16 Dec COSO – Internal Control – Integrated Framework: 2013 (Framework)
Year of Publication: 2013
Author:PwC under the
direction of the COSO Board
Issued by the Committee of Sponsoring Organisations of the Treadway Commission (COSO), the 2013 Internal Control – Integrated Framework (Framework) is expected to help organisations design and implement internal control in light of many changes in business and operating environments since the issuance of the original Framework in 1992.
The new Framework retains the core definition of internal control and the five components of internal control, and it continues to emphasise the importance of management judgment in designing, implementing, and conducting a system of internal control, and in assessing its effectiveness. It broadens the application of internal control in addressing operations and reporting objectives, and clarifies the requirements for determining what constitutes effective internal control.
- Executive Summary – This provides a high-level overview intended for the board of directors, chief executive officer, and other senior management
- Framework and Appendices – The Framework and Appendices sets forth the five components and seventeen principles of an effective system of internal control, illustrates many approaches and examples relating to entity objectives, and provides direction for all levels of management to use in designing, implementing and conducting a system of internal control, and in assessing its effectiveness.
- Illustrative Tools for Assessing a System of Internal Control (Tools) – The Tools provide illustrative templates and scenarios that may be useful in applying the Framework. It can help management in assessing whether a system of internal control meets the requirements for effective internal control.