BlackLine Blog

November 14, 2014

How to Comply With COSO's New Integrated Framework

Modern Accounting
1 Minute Read

Jim Buchanan

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Technology and globalization have accelerated at a rapid pace since the release of the original COSO Framework in 1992. To compensate for these rapid advancements, COSO has released an updated 2013 version of their integrated framework.

The newly released COSO Framework provides a fresh look at internal controls for management teams, auditors, process & controls specialists, compliance teams including those with responsibilities related to internal controls over financial reporting.

Avoiding Potential Pitfalls

The existence of sound internal control guidelines like the revised COSO Framework serves as a blueprint for helping organizations ensure effective controls and risk management. However, it is often the application of such guidelines that fails, or can at least be further improved, in many organizations.

To alleviate some of these potential pitfalls, here are a few things that your organization should perform to successfully comply with the new 2013 Integrated COSO Framework:

  • Identify the internal control activities currently in place.

  • Map these internal control activities to the COSO framework principles and points of focus.

  • Verify the integrity of these controls, collecting relevant design, testing, and performance information. Where information is missing or incomplete, work with the control owners to complete your records and certify each control.

  • For each COSO principle or point of focus, determine if the existing control activities are sufficient to satisfy that principle or point of focus. Where there are gaps, design, implement, and test new control activities.

  • Produce Component and Principle evaluations

Once your controls are aligned with the COSO Framework, you should review them with your auditors to verify that they are comfortable with your approach. You should also conduct periodic reviews to ensure that your controls are still relevant and effective. All of the steps above can be automated with BlackLine Task Management.

Additional COSO Resources

At BlackLine, we want to help your company keep pace with the ever-evolving SOX compliance environment through powerful automation tools and workflow management solutions.

Here are a few resources to help with your transition to the 2013 COSO Integrated Framework, along with our current product offerings:

About the Author


Jim Buchanan