ASCA (Jordan) Issued Enterprise Risk Management ‘Integrating Strategy and Performance’
Issued by COSO
AMMAN – The Arab Society for Certified Accountants (ASCA) – Jordan issued the translated Arabic accredited version of the Enterprise Risk Management Handbook, Enterprise Risk Management, Integrating Strategy and Performance, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
The handbook was issued for the first time due to the development of enterprise risk management and the organizations’ need to improve their methods, in relation to enterprise risk management, to fulfil the needs of the evolving work environment. This publication is a concise framework for the application of enterprise risk management in organizations to enhance confidence of management and stakeholders.
The publication focuses on the importance of taking risks into consideration, both in setting strategies and directing performance. The first part addresses the current and evolving concepts of enterprise risk management and its applications. The second part was organized into five easily to understand components which align different views and operational structures, this part enhances the process of setting strategies and decision making.
The publication was updated to include the following:
• Greater insight into the value of enterprise risk management when setting and carrying out strategy.
• Enhanced alignment between performance and enterprise risk management to improve the setting of performance targets and understanding the impact of risk on performance.
• Accommodation of expectations for governance and oversight.
• Recognition of the globalization of markets and operations and the need to apply a common, albeit tailored, approach across geographies.
• Presentation of new ways to view risk with the aim of setting and achieving objectives in the context of greater business complexity
• Expanding the reporting process to address expectations for greater stakeholder transparency.
• Accommodation of evolving technologies and the proliferation of data and analytics in supporting decision-making
• Setting out core definitions, components, and principles for all levels of management involved in designing, implementing, and conducting enterprise risk management practices.
COSO is a private sector initiative, jointly sponsored and funded by:
• American Accounting Association
• American Institute of Certified Public Accountants
• Financial Executives International
• Institute of Management Accountants
• The Institute of Internal Auditors