This text will make it easier to to grasp some similarities and variations between two frameworks: COSO and COBIT. Some fundamental data about these two networks is required particularly for E-Commerce. COSO and COBIT are comparable frameworks, COSO’s strategy is extra broad-based, fewer complexes, with out a lot technical points and COBIT is extra complete, process-orientated, danger, management wants, and it relates extra to technical points. COBIT covers high quality and safety necessities equivalent to effectiveness, effectivity, integrity, availability, compliance, confidentiality and reliability of data. These are the foundations for the management goals of COBIT.
As acknowledged by the COSO agenda, the method of inner management contains of 5 parts. These make up for a extremely competent framework for investigating and evaluating the system of inner management that’s put to make use of in a enterprise. These parts are said beneath:
– “Management Setting, this offers with setting the character of a enterprise and influencing the management consciousness of its workers and it contains the consideration, ethical values, working strategies of the administration, system for assigning authority and the required procedures for organizing and growing the workers in a enterprise affiliation.
– Danger evaluation, which incorporates the detection and examination of the dangers which can be probably to pose a risk to attaining desired goals.
– Management Actions, these are the principles and rules which help in guaranteeing that the orders of the administration are satisfactorily carried out.
– Data and communication that are accountable for all information associated to the operation and funds and so on of a enterprise that helps in its clean working
– Monitoring of inner controls which factors out any scarcity in its high quality ensuring it’s remedied so the system will be improved “(Bushman, 2007).
The domains of COBIT are:
– Planning and organizing
– Acquisition and implementation
– Mange IT funding
– Supply and assist
– Monitoring and analysis.
COBIT focuses on IT parts, that are course of oriented. Furthermore, the COBIT accommodates the system of improvement, operation, supply, and implementation. COBIT helps strengthens evaluation, understanding and train of acceptable inner controls. COBIT additionally, offers an excellent framework for danger administration and improves communication amongst administration, customers and auditors concerning IT governance. Accordingly, COSO focuses on monitoring and analysis, which can be one of many COBIT’s domains. Subsequently, COSO and COBIT construct collectively a powerful evaluation of IT based mostly techniques and processes.
For instance, the corporate is implementing a brand new system. Subsequently, the enterprise can take a bonus of COBIT and COSO. On this case, COBIT shall be very useful to span the system on know-how based mostly processes. CABIT would additionally assist in configuration of two completely different techniques (new with an current accounting system). COSO would assist to judge the monetary half and danger. Furthermore, the COSO additionally will assessment all accounting associated elements and the COBIT will assist in technological integration and it additionally will assist with supply and assist of the implementation.
The mix of COSO and COBIT shall be very useful for AFM Company. All evaluation and documentation of processes could possibly be scoped by the COSO framework and all technological points could possibly be reviewed in particulars by the COBIT framework. COBIT would additionally assist with the complexity of software program system. Then again, the COSO will assist management actions and the COBIT will assist in detailed monitoring and evaluating.