Internal Controls, what are they? process, effected by the entity’s board of directors, management, and otherpersonnel, designed to provide reasonable assurance regarding the achievementof objectives related to operations, reporting, and compliance.  Who provides the framework? COSO: Committee of Sponsoring Organizations of the Treadway Commission  The framework provides 3 objectives 1.     Operations 2.     Reporting 3.     Compliance  Objectives (ORC) 1.     Operations 2.     Reporting 3.     Compliance Components (mnemonic) 1.     Control Environment - set of standards,processes, and structures that provide the basis for carrying out internalcontrol across the organization.2.     Risk Assessment - involves a dynamic anditerative process for identifying and assessing risks to the achievement ofobjectives.3.     Information & Communication - arethe actions established through policies and procedures that help ensure thatmanagement’s directives to mitigate risks to the achievement of objectives arecarried out.4.     Monitoring Activities - are the continualiterative process of providing, sharing, and obtaining necessary information.5.     Existing Control Activities-  representsthe process of ongoing and periodic evaluations to ascertain whether thecomponents of internal control are present and functioning. To the extentcontrol deficiencies are found, they are communicated in a timely manner toresponsible parties, including senior management and elected officials, forcorrective action.Internal Controls, what are they? process, effected by the entity’s board of directors, management, and otherpersonnel, designed to provide reasonable assurance regarding the achievementof objectives related to operations, reporting, and compliance.  Who provides the framework? COSO: Committee of Sponsoring Organizations of the Treadway Commission  The framework provides 3 objectives 1.     Operations 2.     Reporting 3.     Compliance  Objectives (ORC) 1.     Operations 2.     Reporting 3.     Compliance Components (mnemonic) 1.     Control Environment - set of standards,processes, and structures that provide the basis for carrying out internalcontrol across the organization.2.     Risk Assessment - involves a dynamic anditerative process for identifying and assessing risks to the achievement ofobjectives.3.     Information & Communication - arethe actions established through policies and procedures that help ensure thatmanagement’s directives to mitigate risks to the achievement of objectives arecarried out.4.     Monitoring Activities - are the continualiterative process of providing, sharing, and obtaining necessary information.5.     Existing Control Activities-  representsthe process of ongoing and periodic evaluations to ascertain whether thecomponents of internal control are present and functioning. To the extentcontrol deficiencies are found, they are communicated in a timely manner toresponsible parties, including senior management and elected officials, forcorrective action.In today's episode, we discuss the importance of internal controls to help organizations achieve their objectives. Do your organization have reasonable controls in place to operate, report, and stay compliant? Do you understand the COSO framework? Tune in to learn.