#oow16 - •implement the best practice for oracle fusion advanced financial controls cloud service

Copyright © 2016, Oracle and/or its affiliates. All rights reserved.

Implement the

Best Practice for Oracle Fusion

Advanced Financial Controls Cloud Service OpenWorld 2016

Copyright © 2016, Oracle and/or its affiliates. All rights reserved.

Implement the

Best Practice for Oracle Fusion

Advanced Financial Controls Cloud Service

Learn about Oracle’s Best Practice Process & Solution

Automates identification of transactions that indicate fraud, error and policy violation

Prescribes steps to configure and use Advanced Financial Controls

Offers fastest implementation, minimum risk and effort, maximum return on investment

Learn more best practices from industry experts

Get answers to your questions in live Q&A

Copyright © 2016 Oracle and/or its affiliates. All rights reserved.

Safe Harbor Statement

The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.

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Arturo Martínez del

Campo Saucedo

Corporate Chief Financial Officer

Grupo Posadas S.A.B. de C.V. .

LEADERSHIP IN FINANCE

LATIN AMERICA - CLOUD

2016

Best Practice Adopter

First Adopter of Risk Cloud


Agenda

Panelist Introductions

Best Practices

Panelist Q&A

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Session Speakers

Panelists:

– Chris Doxey President Doxey, Inc.

– Swarnali Bag Managing Practice Lead Oracle Consulting USA

Moderator:

– Barry Greenhut Director, Product Strategy Oracle Product Development

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Agenda


Best Practices

Context: Best Practices for Financial Controls

Panelist Q&A

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Best Practice 1: An Integrated GRC

Framework

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An Integrated Governance, Risk, and

Compliance (GRC) Monitoring Model

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Assertion and Attestation

Test/Evaluate Controls

Define Control Activities

Define Control Objectives

Identify Risk

Document the Process

Document the Process

and System

Identify Financial Processes and Systems

Define the Scope

The Building Blocks of an Internal Control

Framework

• Processes

• System

• Entity

• Compliance

• Fraud Prevention

• Organization Wide

Internal Controls

Supports

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The Internal Controls Universe

Standards of Internal Control

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Best Practice 2: Ten Tips for

Developing Risk Based Internal

Controls

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Ten Tips for Developing Risk Based

Internal Controls

1. The focus should be on the business process rather than only the

expect outcome of the audit process.

2. The control should be process focused rather than purely

transaction focused. Although, the control should address the

accuracy of a transaction, a risk based control addresses the total

business process – not just a single transaction.

3. The expected outcome is to identify and mitigate the risk as well

determine opportunities for process improvements and fraud

prevention.

4. There should be a focus on risk management rather than solely

following current policies and procedures.

5. The goal should be on continual risk assessment coverage through

automation.

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Ten Tips for Developing Risk Based

Internal Controls (Cont.)

6. Risk based internal controls facilitate change since they should be

updated on a regular basis.

7. This approach should set the foundation for implementing

meaningful operational metrics.

8. Risk based controls can resolve identifying risks within business

process gaps.

9. Risk based controls can help prevent and detect fraud since they

truly can reflect the end to end business process.

10. Risk based controls should always be suggested by the business

process owners.

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Agenda


Best Practices

Oracle’s Best Practice Process and Solution

Panelist Q&A

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Copyright © 2016, Oracle and/or its affiliates. All rights reserved. Copyright © 2016, Oracle and/or its affiliates. All rights reserved. |

Advanced Financial Controls – Design Objectives Protect Against Fraud, Error and Policy Violations

Manage Exceptions

Continuous Monitoring

Configure Best Practice Controls

Author New Audit Rules & Algorithms

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Link Results to Business Risks Link Results to Business Risks

Stop High Risk Transactions Identical Expenses Split Purchase Orders Duplicate Invoices Unusual Invoice Amt. Unauthorized Spend Blocked Suppliers User Creates Supplier &

Pays invoice


Oracle’s Best Practice Process & Solution

Best Practice Process

– Goal: Find and remediate fraud, error and policy violations in Financials Cloud

– Method:

• Use Advanced Financial Controls to find issues and manage remediation

• Remediate transactions and/or configurations in Financials Cloud, create compensating controls, etc.

– Context:

• Needed by Financials Cloud subscribers

• Foundation for all other advanced financial control activities

Best Practice Solution

– Prescribes steps to configure and use Advanced Financial Controls

– Basis of Oracle University and partner training courses

Benefits of both

– Fastest implementation and go-live

– Maximum ROI

– Minimum project risk and effort

– Minimum ongoing cost of operation

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Based on our experiences with customers over the past decade and collaborations with audit and compliance experts

Copyright © 2016 Oracle and/or its affiliates. All rights reserved. 32


Identify Unwanted

Transactions

Deploy Controls

Address Issues

Report Results

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Create Models and assess results

Remediate unwanted transactions where feasible

Convert Models to Controls

Run Control Analysis periodically

Manage incidents - options:

Remediate transactions

Adjust ERP configuration

Add compensating access controls

Report incident management results to

managers, auditors


Best Practice Solution Outline

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Admin

Internal Auditor

Business Analyst

Process Owner

1. Gather configuration

data

2. Configure AFC (general, roles,

users)

