Region: Philadelphia
Industry: Pharmaceutical,Life Sciences,Manufacturing
Service Line(s): Risk Management Services
Created and maintained an Internal Audit function and assisted with Sarbanes-Oxley compliance, as well as provided support to corporate governance and financial reporting functions.
"AC Lordi has done an excellent job with our Company’s Sarbanes-Oxley Project. Their team has been exceptional in all facets of the engagement. From the planning stages to the actual hands-on work, the AC Lordi team has brought both professionalism and technical expertise to our project. Our outside auditors have even commented on the quality of the documentation work performed by AC Lordi. We are very fortunate to have a top notch firm working with us on such an important project such as the Sarbanes-Oxley project.”
Michael Tuterice, Former Chief Financial Officer
Company Background:
Lannett is a leader in the manufacture of generic pharmaceuticals as well as a one-stop, blend to bottle, DEA Class 1-5 manufacturer.
Business Challenge:
In order for Lannett to undertake its Sarbanes-Oxley compliance initiative, the company first had to develop an internal audit function. Once this was established, Lannett required additional resources to help educate its process owners on the implications of Sarbanes-Oxley, and manage the planning, documentation, and testing of the major processes.
AC Lordi Consulting Solution:
Our engagement team worked closely with the CFO and Controller, as well as other key stakeholders throughout the company to build and implement a cost-effective Internal Audit function. This enabled Lannett to perform ongoing development, testing, and monitoring of controls related to Sarbanes-Oxley compliance as well as perform operational, financial, and IT audits. This process involved creating an Internal Audit charter and mission to document procedures, and developing an audit plan based on the risks unique to Lannett with input from the Executive Management Team and the Board of Directors. We continue to team with them to provide the methodology and resources needed to bring the company into full compliance with the Sarbanes-Oxley regulations.
Value Delivered:
By partnering with Lannett to develop its Internal Audit function, we were able to help the company move towards Sarbanes-Oxley compliance, as well as strengthen its existing accounting practices by allowing Lannett to audit non-compliance related functions to ensure efficiency. We continue to work with the company using our phased approach to Sarbanes-Oxley compliance, where we partnered with Lannett’s management to coordinate testing with external auditors during each step so that deliverables are on time and on target, and costs are minimized.