Educational Procurement Journal - Spring 2018 - 13

LEO WOLFERT/SHUTTERSTOCK.COM

the construction companies involved
in these projects, simply by driving
by the construction site or reviewing
online postings. Losses can be in
the hundreds of thousands or even
millions of dollars. The University of
California San Francisco (UCSF) was
a recent victim.

Task Force Is Formed
In response to the incident at
UCSF, university leadership formed
a task force that has expertise in
Audit & Advisory Services (AAS),
Supply Chain Management, Accounts
Payable, Information Technology
and Finance. The group had clearly
defined roles and responsibilities. The
task force reported to two executive
sponsors, the Chief Procurement
Officer and the Controller, who served

as the key decision-makers and
resources for guidance.
The group's charter contained three
important objectives: strengthen key
controls, improve business processes,
and identify a system for workflow
approval to reduce the manual effort
of supplier data entry. The success
criteria for this project included:
n Identifying and implementing
processes and controls that
mitigate erroneous and fraudulent
payments
n Reviewing and approval of controls
by AAS
n Identifying a robust new system or
modification of an existing system
that can streamline processes and
enhance controls
n Developing fraud handling and
monitoring procedures

The most critical charge, of course,
was to prevent recurrence of fraud.
An immediate step was to review and
verify all changes of supplier data in
the past six months. The thinking was
that if a legitimate supplier did not
receive payments for six months, due
to fraudulent activity, UCSF would
have been informed.

Key Controls Put in Place
Working with AAS, the task force
established key controls to ensure that
any supplier requests for changes to
payment information or methods were
legitimate and valid.
The group determined that the
most effective way to prevent fraud
was to require external positive
verification for any changes. Any
request initiating a bank account

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Table of Contents for the Digital Edition of Educational Procurement Journal - Spring 2018

Letter from the CEO
Cyber Security—Everyone’s Business
Scammed—How to Protect Your University
Have Festival, Will Travel: Virginia’s Advocacy Program for Small-, Women-, and Minority-owned Businesses
What Is It You Can’t Do?
Heard on the Street: New Hot Topics from the NAEP Exchange
Building a Fund of Sustainability Knowledge, One Book at a Time— Part Eight
Best and Final: Crowdsourcing Beyond the Buzzword
Index to Advertisers
Educational Procurement Journal - Spring 2018 - Intro
Educational Procurement Journal - Spring 2018 - cover1
Educational Procurement Journal - Spring 2018 - cover2
Educational Procurement Journal - Spring 2018 - 3
Educational Procurement Journal - Spring 2018 - 4
Educational Procurement Journal - Spring 2018 - 5
Educational Procurement Journal - Spring 2018 - Letter from the CEO
Educational Procurement Journal - Spring 2018 - 7
Educational Procurement Journal - Spring 2018 - Cyber Security—Everyone’s Business
Educational Procurement Journal - Spring 2018 - 9
Educational Procurement Journal - Spring 2018 - 10
Educational Procurement Journal - Spring 2018 - 11
Educational Procurement Journal - Spring 2018 - Scammed—How to Protect Your University
Educational Procurement Journal - Spring 2018 - 13
Educational Procurement Journal - Spring 2018 - 14
Educational Procurement Journal - Spring 2018 - 15
Educational Procurement Journal - Spring 2018 - Have Festival, Will Travel: Virginia’s Advocacy Program for Small-, Women-, and Minority-owned Businesses
Educational Procurement Journal - Spring 2018 - 17
Educational Procurement Journal - Spring 2018 - What Is It You Can’t Do?
Educational Procurement Journal - Spring 2018 - 19
Educational Procurement Journal - Spring 2018 - Heard on the Street: New Hot Topics from the NAEP Exchange
Educational Procurement Journal - Spring 2018 - 21
Educational Procurement Journal - Spring 2018 - Building a Fund of Sustainability Knowledge, One Book at a Time— Part Eight
Educational Procurement Journal - Spring 2018 - 23
Educational Procurement Journal - Spring 2018 - 24
Educational Procurement Journal - Spring 2018 - 25
Educational Procurement Journal - Spring 2018 - Best and Final: Crowdsourcing Beyond the Buzzword
Educational Procurement Journal - Spring 2018 - 27
Educational Procurement Journal - Spring 2018 - 28
Educational Procurement Journal - Spring 2018 - 29
Educational Procurement Journal - Spring 2018 - Index to Advertisers
Educational Procurement Journal - Spring 2018 - cover3
Educational Procurement Journal - Spring 2018 - cover4
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