Exploring the Treadway Commission’s
Purpose
Walden University
ACCT 6600: Managing Operational and Financial Business
Risks
14:37:45 GMT -05:00
, In our day-to-day activities, there’s a possibility of risks existing. In businesses, risks are always
around the corner. There’s always the possibility of changes, and an organization needs to take
the risk and be more adaptive to changes. Management was held responsible for managing risk.
Enterprise risk management enhanced the process and gave management a better understanding
of how the definite consideration of risk may collide with the choice of strategy. This paper will
focus on the Treadway Commission and its purpose. COSO-The Committee of Sponsoring
Organizations of the Treadway Commission is the cooperative creativity of five professional
organizations. COSO is created to help the organization improve its performance by cultivating
considerable leadership that heightens internal control, risk management, governance, and fraud
prevention. Since this week concentrates on risk and or enterprise risk management, this paper
will concentrate on risk management initiated by COSO and the purpose and benefits of the
enterprise risk management framework they created.
COSO published the Enterprise Risk Management-Integrated Framework in 2004. In the last
decade, the publication has gained broad acceptance by the organization to manage risk.
Although the complexity of risk arises, as new risks emerged, COSO boards and executives
enhanced their awareness of enterprise risk management and requested improved risk reporting.
To help improve the effort to manage risk, COSO created another updated document titled
Enterprise Risk Management-Integrating with Strategy and Performance, highlighting the
importance of considering risk in performance and strategy settings. Per the article of COSO-
ERM Executive summary, this Enterprise Risk Management-Integrating with Strategy and
Performance was set to allow management to feel more confident as it:
14:37:45 GMT -05:00
Purpose
Walden University
ACCT 6600: Managing Operational and Financial Business
Risks
14:37:45 GMT -05:00
, In our day-to-day activities, there’s a possibility of risks existing. In businesses, risks are always
around the corner. There’s always the possibility of changes, and an organization needs to take
the risk and be more adaptive to changes. Management was held responsible for managing risk.
Enterprise risk management enhanced the process and gave management a better understanding
of how the definite consideration of risk may collide with the choice of strategy. This paper will
focus on the Treadway Commission and its purpose. COSO-The Committee of Sponsoring
Organizations of the Treadway Commission is the cooperative creativity of five professional
organizations. COSO is created to help the organization improve its performance by cultivating
considerable leadership that heightens internal control, risk management, governance, and fraud
prevention. Since this week concentrates on risk and or enterprise risk management, this paper
will concentrate on risk management initiated by COSO and the purpose and benefits of the
enterprise risk management framework they created.
COSO published the Enterprise Risk Management-Integrated Framework in 2004. In the last
decade, the publication has gained broad acceptance by the organization to manage risk.
Although the complexity of risk arises, as new risks emerged, COSO boards and executives
enhanced their awareness of enterprise risk management and requested improved risk reporting.
To help improve the effort to manage risk, COSO created another updated document titled
Enterprise Risk Management-Integrating with Strategy and Performance, highlighting the
importance of considering risk in performance and strategy settings. Per the article of COSO-
ERM Executive summary, this Enterprise Risk Management-Integrating with Strategy and
Performance was set to allow management to feel more confident as it:
14:37:45 GMT -05:00
