This posting will assist you to have an understanding of some similarities and variances involving two frameworks: COSO and COBIT. Some standard understanding about these two networks is expected in particular for E-Commerce. COSO and COBIT are similar frameworks, COSO’s method is far more broad-primarily based, less complexes, without the need of so considerably technological issues and COBIT is far more detailed, approach-orientated, danger, regulate desires, and it relates more to technical challenges. COBIT covers top quality and security necessities these as effectiveness, efficiency, integrity, availability, compliance, confidentiality and reliability of data. These are the foundations for the manage aims of COBIT.
As identified by the COSO agenda, the method of inner handle contains of 5 parts. These make up for a extremely competent framework for investigating and evaluating the procedure of inner manage that is set to use in a business. These elements are mentioned beneath:
– “Manage Ecosystem, this discounts with environment the character of a organization and influencing the manage recognition of its team and it includes the honor, moral values, running techniques of the management, process for assigning authority and the important strategies for arranging and producing the workers in a company association.
– Chance assessment, which consists of the detection and evaluation of the risks that are most probably to pose a risk to attaining desired objectives.
– Handle Pursuits, these are the procedures and regulations which aid in guaranteeing that the orders of the administration are satisfactorily carried out.
– Facts and conversation which are responsible for all information associated to the operation and funds and so forth of a enterprise that allows in its sleek functioning
– Checking of internal controls which factors out any shortage in its high quality earning positive it is remedied so the system can be improved “(Bushman, 2007).
The domains of COBIT are:
– Arranging and arranging
– Acquisition and implementation
– Mange IT financial commitment
– Delivery and assist
– Checking and analysis.
COBIT focuses on IT parts, which are system oriented. Also, the COBIT includes the process of improvement, operation, shipping and delivery, and implementation. COBIT can help strengthens assessment, knowledge and work out of acceptable internal controls. COBIT also, supplies a fantastic framework for hazard administration and enhances conversation amid administration, buyers and auditors regarding IT governance. Accordingly, COSO focuses on checking and evaluation, which is also 1 of the COBIT’s domains. Consequently, COSO and COBIT build with each other a strong evaluation of IT based programs and processes.
For case in point, the company is implementing a new process. Consequently, the organization can acquire an gain of COBIT and COSO. In this scenario, COBIT will be quite beneficial to span the technique on technological innovation centered processes. CABIT would also enable in configuration of two distinct programs (new with an current accounting technique). COSO would enable to appraise the fiscal element and chance. Also, the COSO also will critique all accounting relevant aspects and the COBIT will enable in technological integration and it also will help with delivery and help of the implementation.
The blend of COSO and COBIT will be really helpful for AFM Company. All evaluation and documentation of procedures could be scoped by the COSO framework and all technological challenges could be reviewed in aspects by the COBIT framework. COBIT would also help with the complexity of software package procedure. On the other hand, the COSO will assist handle functions and the COBIT will support in in-depth monitoring and analyzing.
