Forensic Accounting – Financial Management Systems
Small and medium-sized manufacturing firms can know as much about their production costs as the major companies of the world.
Off-the-shelf shop floor reporting software packages usually can be customized sufficiently and easily such that any manufacturing firm looking to improve their profitability for the long term can get a great ROI by investing in shop floor reporting automation.
Yet, many times a firm operates differently than the new software assumes. In order to realize that great return on investment in new software often requires an accurate and complete integration with the particular way each specific firm operates. There really is no such thing as ‘one size fits all’.
Forensic Accounting – Financial Management Systems
EFM specializes in analyzing the manufacturing processes and related shop floor reporting issue in each firm. Using Activity-based costing, EFM can help each company allocate their indirect costs. An accurate allocation of overhead expenses takes the guesswork out of product pricing decisions.
EFM also determines how best to utilize the current software to generate solid cost accounting information. As a result of using Activity-based costing, the client can take full advantage of the software installation and make the best pricing decisions based on their specific situation.
- Member, Small Business Alliance (SBA)
- Member, Association of Certified Fraud Examiners
Paul J. Updike, MBA, CFE, Faculty Practitioner UOP, Principal, specializes in solving small business problems that are operational, financial, accounting-related and fraud-related. Paul earned two degrees from Brigham Young University, and has 25-plus years experience as a Chief Operating Officer, CFO, Controller, Financial Analyst and Cost Accountant for Motorola, Rogers Corporation, HS Crocker, Flagstaff Engineering and other multi-million dollar organizations.
Paul is a member of the Online Faculty for the University of Phoenix, teaching Economics and Finance (including accounting classes) to MBA candidates at the University of Phoenix, the largest private university in America. He has taught over 130 classes in the past 10 years. UOP Online classes are condensed, not abbreviated. Students average 37 years of age and work in most of America’s multinational corporations and many other important corporations around the world.
Paul serves as an expert witness when fraud cases go to trial.
To discuss a specific concern or to get more information about a particular service we invite you to contact us at 480-577-6776.
Typical UOP student end-of-class comment:
“And Paul, thank you for making the class so great, as well as for going well beyond the scholastic side and giving us tidbits on life.”
Economics 360 (Macroeconomics) Lecture comments from Economics 361 (Microeconomics) student:
“Although I printed out your  lectures to read, I had not read them at the time I responded. And now I am kicking myself …. All I can say is WOW! All of your lectures are absolutely phenomenal, and without question I learned more in your lectures than in my ECO 360 class.”
Official UOP Peer Review comment:
“Paul is an energetic and passionate facilitator. He effectively communicated the subject matter to his students and motivated them to learn more about the topic. Paul exhibited all of the best traits of an online facilitator.”
EFM Typical Accomplishments
- Served as expert witness and provided critical forensic accounting evidence that proved instrumental in getting a $889,000 judgment against embezzler for one client.
- Overhauled cost accounting information process and data collection process for machine shop.
- Created, then implemented complex, standard cost information system for 6,000 different bills of material, facilitating revenue growth from $5 million to $20 million, while profit margins jumped 350% and manufacturing variances dropped 60%.
- Negotiated $2 million Line of Credit for client.
- Rescued client from brink of bankruptcy by enforcing stricter accounting and control practices in AP and AR, which dramatically improved cash flow, while negotiating payment plans with dozens of angry, unpaid creditors.
- Designed departmental financial information system at the UCLA School of Medicine that dramatically improved department efficiency allowing $65,000 in annual budget reduction.
- Created entire accounting package including general ledger and financial statements using spreadsheet applications for company whose accounting records were originally three years behind.
- Improved information access by simplifying financial information for non-financial managers.
- Implemented daily accounting process routine for company that was formerly impossible to audit.
- Restructured salesman commission rate to reflect reality, saving $100,000 annually.
- Created one page summary of essential operating information and trained personnel how to use format.
- Streamlined monthly closing process from 15 days to only 7 days with half the accounting staff.
- Reduced supplies expenditure by $40,000 after taking over management of internal Network Administration.
- Modified computerized accounting system to provide YTD numbers for line item revenues and expenses.
- Created and implemented market-based salary range plan for 65 people.
- After negotiating an additional $35,000 payment from the customer to resolve his delivery problem, the customer said, “It is a pleasure doing business with you.”
- Improved and documented entire shop floor reporting procedure for manufacturer.
- Lowered over-60 day receivables from 34% to 16% of the total outstanding accounts by creating a more reasonable credit policy and tightly enforcing that policy.
- Changed the method of measuring inventory usage, simplifying reporting, improving accuracy and reducing $40,000 of annual unfavorable inventory adjustment.
- Set up sweep account to significantly improve cash management.
- Negotiated long-term OEM contracts with two major vendors that lowered annual vendor prices $200,000.