiving regular updates to that bring it up-to-speed with new technologies and new ways of doing things, meaning that your business will be in a position to take advantage of the latest and more productive features. 

From the benefits mentioned above, it’s quite clear that your plumbing industry greatly needs the services of a field service management software. Your plumbers too need easier time working on their assigned tasks, adding to the reasons why you need to integrate FieldElite in your plumbing business.

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