Professional Documents
Culture Documents
PROPOSED SOLUTIONS
Objectives
This proposed accounting system and policies aim:
1.
2.
3.
4.
5.
6.
7.
To
ensure
that
proper
internal
controls
are
being
9.
10.
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General Recommendations
1.
2.
3.
4.
5.
6.
7.
140
8.
9.
2.
3.
5.
141
6.
7.
2.
3.
4.
5.
6.
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Policies
Sales Returns
Refund
Wholesale
1. Return
of
items
purchased
from
Polaris
Power
return.
3. Return of items must be in original packing, carton,
manuals and accessories and most of all the pump,
parts or items must look "brand new" to make it
acceptable.
4. The customer should inform the dealer regarding the
items to be returned, then if the returned items are
received by the dealer and if found to be acceptable,
Credit Memo will be issued.
5. The Credit Memo will be reflected on the next billing.
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Retail
1. Return
of
items
purchased
from
Polaris
Power
return.
3. Return of items must be in original packing, carton,
manuals and accessories and most of all the pump,
parts or items must look "brand new" to make it
acceptable.
4. Item is accepted for refund or replacement if it is
verified by a Warehouseman to be defective who then
prepares report as to the cause of the defect (factory or
handling) to be submitted to General Manager.
5. Item returned in exchange for another item is accepted
but not subject to refund. It can be replaced with item
of the same price or item with a higher price subject to
additional payment.
6. For the same item replacement, no need to issue
another Sales Invoice. Customer acknowledges on the
receipt that item is replaced.
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7. A Return Slip (RS) is issued for every item returned
and received from the customer.
8. For big items, such as aircon pump, transformer,
water tank, etc., dealer must be informed.
If dealer
Return Slip
Replacement
General Terms & Conditions
1. Replacement can only be granted the customer
presents the proof of purchase consisting of original
invoice or sales slip indicating the date of purchase,
model and serial no. of the item. Polaris Power
Engineering reserves the right to refuse replacement if
the proof of purchase cannot be provided by the
customer. Polaris Power Engineering obligations are
limited to the replacement of the item itself.
2. Repairs must not be carried out by any repair shops.
Replacement will be void if a repair has been
attempted. Polaris Power Engineering shall not be
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liable for reimbursements, claims and damages that
may result from the unauthorized repair of the item.
3. The replacement is not applicable to cases other than
defects in material, design and workmanship.
4. The replacement does not cover the following:
a. Periodic
checks,
maintenance,
repair
and
disturbances,
improper
ventilation,
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5. This replacement does not affect the consumers'
statutory rights nor the consumers' rights.
6. This replacement will be the purchasers' sole and
exclusive
remedy
and
neither
Polaris
Power
no
replacement
conditions.
Polaris
Power
147
amount of purchase of the customer. The amount threshold will
then be based to the sound judgment and experience of the
business. An example of which would be: If the sales is between
P50, 000 - P 100, 000, the discount could be granted by the Sales
Supervisor. If it is P100, 000 worth of purchase, then the granting
of sales discount will then be decided by the General Manager.
should
discounts.
be
There
given
must
to
only
customers
be
before
prescribed
granting
range
of
of
this
should
be
determined
by
the
Finance
and
Administration Head.
Credit
Polaris Power Engineering should establish a credit policy for its
customers. In addition, the business should publish this credit policy
and be known among the salesperson. Standardizing the credit policy
would result to a more efficient and controlled process of transactions.
As a guide in making the policy, here is the groups recommendation:
1. Polaris Electrical Engineering should establish credit standards,
which involves decisions on how much credit risk to assume.
That is, the management, based on their sound judgement and
148
through experience, should set amount threshold that would
serve as the basis on granting credit from customers.
2. Determine credit standards for which involves a company
evaluating the credit worthiness of an individual or business.
This is done by contacting banks regarding the credit rating of
the individual or the business. Another method would be to
check the financial statements of the company and compute the
necessary ratios, such as assets-to-liabilities ratio.
3. The business must decide on the length of the period before
payment must be made and whether or not they will offer a
discount for early payments.
4. Establish a collection agreement.
5. This will all be done and verified by the Finance and
Administration Head.
