Risk Consulting Services
Internal Control Framework / IFC / ICFR
Discern Risk assists companies in development of an internal control framework and/ or testing of internal controls defined. The framework and testing are done in alignment with the guidelines issued by the Institute of Chartered Accountants of India
Internal Control Framework
Developing flow charts for the processes and designing an internal control framework / risk and controls matrices to ensure achievement / inclusion of the following:
- Control Objective
- Risk
- Control Type (Manual / Automated, Preventive / Detective)
- Control attributes (assertions)
- Frequency of controls
- Significance of the control
- Specific mention of controls to address risk of fraud for each activity
Evaluating Controls
Evaluating controls for:
- Design - by performing a walkthrough of the controls and evaluating existence and adequacy of the control
- Operating Effectiveness - by performing test of controls, by developing a test plan, defining sample size and testing of controls for samples identified
Control Effectiveness Index
In addition to developing the internal control framework, a control effectiveness index/score can be designed. This index facilitates documentation and assessment of effectiveness of controls and provides a score for each activity / process / unit / organisation.