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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Like application controls, general controls may be either manual or programmed. Audit data retained today may not be retrievable not because of data degradation, but because of obsolete equipment and storage media.

It also recommends best practices and methods of evaluation of an enterprise’s IT controls. They can support complex calculations and provide significant flexibility. 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 Passage of SOX resulted in an increased focus on IT controls, as these support financial processing and therefore fall into the scope of management’s assessment of internal control under Section of SOX.

However, with flexibility and power comes the risk of errors, an increased potential for fraud, and misuse for critical spreadsheets not following the software development lifecycle e.

Information technology controls

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


They are a contro,s of an enterprise’s internal control. From Wikipedia, the free encyclopedia. IT controls are often described in two categories: 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.

Information technology controls – Wikipedia

In addition, organizations should be prepared to defend the quality of their records management program RM ; comprehensiveness of RM i. Responsibility for control over spreadsheets is a shared responsibility with the business users and IT. The basic structure indicates that IT processes satisfy business requirements, which is enabled by specific IT control activities. IT departments in organizations are often led by a Chief Information Officer CIOwho is responsible for ensuring effective information technology controls are utilized.

Public companies must disclose changes in their financial condition or operations in real time to protect investors from delayed reporting of material events.

July Learn how and when to remove this template message. In business and accountinginformation technology controls or IT controls are specific activities performed by persons or systems designed to ensure that business objectives are met. Retrieved from ” https: For instance, IT application controls that ensure completeness of transactions can be directly related to financial assertions.

This focus on risk enables management to significantly reduce the scope of IT general control testing in relative to prior years. Section requires public companies to disclose information about cintrols changes in their financial condition or operations on a rapid basis.

Auditing Information technology audit.

Retrieved from ” https: GTAGs are written in straightforward business language to address a timely issue related to information technology IT management, control, and security. 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.


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. Controls, other than application controls, which relate to the environment within which computer-based application systems are developed, maintained and operated, and which are therefore applicable to all applications.

To comply with Sarbanes-Oxley, organizations must understand how the financial reporting process works and must be able to identify the areas where technology plays a critical part.

IT general controls ITGC are controls that apply to all systems, components, processes, and data for a given organization or information technology IT environment.

ITGC include controls over the Information Technology IT environment, computer operations, access to programs and data, program development and program changes. Ityc business personnel are responsible for the remainder.

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. Operational processes are documented and practiced demonstrating the origins of data within the balance sheet. The five-year record retention requirement means that current technology must be able to support contros was stored five years ago.