All 21 Purchase Orders & 3-Way Matching questions
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What is evaluated receipt settlement (ERS) / pay-on-receipt? How does PO matching support period-end accruals? How do you reconcile and clear an aged GR/IR account? How does procure-to-pay automation reduce matching exceptions? How do you handle price variances between PO and invoice in inventory accounting?
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Accounts Payable & Receivable › Purchase Orders & 3-Way Matching

How do matching controls support SOX/segregation of duties?

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Answer

Three-way matching is a preventive control ensuring payments correspond to authorized orders and actual receipts, limiting override risk. Combined with segregation of duties—different people raise POs, receive goods, and approve payments—it prevents any one person from creating and paying a fictitious purchase, a core SOX requirement with a clear audit trail.
Real-world example Auditors test that no single user can both post a goods receipt and approve the matching payment, confirming the control operates.

Common follow-ups: Why is matching a 'preventive' control? | What roles must be separated?

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All 21 Purchase Orders & 3-Way Matching questions