Purchasing
All purchases shall be made by the Asst. General Manager through
the purchasing department.
General Purchasing
1. Inventory requests shall be accomplished through an official
Purchase Requisition Form.
2. Official Purchase Order Forms shall be accomplished in
three (3) copies by the Purchasing Clerk, with each copy to
149
be
kept
by
the
Purchasing
Clerk,
Bookkeeper
and
ii.
Planned Purchases
1. Orders to suppliers shall be based on a purchase plan
budgeted based on an estimation of an incoming months
sales, while properly considering contributing factors such
as nature of inventory to be ordered, the proximity of
supplies, minimum inventory levels and the like.
2. Planned purchases shall be acquired from approved vendors
only. A vendor list must be maintained to facilitate the
150
ordering process. This vendor list shall contain, at a
minimum, information on vendor trade name, address,
nature of inventory acquired from it, contact details and
payment terms.
3. The Receiving Reports that accompany orders received by
the Warehouseman shall only be signed after adequate
inspection or quality and correctness of items received and
reconciliation with the Purchase Order corresponding to the
order.
Form(s) Involved
i.
ii.
iii.
Charged Invoice
iv.
Sales Invoice
v.
Packing List
vi.
Waybill
vii.
Receiving Report
Inventory Management
1. A minimum inventory level for every material single or
classes of inventory must be formally set, which may also be
referred to as buffer inventory. This level shall be agreed by
management as advised by the supervisor in the Warehouse.
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2. The minimum inventory levels must be maintained with
purchase
levels
adjusted
accordingly
to
replenish
parties
to
facilitate
control
are
received
and
and
financial
reporting procedures.
6. After
the
goods
signed
by
the
warehouseman:
a. Receiving Reports should be surrendered to the
Purchasing Clerk promptly after receiving procedures
are concluded.
b. The Receiving Report is signed by the Supervisor of the
warehouse before given to Purchasing Clerk.
c. The Accounts Payable Clerk issues check or cash for
payment to supplier.
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7. Sufficient
controls
to
safeguard
inventory
must
be
established.
8. FIFO system is adopted in controlling inventory flow and a
perpetual inventory system is implemented.
Disbursements
1. All disbursements are paid by check except those which are paid
from the Petty Cash Fund.
2. Each check prepared is covered by a pre-numbered CV.
3. All CVs should be properly supported. The Bookkeeper reviews and
checks the validity of the CV and its supporting documents.
4. CVs shall be forwarded to the Finance and Administration Head for
approval. The check shall be forwarded to the General Manager for
signing.
5. Upon release of checks, the Accounts Payable Clerk will check if
the payee has signed all copies of CVs and its supporting
documents indicating therein the date of payments.
6. CV will be signed by the payee/authorized representative to
acknowledge the receipt of payment upon release of check.
Check Disbursements
1. All expenses to be paid using checks shall be initiated using
a Check Voucher prepared by the Accounts Payable Clerk.
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2. The Bookkeeper shall record a corresponding expense and
liability upon acceptance of the bill.
3. The Check Voucher must be approved by the Finance and
Administration Head and the check should be signed by the
General Manager.
4. The Accounts Payable Clerk shall make a Check Voucher for
all Check Disbursements.
5. The Bookkeeper shall have a duplicate copy of Check
Voucher which will be used for bookkeeping.
Control of Checks
1. All checks are issued in their proper numerical sequence.
2. All checks are prepared based on the properly approved
CVs, duly verified by Bookkeeper, approved by the
Finance and Administration Head, and signed by the
General Manager.
3. The check is always payable to a specific person or entity.
4. Unused check booklets will be under the custody of the
Accounts Payable Clerk. Under no circumstances such
check booklets be made available to any authorized
persons.
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5. Voided, spoiled and cancelled checks shall be marked
cancelled and attached to the corresponding checkbook
for subsequent inspection and reconciliation.
Signing and Countersigning of Checks
1. The check when presented for approval should be
supported by corresponding approved CV and supporting
documents.
2. All checks shall be signed and countersigned by the
authorized signatories: the Finance and Administration
Head for approval and the General Manager for the official
signing.
3. Signing or countersigning of blank checks in advance is
strictly prohibited.
