ABBD reveals what Bayer’s accounting entries show

“Although our internal audit function is very efficient, to err is human. It is therefore still useful to have an external firm’s view of our accounting.”Céline Lerissel, Tax Manager at Bayer

Specialising in life sciences, Bayer decided to conduct an audit of its accounts payable to confirm the reliability of their processes and the quality of their internal audit function. It was the fact ABBD’s service is based on using the FEC file that convinced Bayer to run an external audit. “We were interested in the idea of using the FEC data for quantitative and qualitative analyses. Instead of producing it solely as an accounting obligation, it is used as a tool to serve the company,” says Céline Lerissel, Tax manager at Bayer.

recovered in supplier overpayments
overlooked recoverable input VAT found

The recovery audit of Bayer’s accounts payable was conducted remotely. Anomalies identified were then confirmed by ABBD’s consultants by checking the supporting documentation for the entries in question, and the findings sent to the Bayer contacts for ratification. The interchange platform Exaus Client Portal was particularly appreciated for carrying out these remote ratifications : “at first sight, it looks fairly complicated, but it is comprehensive. Every time, all the documentation needed to check and ratify the discrepancies found was there,” reports approvingly the Head of Transaction Processes for this accounting department, Patrick Gouinaud.

The results of the audit confirmed the robustness of the processes Bayer follows. In terms of overpayments, analysis showed they were mainly the result of very occasional human error, hence difficult to prevent. “You can implement as many checks as you like, but if there is an error when originally entering the invoice, you only detect it after the event,” confirms Patrick Gouinaud.

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