By and large, Sod, Segregation of Duties, happens to be of the foundational aspects and controls that you need to have for such an effective risk and compliance programs. In a nutshell, SoD, segregation of duties basically involves the separation of the persons who are tasked with the responsibility of executing the various steps in business transactions in a bid to reduce the risks of errors and frauds within the system.
Looking at the role of SAP when we come to matters finance, we come to acknowledge the fact that SoD is such an integral responsibility for the SAP administrators and any other person who may be responsible for the aligning of SAP with the GRC.
Coming to an understanding of SoD, segregation of duties, it would be advisable that you first get to understand some bit of how businesses handle their income and expense transactions. Naturally as it happens in any system, when it comes to spending, it is a fact that there will always be a series of steps that must be followed before any monies are disbursed in an organization.
Generally, this always begins with a business manager drafting a purchase order and this PO details how much a supplier of goods or services is to be paid for the service that they rendered. The purchasing department has to approve this for the vendor to be paid. It is as well often the case that the same purchase order has to be verified and approved by some higher person in the ranks in the business and this is often some senior manager. Then you need to remember as well that the vendor to be paid must then invoice for the service or product that they supplied for which they are demanding payment. At the tail end, there is the need for the invoice to be approved by someone in the accounts payable department before this cheque is finally paid. Find the best sod management software or click for more details.
By and large, looking at the above described process for the approval of payments in an organization, you get to appreciate the fact that SoD is such a core control over financial reporting. As a matter of fact, in the event that there is no SoD, chances are so high that the financial reports that may be generated and produced at the end of the day may not offer you as much valid information. Actually SoD is so central when it comes to the need to have such a sure internal control system and structure in your organization. Here is more on the challenges in the SAP environments and your way around the need to resolve the various SoD conflicts. You can read more on this here: https://www.huffpost.com/entry/how-taking-managed-risks-_b_7848682.
