CPE Credits: 15
Description: This course provides understanding and practice in identifying internal controls using a framework. The course focuses on COSO's Internal Control - Integrated Framework and introduces the COSO Enterprise Risk Management – Integrated Framework. Both the theory and practical aspects of using the COSO frameworks are covered. Evaluations of "soft" controls such as ethics, integrity, and management philosophy are given particular attention.
Audience: The course is designed for all auditing and enterprise risk management staff, supervisors and managers seeking first-hand experience and practical guidance in selecting and implementing the COSO frameworks. The class format is small and large group discussions, case studies, practical exercises, facilitator presentations and skill practice.
Prerequisites: No advance preparation or prerequisites are necessary for this course.
Objectives:
This seminar is designed to help participants:
- Learn how the COSO (Committee of Sponsoring Organizations) frameworks define internal control and enterprise risk management (ERM).
- Learn to use COSO-based evaluation tools.
- Roundtable discussion on current issues, challenges, and emerging practices in auditing using control frameworks.
Course Outline:
COSO Overview
· The COSO reports – Internal Control and Enterprise Risk Management
· ERM vs. IC vs. Risk Assessment
· Evaluating and auditing controls over financial reporting
· The challenges COSO presents to the internal audit profession
Central COSO Principles
· Hard and soft controls
· Entity-wide Evaluation
· Activity-level Evaluation
Internal Environment
· Internal environment factors
· Evaluating the environment
Risk Identification and Assessment
· Setting objectives
· Risk identification and assessment factors
· Risk Responses - Prevent, detect, accept
· Process-based controls
· The role of internal audit in determining risk responses
Control Activities
· The real definition of Control Activities
· Information technology controls
· Other self-assessment efforts in the organization
Monitoring and Oversight
· A closer look at information and communications
· Monitoring factors
· The role of governance
Implementing COSO
· COSO Implementation
· Audit reports using COSO
· Application to your own department: new practices, potential barriers, critical success factors
Instructor Bio:
Larry Hubbard is a professional trainer and consultant with a broad background in accounting, auditing, and finance. Prior to founding Larry Hubbard & Associates, Larry’s work experience included Mobil Corporation and Ernst & Young. More information about Larry is at:
www.LHubbard.com