Controllership: 2007 Cumulative Supplement

Note to the Reader: Sections not in the main bound volume are indicated by "(New)" after the title. Material from the Seventh Edition that has been updated for this supplement is indicated by "(Revised)" after the title. Material new to or modified in this supplement is indicated by an asterisk () in the left margin in the contents and throughout the supplement.Preface.PART 1 THE BROAD MANAGEMENT ASPECTS OF CONTROLLERSHIP.1 Accounting in the Corporation.1.5 Impact of Ethics on the Accounting Role.8 Internal Audit Function.8.3A Audit Committee Charter (New).8.4 Role of the Audit Committee.PART 2 THE PLANNING FUNCTION OF CONTROLLERSHIP.14 Profit Planning: Annual Plan.14.5A Problems with the Annual Plan (New). 14.21A Linking the Bonus Plan to the Budget (New).PART 3 PLANNING AND CONTROLLING OPERATIONS.18 Planning and Control of Sales. 18.6 Sales Analysis.19 Planning and Control of Marketing Expenses.19.3 Overview of Marketing Activities (Revised).22 Planning and Control of Research and Development Expenses. 22.12 Establishing the R&D Operating Budgets. 22.15 Effectiveness of R&D Effort.23 Financial Planning and Control in a Service Company. 23.5 Cost Accounting in a Service Organization.24 Planning and Control of General and Administrative Expenses. 24.4A Spend Management Systems (New).25 Payroll.25.12 Improving the Payroll Process (New). 25.13 Payroll Measurements (New).PART 4 PLANNING AND CONTROL OF THE BALANCE SHEET.26 Planning and Control of Cash and Short-Term Investments. 26.5 Cash Collections. 26.7 Internal Control.26.10A Variations in Cash Requirements by Industry (New).27 Planning and Control of Receivables.27.1 Introduction (Revised).27.2 Credit Policies, Procedures, and Systems (New).27.2A Collection Policies, Procedures, and Systems (New). 27.2B Use Credit Prescreening To Reduce Marketing Costs (New). 27.3A Customer Invoicing Topics (New). 27.4 Collections Task. 27.4A Selling The Bankruptcy Creditor Claim (New). 27.6A Create A Bad Debt Forecast (New).28 Planning and Control of Inventories.28.1 Introduction (Revised).28.2A Inventory Purchasing (New).28.2B Inventory Receiving and Shipping (New).28.2C Inventory Storage (New).28.2D Inventory Picking (New).28.2E Production Issues Impacting Inventory (New).28.2F Inventory Transactions (New).28.2G Inventory Quantity Management (New).28.2H Warehouse Layout (New) . 28.8A Donate Excess Inventory (New). 28.8B Further Review of Consignment Inventory Issues (New).PART 5 FINANCIAL AND RELATED REPORTS.31 Planning and Control of Plant and Equipment or Capital Assets. 31.10A Cash Flow Modeling Issues (New). 31.16A Impact of Constraint Analysis (New). 31.17A Using Expected Commercial Value for Project Ranking (New). 31.17B Problems With the Capital Budget Approval Process (New).32 Management of Liabilities. 32.4A Management of Accounts Payable (New).35 Reports to Shareholders. 35.5 Report of Management's Responsibilities. 35.8A Issue Investor Podcasts (New).36 Securities and Exchange Commission.36.7A Implications of the Sarbanes-Oxley Act (New).PART 6 COMPUTER SYSTEMS AND RELATED TECHNOLOGY.39A Leading Practices in Testing Highly Configurable Software Packages (New).39A.1 Introduction: Why Test Off-the-Shelf Software Packages?39A.2 Software Testing: How Much Is Enough?39A.3 Testing Methodologies: What Should Be Tested, and How?39A.4 Testing Leading Practices.39A.5 Conclusion.41A Maintaining and Upgrading ERP Financial Systems (New).41A.1 Overview.41A.2 Current State.41A.3 Key Strategies to Minimize Cost.41A.4 Conclusion.41B Impact of Enterprise Applications on Finance (New).41B.1 How do these Deployments Affect Me?41B.2 Pitfalls.41B.3 What Leads to an Increased Risk Profile?41B.4 What Can You Do?41B.5 Conclusion.51A Leveraging Business Process Management Technologies for Sarbanes-Oxley Section 404 Compliance (New) .51A.1 Introduction.51A.2 Essential Features of a Comprehensive BPM Solution.51A.3 Path to Compliance.51A.4 Leveraging Investments in BPM Beyond Sarbanes-Oxley.51A.5 Conclusion.PART 7 SOME ADMINISTRATIVE AND SPECIAL ASPECTS OF THE CONTROLLER'S DEPARTMENT.52 Financial Planning and Analysis for Acquisitions, Mergers, and Divestments.52.8 Evaluating the Prospect: In-Depth Analysis. 52.8A Complexity Analysis (New).52.11 Valuation of an Acquisition.52.19 Mistakes by Management.52A The Missing Piece of the Merger and Acquisition Puzzle (New).52A.1 Introduction.52A.2 What Can Be Done to Address These Issues?52A.3 Conclusion.52B Walking the Merger and Acquisition Tightrope-With a Safety Net (New).52B.1 Introduction.52B.2 What Is M&A Capability Development and How Can It Help?52B.3 Conclusion. 52C The Role of ERP Systems in Mergers, Acquisitions, and Divestitures (New).52C.1 Overview.52C.2 Top Three Separation Activities.52C.3 Merger, Acquisition, and Divestiture-Specific ERP Considerations.52C.4 Conclusion. 52D Achieving Integration Value Through Customer and Market Focus (New).52D.1 Introduction.52D.2 Eight Tips for Successful Mergers.52D.3 Conclusion.55 Accounting Best Practices. 55.2 Sixty-Six Best Practices.56 Reporting Period and How to Close It.56.6 How to Achieve a Fast Close (Revised).56.6A Summary (New).59 Records Management.59.2A Need for Tighter Control Over Records Management (New). 59.6 Contract Management Systems (New). 59.7 Using RFID for Accounting Record Keeping (New).62 Risk Management.62.4 Trends In Insurance Coverage.62.6A Evaluating the Health of an Insurance Carrier (New).62.8A Risk Management Planning (New).Index.