Question

Please give me new answer don't copy from old cause it's wrong answers

How can Enterprise Resource Planning (ERP) help internal control within a company?
List five examples and explain them one by one

Answer 1

ERP help in Internal Control
Sl No	Example	Explanation
1	Approval of payment voucher through ERP	In normal case, based on the type of payment and delegation of authority, Manager has to sign on the paper. There is possible chance for forgery. Instead of singing of physically, if the same voucher approved by system with his personal login, there will be no chance of forgery
2	Correct bank account number of Vendors	In manual case, there may be errors or mistakes when we are preparing the bank payment voucher. If all bank details are uploaded in ERP, when ever we select particular vendor, the bank details from master data will come into picture. Hence, the error may be reduced
3	Proper deprecation	In computation of deprecation manually, there is a chance of error. If we update entire Fixed assets register in ERP, based on the input data, system will compute the depreciation for the relevant period and post to accounts.
4	Automatic Due date alerts	ERP system will send automatic alerts based on the Due dates. It will reduce the non compliance of terms of payment.
5	Maker and checker concept	Based on the delegation of authority, making and checking can be made in ERP without paper. Ex. Goods receipt note will be prepared by stores and payment shall be made by accounts section.
6	Lining of ERP system with payroll	If we link the payroll attendance with ERP, the payroll process can be automated
7	Automatic posting of Journals to General ledger	Based on the time intervals, all entries will be posted to respective to General ledgers.
8	Automatic reversal of temporary Journal entries	If any provision entry passed for closing of period and the same needs to be reversed on 1st day next period, the same can be automated in ERP.