ICS and risk management

The purpose of a comprehensively implemented internal control system is to reduce or prevent erroneous statements in the annual financial statement. Regular comparisons of potential and actual risks on a strategic and operative level mean that risk potentials can be detected and rectified earlier.

There are a great number of external controls being carried out in the business world today, mostly by state institutions. The ICS is especially helpful for rectifying the errors found early on. Familiarity with the company’s internal processes means that sources of error can be identified more quickly and surprises can be prevented.

An effective ICS is very complex. Implementation should be carried out by a manager entrusted to do so by management. When doing so it is important to develop a clearly structured and transparent system which communicates across companies and which clearly divides the required competences from the beginning. In addition, control systems must strike a balance between simplicity and effectiveness. Another important task is regularly testing and improving the control system.

The following alternatives are available depending on your needs:

  • You transfer the task of developing and implementing an ICS to us. We will develop a suitable control system in close conjunction with your managing directors and then, if requested, it can be monitored by us.
  • We will provide support and advice during the development of the control system. Then it is you who assumes implementation and responsibility.