1. THE GTAC SYSTEM IN
ERNST & YOUNG
Vrishti Joshi
C-30
15020441318
-KNOWLEDGE MANAGEMENT
ASSIGNMENT
-SUBMITTED TO MR. SUPRATIK
GHATAK
2. ABOUT E&Y
• Ernst & Young (trading as EY) is a
multinational professional services firm
headquartered in London, United
Kingdom. It is one of the "Big Four" audit
firms and is the third largest professional
services firm in the world by aggregated
revenue in 2014, after PwC and Deloitte.
• The organization operates as a network of
member firms which are separate legal
entities in individual countries. It has
212,000 employees in over 700 offices
around 150 countries in the world. It
provides assurance (including financial
audit), tax, consulting and advisory
services to companies.
• The firm dates back to 1849 with the
founding of Harding & Pullein in England.
The current firm was formed by a merger of
Ernst & Whinney and Arthur Young & Co. in
1989. It was known as Ernst & Young until
2013, when it underwent a rebranding to EY.
The acronym "EY" was already an informal
name for the firm prior to its official
adoption.
• As of 2015, EY was the 11th largest privately
owned organization in the United States.
3. I
◇One of the major concerns in a big four advisory client is
that it is the statutory responsibility of Big Four Firms to
take care that they should have no audit relationships with
the client.
◇To enable and ease this process – EY BD team has to
follow the Global Tool for Acceptance and Continuance
(GTAC) process before conversion of a client. EY has
internal clearances at multiple levels for the same.
4. Objectives of the GTAC
system
Walk through and understand the Starting A New Assessment
Functionality for Client/Engagement Acceptance/Continuance
◇ Request for setting up new clients
Request for any new GTAC assessment
◇ Request for new Client Acceptance
◇ Request for new Engagement Acceptance
◇ Request for any other GTAC assessment
New assessment (Client/Engagement) cannot be initiated in GTAC
directly
Request for a new assessment in GTAC goes through OMS at this stage
which is an internal system to manage new clients
5. New GTAC
Existing Client OMS Existing/ New
Opportunity
Request
GTAC
through
Opportunity
New
Client
IN Client
Master
New Client
Requisition
Request
GTAC
through
Opportunity
Diagrammatically, request for a new assessment in GTAC is carried
out in the following manner:
6. Starting a New Assessment : New
Client Setup and Existing Client-
Steps
1) Type in the Client Name and click on Search button
2) For a new client setup, check the box indicating new client setup
3) Click on ‘Proceed with new client’
4) Click on ‘Submit Client’ after filling in the client details
5) Go to OMS and create New Opportunity
6) Thereafter, GTAC assessment is undertaken by filling in a form
and adding in the new member details
7) For an existing client, select the existing client name and fill in all
relevant data on the GTAC assessment form. Thereafter, click on
“Send Request for GTAC” button to send the GTAC request.
7. 1) The user can view his/her submitted GTAC request under “My
GTAC Assessment” view
2) After sending the GTAC assessment request , for New client
requests, Client Data is validated by GFIS Support Team. In case of
error/duplicate entry, GFIS Support Team communicates the same
to the requester
3) Once the GTAC assessment request is processed , the user
receives a mail from GFIS support along with a link to the
assessment
4) The user is required to fill and submit the completed Drafting
Assessment form in GTAC (https://gtac.ey.net) for approval
8. GTAC Assessment Stages
STARTING AN
ASSESSMENT
DRAFTING
ASSESSMENT
SENIOR
MANAGER
SIGNOFF
EP SIGNOFF
GCSP SIGNOFF
All assessments (plus
second EP where required)
where required
Approval
passes through the
Approval ladder
COMPLETED
UNRESOLVED
CONDITIONS
AWAITING
CONDITION
RESOLUTION
ASSESSMENT
COORDINATOR
SIGN OFF
where Country config item
requiring conditions to be
resolved before submitting is off
where enabled in Country
configuration
REQUEST
CANCELLED
All assessment types;
on reports, not searchable
ASSESSMENT
CANCELLED
Client type assessments;
on reports & searchable
ASSESSMENT
DECLINED
Where country set up allows
approver to decline.
Cancelled at Approval Stage:
All assessment types;
On reports and searchable
ENGAGEMENT
NOT WON
CSP SIGNOFF
Where added to Team as
a signer
Awaiting GCSP
response
where CAC is required
POST
APPROVAL
PROCESSING
Not required for Continuance,
LCEs and client only
Only EP can do this
Automatically purged after
120 days
Automatically purged after
90 days
9. Post Approval Process
○Once, the prior mentioned steps are taken, the GTAC assessment is
completed along with all required approvals in GTAC
○Once client acceptance is approved, client set-up in GFIS will be
done by the GFIS Support team
○For approved engagement acceptance, a new engagement set-up
request is created by the system and the link is sent to the
requestor for completion of engagement setup form and
engagement code set-up requisition
○New engagement setup request must be completed within 3
months, else draft setup documents are deleted, thus requiring
fresh GTAC assessment, if so necessary
10. Advantages of the GTAC
system
• Global Tool Acceptance and Continuance (GTAC), provides a
consistent system and process for managing relationships,
recording opportunities and facilitating client acceptance.
• It is EY’s intranet-based system for efficiently coordinating client
and engagement acceptance and continuance activities in line
with global, service line and member firm policies.
• GTAC takes users through the acceptance and continuance
requirements and identifies the policies and references to
professional standards needed to assess both business
opportunities and associated risks.
• Essentially, it helps EY in identifying if the prospective client is
type 1 audit client or not, which in turn helps in statutory
compliance.