Search Icon VIEW DEMO

Contact Us VIEW DEMO

MENUMENU
  • Products
    • JAMIS Prime ERPProduct Overview
      • Finance/Project AccountingCost Accounting For Government Contractors
      • Time and Expense ManagementTimesheets, Time Off Management, and Expense Reporting
      • Customer Relationship Management (CRM)Opportunity Lifecycle Management
      • Asset ManagementFixed Assets, Depreciation, and Government Property Management
    • Hide ItProduct Overview
      • Contract ManagementContract Lifecycle Management
      • Business Planning SuiteBid & Proposal, Budgeting, and Forecasting
      • Distribution ManagementRequisitions, Purchasing, and Inventory Management
      • Dashboards & Business IntelligenceReal-time Reporting, Inquiries, & Dashboards
    • JAMIS HumanicProduct Overview
      • Human Capital ManagementHR, Recruiting, Onboarding, Benefits, Compensation, and Learning
      • Payroll ManagementDomestic & International Payroll, & Outsourced Tax Services
  • Services
    • Implementation Services & Consulting
    • Customer Support
    • JAMIS Open University
    • JAMIS Cloud Service
    • System Customization
  • Resources
    • Why JAMIS?
    • Security
    • DCAA Compliance
    • Benefits By Role
    • Mobile Capabilities
    • Prime Insights Blog
  • Events
    • GovCon Webinar Series
    • JAMIS Summit
  • Company
    • About JAMIS
    • Company News
    • Management Team
    • Partners & Affiliates
    • Careers
    • Office Locations
    • Contact Us
  • Contact Us

The Importance of Internal Controls for Government Contractors

Posted by JAMIS Software on April 5, 2016

internal_controlsEffective internal controls are essential to the success of any organization.  This is especially true for government contractors who operate in one of the most regulated industries in the world.  No organization of any size can ensure compliance with their own policies much less comply with the myriad of government rules and regulations without an effective suite of internal controls specifically designed for their operating environment.

For example, it is virtually impossible to maintain adequate accounting, purchasing and property systems without effective internal controls.  Internal controls also play a significant role in preventing and, if necessary, detecting unethical behavior among employees.   In fact, FAR clause 52.2-3-13 “Code of Business Ethics and Conduct” requires the larger government contractors to implement a suite of specifically identified internal controls.  More recently, internal controls covering a contractor’s IT systems have become critical.  The emphasis on internal controls for IT systems is appropriate for three reasons.

  • IT now supports virtually all contractor operations and functions from business development, to contract performance, to corporate functions such as accounting, HR, and purchasing.
  • Cyber security
  • Government regulations such as FedRAMP and the DFARS clause 252.204-7012 “Safeguarding Covered Defense Information and Cyber Incident Reporting”  impose stringent requirements on contractors’ IT systems.

Unfortunately, internal controls are not yet commoditized and cannot simply be purchased.  Nor can internal controls be effectively implemented in a piecemeal fashion. Effective internal controls need to work together in an overall framework.  Too few internal controls substantially increase a contractor’s risk, too many are costly and time-consuming, thus hurting the firm’s competitiveness.  Conversely, a suite of internal controls designed specifically for your organization will contribute as much to your success as good business development or state of the art, technical skills.

The right ERP system, will ensure you’ll always remain compliant with the government’s rules and regulations. An application like JAMIS Prime ERP can do just that and integrate all the key components of your business. Take a look at our website HERE for more information or sign up to join our JAMIS webinar series HERE.

To learn more about this topic, Aronson offers a “White Paper” entitled “Internal Controls – Going Beyond Auditing.”   If you have any questions regarding this white paper or how Aronson can help your firm succeed please contact Payal Vadhani (pvadhani@aronsonllc.com), Lead Partner of Aronson’s Technology Risk Services Practice.

Topics: Blog

Welcome!

Previous Posts:

Fixed Assets and Government Property Management for Government Contractors

Cloud ERP- The Key to Staying Productive in a Remote Environment

COVID-19 GUIDANCE AND RESOURCES FOR GOVERNMENT CONTRACTORS FROM JAMIS PARTNERS AND AFFILIATES

JAMIS Software Corporation is committed to our Customers, Partners, and Employees during the COVID-19 Pandemic

The JAMIS Edge

  • Designed Specifically for Government Contractors
  • DCAA Compliance Made Easier
  • Powerful Business Intelligence at Your Fingertips
  • Security Standards Aligned with the DoD
  • Optimized for Mobile Devices
Why JAMIS
Copyright © 2020 JAMIS Software Corporation. All rights reserved. Legal | Sitemap
JAMIS Headquarters | 4909 Murphy Canyon Rd., Suite 460, San Diego, CA 92123
This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Reject
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.