Earlier this year, the Committee of Sponsoring Organizations of the Treadway Commission (COSO) updated its Internal Control — Integrated Framework. The updated principles-based framework, which supersedes the original 1992 framework, now explicitly describes its principles rather than simply implying them, thus making it easier for companies to apply the principles. The revised COSO framework’s 17 principles of effective internal control are as follows:
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Depending on a company’s facts and circumstances, making the transition to the updated framework can take time, so it’s a good idea to begin the process as soon as possible. Companies may begin by familiarizing themselves with the aforementioned 17 principles and other COSO guidelines. Then, companies may evaluate the current state of their internal control system and develop a plan for correcting any weaknesses.
To learn more about the revised COSO Framework, view the Weaver Insights article Updated COSO Framework: Will Your Company’s Internal Controls Make the Grade?
Copyright © 2013 Thomson Reuters / BizActions.
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