Unit of competency Outline

Date retreived
22/07/2026 5:01 PM AWST

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Control organisational finances

Control organisational finances

Unit of competency
National Code
BSBATSIM505C
State Code
D4854
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
10/03/2009
View on TGA
State Implementation and Classification
Approved Date
07/10/2014
Field of Education
080307 - Organisation Management
Original Release Date
07/10/2014
Nominal Hours
100
Description
This unit describes the performance outcomes, skills and knowledge required to establish and maintain effective financial management within the organisation to ensure board control of finances and external accountability to statutory authorities and funding bodies.Some aspects of governance activities may be subject to legislation, rules, regulations and codes of practice relevant to different job roles and jurisdictions.
Notes
Elements and Performance Criteria
1. Establish a financial management structure
  • 1.1. Establish a structure to undertake regular financial management responsibilities on behalf of the board
  • 1.2. Document respective responsibilities of the board and management
  • 1.3. Determine financial information required by the board from management
  • 1.4. Seek advice on suitable financial management systems for the organisation
  • 1.5. Identify relevant statutory requirements
2. Establish financial management processes and systems
  • 2.1. Ensure appropriate policies and procedures are in place to open and operate necessary bank accounts
  • 2.2. Identify approved signatories for the bank accounts
  • 2.3. Ensure authority and delegation between the board and management for the management of finances are documented
  • 2.4. Ensure statutory requirements with regard to financial management are followed
  • 2.5. Ensure duties of finance staff are documented
  • 2.6. Ensure accepted procedures for receiving and expending funds are established and maintained by management
  • 2.7. Ensure accepted systems for financial reporting are established and maintained
3. Sign contracts on behalf of the organisation
  • 3.1. Ensure procedures for developing and documenting contracts are developed and followed
  • 3.2. Identify people authorised to sign contracts on behalf of the organisation
  • 3.3. Check that proposed contractual arrangements are realistic for the organisation and in the organisation's and community's interests
  • 3.4. Ensure contracts are signed according to organisational policies and procedures
4. Follow finance procedures specified by funding bodies
  • 4.1. Seek variations to financial agreements from relevant funding bodies if required
  • 4.2. Identify and follow purchasing and disposal procedures specified by funding bodies
  • 4.3. Check that requirements for finance documentation specified by funding bodies are met
5. Advise the community of the financial situation of the organisation
  • 5.1. Identify the type and content of financial information that can be made publicly available
  • 5.2. Ensure financial information is made available to members as specified in the constitution
  • 5.3. Present financial information at meetings in a clear and simple manner
6. Meet reporting requirements of relevant corporate authorities and funding bodies
  • 6.1. Identify reporting requirements by relevant corporate authorities and funding bodies
  • 6.2. Establish timelines to ensure financial statements are completed within the timeframe required by relevant corporate authorities and funding bodies
  • 6.3. Ensure an auditor is appointed at the annual general meeting
  • 6.4. Review and evaluate financial statements to ensure they meet requirements
  • 6.5. Check that financial reports are submitted to relevant corporate authorities and funding bodies within required timeframe
RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Financial management responsibilities may include:
approving expenditures
developing a budget
entering into funding agreements
reporting financial information
varying the agreed budget.
Signatories may include:
a combination of board members and management
board members only
management only within limits.
Statutory requirements may include:
acquittal of funds
audited reports
superannuation
taxation, including GST
workers' compensation.
Systems for financial reporting may include:
computer-based systems
manual systems.
Financial information may include:
annual audited reports
financial projections
monthly income and expenditure figures
project reports.
Relevant corporate authorities and funding bodies may include:
government departments
other corporations
philanthropic trusts
project partners
Office of the Registrar of Indigenous Corporations
state and territory registration authorities.
EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the ability to:
identify role of the board and management in the control of finances
read and interpret typical organisational financial reports
follow policies and procedures regarding the organisation's financial management
communicate financial information simply and clearlyto others
ensure financial reporting requirements are met.

Context of and specific resources for assessment
Assessment must ensure:
participation on an actual or simulated board
access to examples of financial reports used by boards
access to examples of funding agreements and other relevant documents
knowledge and performance are assessed over time to confirm consistency in performance.

Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
observation of performance on a board or simulated board
direct questioning combined with reflection of practical board performance by the candidate
analysis of responses to case studies and scenarios
demonstration of techniques
observation of presentations and group discussions
oral or written questioning to assess knowledge
analysis of feedback from other board members.

Guidance information for assessment
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended.
Replaces
State Code National Code Title Type
D0594 BSBATSIM505B Control organisation finances Unit of competency
Replaced By
State Code National Code Title Type
AUL44 BSBATSIM505 Control organisational finances Unit of competency