In small public entities, sometimes only one person is primarily responsible for handling financial matters. This concentration of duties in one person is not desirable from an accounting point of view. One measure to help counter this weakness involves training a second person in the specific duties related to the entity’s finances.
Cross-training has numerous benefits. It allows a second person to perform the duties when the employee primarily responsible is unavailable. Having someone else perform the job duties also provides a method of detecting errors and/or irregularities created by the person primarily responsible for those duties. Finally, cross-training provides continuity during periods of employee transitions. Cross-training offers advantages from both an accounting and a management point of view.
Date this Avoiding Pitfall was most recently published: 07/02/2015