Bank Reconciliation
1. To determine the accuracy of the cash in bank account
balance, a reconciliation of the book and bank balances is
done monthly by the Bookkeeper.
2. The
bank
reconciliation
statement
especially
the
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3. Posting errors committed by the bank immediately
communicated to the bank.
Forms and Persons/Unit Involved
Forms:
i. Check Voucher (CV)
ii. Bank Reconciliation Statement
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3. The funds are in the custody of the Head Cashier.
Access to, and responsibility, for each of the funds are
limited to the respective custodian.
4. Each of the funds is kept in a separate box. If one
custodian is responsible for two or more funds these
should be physically segregated.
5. Only the Head Cashier shall have custody of the Petty
Cash Fund.
6. The Head Cashier shall verify the need for the expense
before issuing a Petty Cash Voucher.
7. All receipts from using the Petty Cash shall be
accompanied by a Petty Cash Voucher signed by the
Head Cashier.
8. Petty Cash Vouchers shall be pre-numbered and
released in sequential order.
9. All Petty Cash Disbursements shall be liquated by the
Head Cashier.
The Petty Cash Voucher
1. Each of the funds is kept in a separate box. If one
custodian is responsible for two or more funds these
should be physically segregated.
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2. A
petty
cash
disbursements
voucher
from
the
(PCV)
is
Petty
Cash
required
for
Fund.
The
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Surprise Count
Forms:
i.
ii.
Bank Deposits
1. All cash collections for the day shall be deposited to the bank
immediately.
2. Should the bank be closed at the end of the collection, the money
shall be kept in a safe and secure cash vault and it shall be
properly locked. It shall then be deposited at the earliest time
possible the following banking day.
Employee Policies
Work Rules and Regulations
1. Customers should be the priority at all times. They must be
greeted politely with welcoming expressions.
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2. Customers should be accommodated at all times and they
should be given due assistance when they are in need.
3. Customer queries should be answered in a respectful and
courteous manner. Suggestions should also be taken in and
raised to management especially when they are serious
matters.
4. Be happy in the things being done and experience how to
share that happiness to others co-workers and customers
alike.
5. All must work as a team helping out each other, but with
due observance of segregation of duties.
6. Everyone must be accountable to everyone in his work.
Dress Code
It is the responsibility of every employee employed by the
organization to abide by the specified dress code required. How the
employee looks affect largely the company image thats why it is of
utmost
importance
for
employees
to
dress
rightly
and
are
prohibited
from
exposing
or
revealing
160
are not allowed to use company-related information for
personal gain.
2. Use
of
employee
offensive
is
words
strictly
by
not
an
employee
allowed.
to
another
Courtesy must be
161
to the companys
162
Tardiness
Undertime
163
Evaluation of Employees
Evaluation should be done to the newly hired employees after one
(1) month for relievers and trainees. For the rank and file, supervisory
and other job position present, evaluation is conducted every third (3rd)
and fifth (5th) month from the date hired.
Hiring of Employees
Recruitment
Referrals
from
trustworthy
associates,
employees,
or
164
contract.
Questions
and
clarifications
should
be
Document/Paper Requirements
o Job Applicants are expected to submit the following
directly to the companys office:
o Application Letter
o TOR (Transcript of Records)
o NBI Clearance
o Resume
Interview
165
information in the resume submitted by the applicant and
know more about the candidates competencies and future
goals.
Background Check
on
the
applicants
through
follow-ups
in
the
166
wage/salary, and other necessary information. In addition,
Human Resources Manager should call or e-mail the other
applicants not accepted to inform them the denial of their
application.
Retirement/Termination of Employees
Involuntary Termination
In cases of regular employment, the employer shall not
terminate the services of an employee except for a just cause. The
following are considered to be a just cause for terminating ones
employment:
167
Notice Rule)
1.
2.
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c) Rebut the evidence presented against them by the
management.
After
determining
that
termination
of
employment
is
b)
due
to
the
installation
of
labor-saving
devices,
169
In case of termination due to the installation of labor-saving
devices or redundancy, the worker affected thereby shall be
entitled to a separation pay equivalent to at least his one (1) month
pay or to at least one (1) month pay for every year of service,
whichever is higher.
