Elements and Performance Criteria
- Review organisational financial management processes
- Document respective financial management responsibilities of the board or committee, and management
- Explain legal responsibilities of individual board members and the board as a whole to the committee or board
- Determine financial information required by the board or committee from management
- Identify the statutory requirements of the board or the committee
- 1.5 Seek advice on suitable financial management systems that will enable reporting against the organisation's overall financial health.
- Apply financial management processes and systems
- Access appropriate policies and procedures to open and/or operate necessary bank accounts
- Identify approved signatories for the bank accounts
- Access finance procedures and reporting requirements specified by organisational stakeholders or funding bodies, and check that requirements for finance documentation are met
- Review timelines to ensure financial statements are completed within the timeframe required by relevant corporate authorities, organisational stakeholders and/or funding bodies
- Review documentation for authority and delegation between the board or committee and management for the management of finances
- Ensure statutory requirements with regard to financial management are followed
- Review policies and procedures to ensure they provide checks and balances to prevent, identify and deal with fraud
- Review organisational procedures and documentation for receiving and expending funds
- Review process for financial reporting against organisational budget and ensure established procedures and maintained by management
- Meet financial reporting requirements
- 4. Monitor organisational expenditure
- Review and evaluate organisational budget and financial statements to ensure they meet requirements
- Compare income and expenditure to budget and previous periods and identify and investigate discrepancies
- Discuss achievement and variances to the budget in committee or board meetings
- Discuss the danger of being insolvent with board or committee members to ensure they understand their legal obligation not to trade while insolvent
- Document recommendations for action or variances
- Monitor organisational expenditure
- Review and evaluate organisational budget and financial statements to ensure they meet requirements
- Compare income and expenditure to budget and previous periods and identify and investigate discrepancies
- Discuss achievement and variances to the budget in committee or board meetings
- Discuss the danger of being insolvent with board or committee members to ensure they understand their legal obligation not to trade while insolvent
- Document recommendations for action or variances