Differences between centralized and decentralized accounting

The specific differences between centralized accounting and non-centralized accounting are as follows:

1. In centralized accounting, the decision-makers of accounting operations are separated from the executors. In the past, accounting fraud occurs, most of the accounting business decision-makers that is the leadership of the unit instructed, accounting staff out of administrative leadership relationships or self-interest needs and specific operations. The accounting centralized accounting model is to make the accounting business from the internal processing of each unit to the centralized processing of accounting center, accounting staff of the affiliation with the unit separation, unit leaders can not instruct the centralized accounting agency accounting staff to do false, this management model makes want to do false but no one to do.

2, in the centralized accounting, financial approval and accounting supervision of the separation. In the past, most departments of the financial institutions set up financial management and accounting into one, the head of the financial department is both the financial approver is also an accountant, in the processing of accounting matters after the head of the department to sign the original documents agreed to, both in line with the financial system of the financial approval and accounting processing norms in line with the accounting supervision and approval. This set of dual-function as a management, the lack of financial and accounting mutual constraints, so that the unit within the accounting fraud possible. After the implementation of centralized accounting, financial approval function by the unit to exercise, accounting supervision function by the accounting center to exercise, in the approval of the responsible person and the actual operator to form a separation, through the establishment of dual constraints on the function, so that no one dares to do want to do false.

3, in the centralized accounting, accounting vouchers storage management and unit separation. In the past, after the completion of accounting operations, all accounting records are kept by the unit, most units are long-term in the financial sector to save, when accounting fraud occurs, it is difficult for outsiders to know. After the implementation of centralized accounting, accounting records are processed and kept by the accounting center, and according to the requirements of the accounting audit system, the auditor can check the suspicious accounting vouchers with the unit that issued the vouchers. At the same time, the operation of the accounting center is subject to the supervision of the budgetary units, the internal supervision of the financial department, and the supervision from the audit, discipline inspection and other relevant departments. Audit department of the budget unit's financial status, accounting vouchers and other audits at the same time, but also the accounting center audit.

4, in the centralized accounting, the accounting business process open. In the past in the form of decentralized accounting, the process of accounting operations is closed, the scope of knowledge of accounting operations is very limited, often only one or two people know. In the form of centralized accounting, an accounting business processing, at least through the unit of the handler, certified, financial approver and reporting staff, accounting accounting center of the audit accounting, bookkeeping accounting and accounting supervisor and so on seven links, the amount of larger units will also have to go through the unit's supervisory leadership, accounting center, such as the approval of the leaders in charge of the approval. The whole business process is carried out under the operation mode of "one-stop office and counter operation". Knowledge of the expansion of the scope, the operation of the process of public, change "secret operation" for "sunshine operation", from the operation mechanism on the formation of fraud effective curb.