Look at the hand-offs
Risk often sits between functions rather than inside them. Follow a transaction from initiation to approval, processing, recording, reconciliation and reporting.
Ask who can initiate, approve and change
Unclear segregation of duties can create avoidable risk. The appropriate structure depends on company size, but responsibilities should still be explicit.
Review exceptions, not only the standard process
Manual overrides, urgent payments, credit notes, unusual journal entries and unresolved reconciliation items often reveal where the real control weaknesses are.
Identify spreadsheet dependencies
Spreadsheets are useful tools, but critical calculations and reconciliations need clear ownership, version control and review.
Check whether controls produce evidence
A control that cannot be demonstrated may be difficult to rely on. Approval records, reconciliations and review evidence should be proportionate but visible.
Prioritise by business impact
Not every weakness deserves a major project. Focus first on gaps that could materially affect cash, financial accuracy, compliance, customer outcomes or management decisions.
The MAGDIM Finance & Operations Diagnostic is designed to identify the issues that deserve management attention first.