In short
Segregation of duties means dividing authorization, custody of assets and recording of transactions among different people, so that no one person can both commit and conceal an error or fraud.
Key takeaways
- Combining custody and recording allows theft to be hidden in the records.
- In systems, it is enforced through user roles and access rights.
- When it isn't practical, compensating controls such as independent review are needed.
Where it's tested
ISC: Business Processes & Automation — study notes, a five-minute revision sheet and practice questions.
Practise: 3 questions
Question 1 of 3 · 0 answered
Which segregation of duties weakness most directly enables a fictitious vendor fraud?