ABSTRACT
This case analyzes the implementation of a virtual close and continuous monitoring capability at Cisco. Cisco was among the first firms to implement such a system capability. This case traces the development of that virtual close capability and monitoring system through technology changes, accounting process changes, changes in accounting policies, implementation of standard accounting artifacts, and reorganization of the accounting and finance functions, and examines some of the resulting payoffs. The case also examines some of the limitations of the system. In addition, the case examines how expectations of these capabilities may have resulted in a class action suit against Cisco. The case is appropriate for accounting information system and business courses that examine issues related to enterprise resource planning systems. The case also can be used to address issues such as reengineering the finance function and potential control needs in a virtual close environment.
