Please enable JavaScript.
Coggle requires JavaScript to display documents.
Managerial Control System (Information and Communication (support the …
Managerial Control System
Monitoring Activities
Findings are evaluated against criteria
Separate evaluations
The scope vary depending on
By
Regulators
Directors
Recognized standard-setting bodies
Deficiencies are communicated to management
In order to effect the principles within each component
Information and Communication
Carry out internal control responsibilities
Support the achievement of its objectives.
support the
functioning of other components of internal control
Internal
Information is disseminated
Flowing up and down
Across the entity
The organization
Enables personnel to receive a clear message from senior management
External
Enables inbound communication
External parties for
Expectations
Requirements
Control Activities
Actions established
Policies
Procedures
Mitigate risks to the achievement of objectives
Performed at all levels of the entity
Authorizations and approvals
Verifications
Reconciliations
Business performance reviews
Control Environment
basis for carrying out internal control across the organization.
Processes
Structures
Standards
integrity and ethical values of the organization
For
the parameters enabling the board of directors to carry out its governance oversight responsibilities
The organizational structure and assignment of authority and responsibility
The process for attracting, developing, and retaining competent individuals
Rigor around performance measures,
Incentives, and rewards to drive accountability for performance.
Risk Assessment
The possibility that an event will occur and adversely affect the achievement of objec-
tives.
Dynamic and iterative process
Requires management to consider the impact of pos-
sible changes