Controls (ITGCs) Information Technology (“IT”) environments continue to increase in complexity with ever greater reliance on the information. IT general controls (ITGC) are the basic controls that can be applied to IT systems Logical access controls over applications, data and supporting infrastructure. Effect of ITGC on Application. Controls. • Effective IT general controls: – Help make sure that application controls function effectively over time.

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IT-related issues include policy and standards on record retention, protection and destruction, online storage, audit trails, integration with an enterprise repository, market technology, SOX software and more.

These controls may also help ensure the privacy and security of data transmitted between applications. PC-based spreadsheets or databases are often used to provide critical data or calculations related to financial risk areas within the scope of a SOX assessment.

For instance, IT application controls that ensure completeness of transactions can be directly related to financial assertions. As external auditors rely to a certain extent on the work of internal audit, it would imply that internal audit records must also comply with Section The objectives of general controls are to ensure the proper development and implementation of applications, the integrity of program and data files and of computer operations.

IT application or program controls are fully automated i. They help ensure the reliability of data generated by IT systems and support the assertion that systems operate as intended and that output is reliable.

IT control objectives relate to the confidentiality, integrity, and availability of data and the overall management of the IT function of the business enterprise. IT departments in organizations are often led by a Chief Information Officer CIOwho is responsible for ensuring effective information technology controls are utilized.


While there are many IT systems operating within an organization, Sarbanes-Oxley compliance only focuses on those that are associated with a significant account or related business process and mitigate specific material financial risks.

Section requires public companies to disclose information about material changes in their financial condition or operations on a rapid basis. Audit data retained today may not be retrievable not because of data degradation, but because of obsolete equipment and storage media.

SOX part of United States federal law requires the chief executive and chief financial officers of public companies to attest to the accuracy of financial reports Section and require public companies to establish adequate internal controls over financial reporting Section Categories of IT application controls may include:.

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Information technology controls

Application controls are generally aligned with a business process that gives rise to financial reports. Financial spreadsheets are often categorized as end-user computing EUC tools that have historically been absent traditional IT controls.

SOX Section Sarbanes-Oxley Act Section mandates that all publicly traded companies must establish internal controls and procedures for financial reporting and conntrols document, test and maintain those controls and procedures to ensure their effectiveness.

In addition, organizations should be prepared to defend the quality of their controos management program RM ; comprehensiveness of RM i. To remediate and control spreadsheets, public organizations may implement controls such as:. Views Read Edit View history. Fines and imprisonment for those who knowingly and willfully violate this section with respect to 1 destruction, alteration, or falsification of records in federal investigations and bankruptcy and 2 destruction of corporate audit records.


Information technology controls – Wikipedia

Section of Sarbanes-Oxley requires public companies and their public accounting firms to maintain all audit or review work papers for a period of five years from the end of the fiscal period in which the audit or review was concluded. In addition, Statements on Auditing Standards No.

The objectives of ITGCs are to ensure the proper development and implementation of applications, as well as the integrity of programs, data files, and computer operations. This article relies too much on references to primary sources. The five components of COSO can be visualized as the horizontal layers of a three-dimensional cube, with the COBIT objective domains-applying to each individually and in aggregate.

Privacy Information technology governance.

From Wikipedia, the free encyclopedia. It also recommends best practices and methods of evaluation of an enterprise’s IT controls.

This scoping decision is part of the entity’s SOX top-down risk assessment. July Learn how and when to remove this template message. Financial accounting and enterprise resource planning systems are integrated in the initiating, authorizing, processing, and reporting of financial data and may be involved in Sarbanes-Oxley compliance, to the extent they mitigate specific financial risks.

This includes electronic records which are created, sent, or received in connection with an audit or review. This page was last edited on 7 Marchat Articles lacking reliable references from July All articles lacking reliable references.

Operational processes are documented and practiced demonstrating the origins of data within the balance sheet.