COSO Executive Summary- Internal Control

Internal control is a process which is carried out by an entity’s board of directors, management, and other staff to offer reasonable assurance over the achievement of operational, reporting, and compliance objectives.

The fundamental goal of internal controls is to enable an organization to protect itself and achieve its goals. Internal controls actually reduce risks and safeguard assets, to assure record accuracy, improve operational efficiency, and encourage adherence to policies, rules, regulations, and laws.

There are five interrelated components of an internal control framework: control environment, risk assessment, control activities, information and communication, and monitoring.