You work for a local CPA firm hired by Touchstone Corporation to review its processes and procedures. The head of HR, Sally Lewis, has specifically asked that your team start by reviewing the employee onboarding process. Sally feels that certain steps are not handled in the right areas and that the process could be more mature and efficient. Sally has asked for feedback within a week, so they can present the preliminary findings at the next HR department meeting. Required: For each control deficiency, identify the risk and a control that can be used to mitigate that risk.

Risk(s) Control1. The company does not have a formal process for capacity planning or department budgeting in relation to employee decisions, as managers have full discretion over hiring and compensation. select a risk Inconsistencies in offers extended for similar positions. Inefficiencies of dealing with paper documentation. Inefficiencies of dealing with paper documentation and potential labor regulation compliance issues. Loss of important documentation and information. New hires failing to understand their duties, obligations, and company policies may result in misunderstandings and negative impacts on productivity. Potential excess capacity and expense due to over-hiring. Potential labor regulation compliance issues. Violating employment laws for hiring may result in lawsuits, fines, legal penalties, or reputational damage. Violating employment or privacy laws may result in lawsuits, fines, legal penalties, or reputational damage. Violating employment laws for hiring may result in lawsuits, fines, legal penalties, or reputational damage and inconsistencies in offers extended for similar positions. select a control Aggregate the policies and require one top management approval signature for process efficiency. Establish and enforce departmental budgets, including employee headcount and expenses. Implement a formal process for internal/external job posting and recruitment. Require back up of the shared drive, per compliance-related retention requirements for human resource files. Require electronic PDF signatures to eliminate the scanning/filing process. Require that only human resources extends offer letters. Require vendors with access to confidential information to have an internal control report or perform other vendor risk management procedures prior to engagement. Streamline job descriptions. Ensure that they are current and communicated to the employee upon hire. 2. In some instances, the hiring manager issues offer letters prior to notifying HR. select a risk Inconsistencies in offers extended for similar positions. Inefficiencies of dealing with paper documentation. Inefficiencies of dealing with paper documentation and potential labor regulation compliance issues. Loss of important documentation and information. New hires failing to understand their duties, obligations, and company policies may result in misunderstandings and negative impacts on productivity. Potential excess capacity and expense due to over-hiring. Potential labor regulation compliance issues. Violating employment laws for hiring may result in lawsuits, fines, legal penalties, or reputational damage. Violating employment or privacy laws may result in lawsuits, fines, legal penalties, or reputational damage. Violating employment laws for hiring may result in lawsuits, fines, legal penalties, or reputational damage and inconsistencies in offers extended for similar positions. select a control Aggregate the policies and require one top management approval signature for process efficiency. Establish and enforce departmental budgets, including employee headcount and expenses. Implement a formal process for internal/external job posting and recruitment. Require back up of the shared drive, per compliance-related retention requirements for human resource files. Require electronic PDF signatures to eliminate the scanning/filing process. Require that only human resources extends offer letters. Require vendors with access to confidential information to have an internal control report or perform other vendor risk management procedures prior to engagement. Streamline job descriptions. Ensure that they are current and communicated to the employee upon hire. 3. The companys background check provider does not have an independent internal control report in place. select a control Aggregate the policies and require one top management approval signature for process efficiency. Establish and enforce departmental budgets, including employee headcount and expenses. Implement a formal process for internal/external job posting and recruitment. Require back up of the shared drive, per compliance-related retention requirements for human resource files. Require electronic PDF signatures to eliminate the scanning/filing process. Require that only human resources extends offer letters. Require vendors with access to confidential information to have an internal control report or perform other vendor risk management procedures prior to engagement. Streamline job descriptions. Ensure that they are current and communicated to the employee upon hire. 4. The employees job description is not communicated as part of the new hire package. In addition, the company has numerous positions with few differences in responsibilities. select a control Aggregate the policies and require one top management approval signature for process efficiency. Establish and enforce departmental budgets, including employee headcount and expenses. Implement a formal process for internal/external job posting and recruitment. Require back up of the shared drive, per compliance-related retention requirements for human resource files. Require electronic PDF signatures to eliminate the scanning/filing process. Require that only human resources extends offer letters. Require vendors with access to confidential information to have an internal control report or perform other vendor risk management procedures prior to engagement. Streamline job descriptions. Ensure that they are current and communicated to the employee upon hire. 5. The company has multiple stand-alone policies instead of a comprehensive employee handbook. select a control Aggregate the policies and require one top management approval signature for process efficiency. Establish and enforce departmental budgets, including employee headcount and expenses. Implement a formal process for internal/external job posting and recruitment. Require back up of the shared drive, per compliance-related retention requirements for human resource files. Require electronic PDF signatures to eliminate the scanning/filing process. Require that only human resources extends offer letters. Require vendors with access to confidential information to have an internal control report or perform other vendor risk management procedures prior to engagement. Streamline job descriptions. Ensure that they are current and communicated to the employee upon hire. 6. New hires must print and sign the new hire paperwork. select a control Aggregate the policies and require one top management approval signature for process efficiency. Establish and enforce departmental budgets, including employee headcount and expenses. Implement a formal process for internal/external job posting and recruitment. Require back up of the shared drive, per compliance-related retention requirements for human resource files. Require electronic PDF signatures to eliminate the scanning/filing process. Require that only human resources extends offer letters. Require vendors with access to confidential information to have an internal control report or perform other vendor risk management procedures prior to engagement. Streamline job descriptions. Ensure that they are current and communicated to the employee upon hire. 7. There is no formal process in place for internal/external job posting and recruitment. select a control Aggregate the policies and require one top management approval signature for process efficiency. Establish and enforce departmental budgets, including employee headcount and expenses. Implement a formal process for internal/external job posting and recruitment. Require back up of the shared drive, per compliance-related retention requirements for human resource files. Require electronic PDF signatures to eliminate the scanning/filing process. Require that only human resources extends offer letters. Require vendors with access to confidential information to have an internal control report or perform other vendor risk management procedures prior to engagement. Streamline job descriptions. Ensure that they are current and communicated to the employee upon hire. 8. The company has a networked hard drive that the HR department uses for document storage. The company stores its files there so that authorized employees can access them. There is no regular backup of this drive to keep the files safe.