In case of retrenchment to prevent losses and in cases of
closures or cessation of operations of establishment or undertaking
not due to serious business losses or financial reverses, the
separation pay shall be equivalent to one (1) month pay or at least
one-half (1/2) month pay for every year of service, whichever is
higher. A fraction of at least six (6) months shall be considered one
(1) whole year.
An employer may terminate the services of an employee who
has been found to be suffering from any disease and whose
continued employment is prohibited by law or is prejudicial to his
health as well as to the health of his co-employees: Provided, That
he is paid separation pay equivalent to at least one (1) month
salary or to one-half (1/2) month salary for every year of service,
whichever is greater, a fraction of at least six (6) months being
considered as one (1) whole year.
An employee who is unjustly dismissed from work shall be
entitled to reinstatement without loss of seniority rights and other
170
privileges and to his full backwages, inclusive of allowances, and to
his other benefits or their monetary equivalent computed from the
time his compensation was withheld from him up to the time of his
actual reinstatement.
Voluntary Termination/Retirement
An
employee
may
terminate
without
just
cause
the
Inhuman
and
unbearable
treatment
accorded
the
171
Organizational Chart
The group has presented a recommended organizational chart
taking into consideration what has been practiced by the organization
and answering the needs of the organization.
First is the group only retained the HR manager, assuming that
the same person will become the head of the payroll clerk. The group
then added to the functions under the Finance & Administration, the IT
personnel function.
The
Inventory
function
is
transferred
to
the
Purchasing
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OWNERS
INTERNAL
AUDITOR
GENERAL MANAGER
OPERATIONS
SALES
TECHNICAL
CUSTOMER SERVICE
SUPPORT
SERVICE
WHOLESALE
ELECTRICAL
ELECTRICAL
PLANS
RETAIL
AIRCON
TOOL KEEPER
PLUMBING
WAREHOUSE
CARPENTRY
LOGISTICS
PURCHASING
INVENTORY
173
FINANCE &
ADMINISTRATION
TREASURY
CREDIT
COLLECTION
ACCOUNTING
CASHIERS
AR CLERK
AP CLERK
COLLECTION
CLERK
BOOKKEEPER
COLLECTORS
GENERAL CLERK
FINANCIAL
REPORTING
HUMAN
RESOURCE
PAYROLL CLERK
174
Job Qualification and Job Description
General Manager
Job Qualifications
Job Descriptions
175
Partner
with
stakeholders
to
ensure
clear
requirements
documentation
Internal Auditor
Job Qualifications
Has thoroughness
176
Job Descriptions
Perform and control the full audit cycle including risk management
and control management over operations effectiveness, financial
reliability and compliance with all applicable directives and
regulations
regulations,
best
performance standards
practices,
tools,
techniques
and
177
Sales Supervisor
Job Qualifications
Ability to multi-task
Job Description
178
Wholesale Salesperson
Job Qualifications
Job Descriptions
179
Retail Salesperson
Job Qualifications
Job Descriptions
Provide
information
about
warranties,
manufacturing
Prepare receipts
180
Job Description
Electrical Supervisor
Job Qualification
Job Description
Inspects
wiring
and
fixtures
for
conformance
to
company
Studies
production
schedules
and
estimates
worker
hour
181
Job Description
Plumbing Supervisor
Job Qualification
182
Job Description
Carpentry Supervisor
Job Qualification
183
Skilled worker
Job Description
Leadman
Job Qualification
Skilled worker
Job Description
Technician
Job Qualification
confidentiality,
quality
focus,
results
driven,
supply
184
Job Description
Job Description
Job Description
185
Tool Keeper Supervisor
Job Qualification
Honest
Job Description
Warehouse Supervisor
Job Qualification
Has
skills
on
supervision,
safety
management,
data
entry
Job description
186
coordinating
inventory
transfers
with
related
departments
Warehouseman
Job qualification
Job description
187
Operate and
maintain preventively
equipment
Logistics Supervisor
Job Qualification
Job Description
188
Support
simplification
and
standardization
of
processes
to
189
division or significant program area, and has preferably overseen a
human resources function previously
Technology
savvy
with
experience
selecting
and
overseeing
190
managing
processes,
quality
management,
corporate
Coordinate and lead the annual audit process, liaise with external
auditors and the finance committee of the board of directors;
assess any changes necessary
and
keep
senior
leadership
team
abreast
of
the
Implement
robust
contracts
management
and
financial
191
Head Cashier
Job Qualification
Job Description
192
Cashier
Job Qualification
Job Description
Know the state laws governing the collection of debt and the laws
as mandated by the law
Job Description
193
General Clerk
