Power point and essay
Kendrick18
componentofinternalcontrolfromtheCOSOframework.pptxcomponent of internal control from the COSO framework
Information and Communication
Why information and communication
This is because it is necessary for the execution of internal responsibilities.
For the management to work efficiently, relevant and quality information is required from both the external and internal sources for the general functioning of internal control.
For any project to be taken seriously, inbound communication is key to provision of good communication.
Cont….
I think this component plays a general role from environmental control to monitoring activities.
The management can oversee the functions of the entire organization. All the operations need appropriate communication.
Risk assessment of any project could also be a hard task to execute if information and communication is not there for analysis.
concerns you have for individuals in applying this component
Since it is increasingly hot topic, here are some of the concerns that I think individuals check them out.
The first one being the relevancy and quality that supports the functioning of the internal control.
Quality information is very important to very facts and distinguish other types of information that might not be necessary.
Cont…..
Objectives and responsibility in the communication criteria whci might be very neccesary for internal control operations.
Communication with external party should be taken with maximum considerations.
Knowing the kind of information needed at a specific level is also a great concern to avoid a lot of overlapping issues.
Reference
Chan, K. C., Chen, Y., & Liu, B. (2020). The Linear and Non-Linear Effects of Internal Control and its Five Components on Corporate Innovation: Evidence from Chinese Firms using the COSO Framework. European Accounting Review, 1-33.
