Why did COSO develop the Enterprise Risk Management framework?
A) to improve the audit process
B) to improve the risk management process
C) to improve the financial reporting process
D) to improve the manufacturing process

Question

Quizplus · Accepted Answer

COSO (the Committee of Sponsoring Organizations of the Treadway Commission) developed the Enterprise Risk Management framework to provide organizations with a better way to manage risks of varying types, including strategic, operational, financial, and compliance risks. The framework helps organizations identify, assess, and manage risks in a systematic and integrated manner, and provides a common language and structure for communicating about risk management throughout an organization. The goal of the framework is to improve the effectiveness of risk management and help organizations achieve their strategic objectives.

Why Did COSO Develop the Enterprise Risk Management Framework