E-Commerce – COSO and COBIT Are Comparable Frameworks
This text will provide help to to grasp some similarities and variations between two frameworks: COSO and COBIT. Some primary data about these two networks is required particularly for E-Commerce. COSO and COBIT are comparable frameworks, COSO’s method 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 corresponding to effectiveness, effectivity, integrity, availability, compliance, confidentiality and reliability of knowledge. These are the foundations for the management targets of COBIT.
As acknowledged by the COSO agenda, the method of inner management includes of 5 elements. 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 elements are acknowledged beneath:
– “Management Atmosphere, this offers with setting the character of a enterprise and influencing the management consciousness of its workers and it consists of the honour, ethical values, working strategies of the administration, system for assigning authority and the mandatory procedures for organizing and growing the workers in a enterprise affiliation.
– Threat evaluation, which incorporates the detection and examination of the dangers which can be more than likely to pose a menace to attaining desired targets.
– 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 many others of a enterprise that helps in its easy operating
– Monitoring of inner controls which factors out any scarcity in its high quality ensuring it’s remedied so the system might be improved “(Bushman, 2007).
The domains of COBIT are:
– Planning and organizing
– Acquisition and implementation
– Mange IT funding
– Supply and help
– Monitoring and analysis.
COBIT focuses on IT elements, 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, supplies a great framework for danger administration and improves communication amongst administration, customers and auditors concerning IT governance. Accordingly, COSO focuses on monitoring and analysis, which can also be one of many COBIT’s domains. Subsequently, COSO and COBIT construct collectively a robust evaluation of IT primarily based 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 will probably be very useful to span the system on expertise primarily based processes. CABIT would additionally assist in configuration of two totally different techniques (new with an present accounting system). COSO would assist to judge the monetary half and danger. Furthermore, the COSO additionally will evaluate all accounting associated points and the COBIT will assist in technological integration and it additionally will assist with supply and help of the implementation.
The mixture of COSO and COBIT will probably be very helpful for AFM Company. All evaluation and documentation of processes might be scoped by the COSO framework and all technological points might be reviewed in particulars by the COBIT framework. COBIT would additionally assist with the complexity of software program system. Alternatively, the COSO will help management actions and the COBIT will assist in detailed monitoring and evaluating.