3. Import Pre-built Models

4. Test & Refine

Models

5. Review Results &

Remediate

6. Define Advanced Controls

7. Schedule Sync & Control Analysis

8. Review Incidents & Remediate

9. Review Incident Reports


Agenda


Best Practices

Oracle: Preview – Best Practice Process

Panelist Q&A

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Diane Analyst

I import pre-built models, test and refine them, and use the results to guide remediation of transaction issues

Manage Models and Deploy Controls


Import Pre-built Models


Import Pre-built Models Some of the planned pre-built models

Payables

• Identify Duplicate Invoice Entries

• Identify Duplicate Supplier Sites Created in Master

• Identify Purchase Orders that Are Back Dated

• Erroneous High Value Invoices for Payment

• Supplier and Invoices Created by the Same User

Expenses

• Employee Consistently Missing Receipts

• Identify Duplicate Expense Submitted by Employees for Reimbursement

• Split Expense for a Large Event

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Configure Model


Configure Model – Business Objects


Configure Model- Filter Logic


Configure Model- Result Attributes


Review Model Results


Deploy Controls


Chris Owner

I review and remediate incidents in my business area

Review and Remediate Incidents


Review and Remediate Incidents


Alan Auditor

I review incident reports and re-evaluate our existing advanced controls

Review Incident Reports


Review Incident Reports



Identify Unwanted

Transactions

Deploy Controls

Address Issues

Report Results

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Create Models and assess results

Remediate unwanted transactions where feasible

Convert Models to Controls

Run Control Analysis periodically

Manage incidents - options:

Remediate transactions

Adjust ERP configuration

Add compensating access controls

Report incident management results to

managers, auditors


Agenda


Best Practices

Panelist Q&A Chris Doxey Doxey, Inc.

Swarnali Bag Oracle Consulting

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Agenda


Best Practices

Panelist Q&A

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Copyright © 2016, Oracle and/or its affiliates. All rights reserved. Copyright © 2016, Oracle and/or its affiliates. All rights reserved.

Thursday PANEL SESSION Sep 22, 9:30 AM – 10:15 AM| Moscone West 3005

Implement the Best Practice for Oracle Fusion Advanced Financial Controls Cloud Service [CAS7286]

Swarnali Bag, Governance, Risk & Compliance Practice Lead, Oracle Barry Greenhut, Director, Product Strategy, Oracle Christine Doxey, President, Doxey, Inc. Lakshmi Rajamohan, Principal Product Strategy Manager, Oracle Mark Stebelton, Director, Product Management, Oracle This session provides a detailed walkthrough of Oracle Fusion Financial Controls Cloud Service from an end user’s perspective, and highlights how the product can be configured to automate best practice controls. Oracle Fusion Advanced Financial Controls Cloud Service is designed to meet the common needs of Oracle Financials Cloud subscribers. Based on learning from a decade of customer experience, this session showcases Oracle’s best practice business process for maximum ROI with minimum cost of ongoing operation.

PANEL SESSION Sep 22, 12:00 PM – 12:45 PM | Moscone West 3005

Get Started with Financial Reporting Compliance and Advanced Financial Controls [CON7284]

Barry Greenhut, Director, Product Strategy, Oracle Lakshmi Rajamohan, Principal Product Strategy Manager, Oracle Joel Alvarado, Customer Success Manager, Oracle This session provides you with the most effective project plan to implement Oracle Financial Reporting Compliance or Oracle Fusion Advanced Financial Controls Cloud Service. Participants will learn the shortest and most cost-effective path to success using Oracle’s customer and partner-tested “get started” process. Learn how to plan and adopt these cloud services, and then sustain your use through growth and change. Learn how to get the experience and expertise needed to succeed.

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For subscribers and partners

To Learn More about Best Practices

Modern Best Practice Oracle University Go-To Partners

Get Started Customer Connect

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Success Managers

https://www.oracle.com/cloud/customer-success-managers.html

http://modernbestpractice.com/

http://education.oracle.com/pls/web_prod-plq-dad/db_pages.getpage?page_id=225


https://support.oracle.com/cloud/faces/DocumentDisplay?_afrLoop=299159892333731&_afrWindowMode=0&id=2120557.1&_adf.ctrl-state=12knj1gdd6_4

https://appsconnect.oracle.com/resources/081926cc0a/summary



To Learn More about Risk Management Cloud

Cloud Portal Release Readiness User Documentation

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https://cloud.oracle.com/risk-management-cloud

https://cloud.oracle.com/en_US/saasreadiness/erp?readinessRID=1445273094171

http://docs.oracle.com/cloud/latest/riskcs_gs/docs.htm

Copyright © 2016, Oracle and/or its affiliates. All rights reserved. Copyright © 2016, Oracle and/or its affiliates. All rights reserved.

Go-To Partners

Success requires experience and expertise

– get both from our Go-To Partners:

• Guide process owners & participants

through adoption of Best Practice Processes

• Configure software for effective long-term

success: Minimum cost of operation,

Maximum flexibility to adapt to change

To learn more and get connected, contact

your Oracle Success Manager

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