Job qualification
194
Job description
Job description
Obtains
computing
invoices;
payments
revenue
charges
identifying
by
and
verifying
transaction
refunds;
delinquent
preparing
accounts
information;
and
and
mailing
insufficient
195
Resolves
accounts
discrepancies
by
investigating
documentation
Prepares
financial
reports
by
collecting,
analyzing,
and
Job description
196
Collectors
Job qualification
Job description
197
Job description
Bookkeeper
Job qualification
Computer literate
Job description
198
199
Strong knowledge of law and regulations
Strong PC skills including proficiency in Excel
Strong work ethic and team player
High degree of professionalism
Ability to deal sensitively with confidential material
Strong interpersonal (verbal and written) communication skills
Ability to communicate with various levels of management
Decision-making, problem-solving, and analytical skills
Organizational, multi-tasking, and prioritizing skills
Job description
Perform daily payroll department operations
Manage workflow to ensure all payroll transactions are processed
reports
Understand proper taxation of employer paid benefits
Process correct garnishment calculations and compliance
Perform compliances for unclaimed property payroll checks
Process accurate and timely year-end reporting when necessary
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Publicity and Advertising
Marketing and promotional efforts should not be misleading to
potential customers. All information should be complete and there
should be no hidden provisions. It should not be used to degrade what
other competitors are doing. There should be a healthy and equitable
competition.
Information Technology
In terms of the information technology (IT structure) and its
corresponding controls, the group will recommend the inclusion of the IT
personnel in the organizational chart and the use of more secure backup storage.
With regard the storage of data, the risk of loss and/or theft is
inappropriately high for the company to solely rely on such device. The
company may purchase additional password-protected external hard
drives that will be kept in a secure location after every use. With the
external hard drives, the officer can have his/her copy in her flash drive
which he/she can carry for his/her work, while the company with have a
proper back-up with the external hard drives. The external hard drives
must be placed in a separate location from the branches, or be placed in
a fire-proof and water-proof vault. The company may also use the online
cloud storage services which ensure the safety of the data files from
physical elements.
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Accounting Department
The Accounting Department should follow the following:
1. A computerized accounting system that encompasses all of
the companys operations and functions, including financial
reporting, should be put in place. This is to link the
recording, recordkeeping, accounting and financial reporting
functions of the company. Having such a system in place will
allow the company to benefit from faster transaction
processing,
real
time
financial
(and
non-financial)
to
the
accounting
office
should
be
restricted
202
and demandable, and are past due. This will further improve
the relationship of the company with its suppliers.
Mission, Vision, Goals and Slogan
Mission: Polaris Power Engineering assists and provides customers with
quality products and quality services in electric supplies, air conditioning
equipment & systems and pump services at competitive rates.
The mission of the business is to give the customers assistance in
choosing the most suitable electric supplies, air conditioning equipment
& systems and pump service. It also gives the customers the quality
services in line with their needs. All these offers will be based on
competitive prices, not compromising the quality but of justifiable rates.
Vision: Polaris Power Engineering is the leading customers choice of all
electric supplies, air conditioning equipment & systems and pump services
in Negros Oriental.
This vision would mean that the business aims to be the number
one place for customers electric supplies, air conditioning equipment &
systems and pump services in Negros Oriental. Also, it enforces
whatever it takes line to cultivate a relationship with customers rather
than merely completing a transaction.
203
Slogan: Giving you the trusted ones over the years
This is to give emphasis that Polaris Power Engineering only
provides high quality products and services, in line with its mission.
Moreover, the slogan intends to quote the length of existence that it has
been in the market, which would mean having instituted a name in the
industry.
Goals:
Participating
in
the
electric
power
generation,