Continuous Monitoring is an aspect of Continuous Auditing that allows an organization to observe the performance of processes in a real-time or near real-time environment. This is done utilizing audit analytics software to scrub data to determine the level of accuracy and efficiency. Continuous monitoring software examine functional areas like accounts payable and cash disbursements. The software is designed to identify overpayments by comparing transactional data like invoice numbers, vendor numbers, item pricing and payment amounts to contracts and other payments.
Transactional Data
Transactions originate in many functional business areas of an organization from Accounts Payable and Payroll to Accounts Receivable. CFG continuously monitors each transaction and applies business rules to determine the accuracy and validity of the transaction. Business rules are derived from contracts, policies and procedures, regulatory requirements and best practices. Transactions are tagged by the business rules for automatic correction or auditor review. The process is executed in real-time to prevent the losses from erroneous payment.
Monitoring of transactional data is not limited to the traditional areas mentioned above. CFG monitors health claims data, freight and logistics information, and specialized regulatory and compliance data to name a few other areas of application for the CFG software.
Master File Data
Master Files are a collection of descriptive data related to the main functional business area of an organization like Vendors, Employees or Customers. CFG continuously monitors these files to validate the completeness and integrity of the data. CFG identifies duplicate, incomplete and inappropriate Master File entries.