The importance of Control Environment, or 鈥淭one at the Top,鈥� on an organization鈥檚 risk management and control processes cannot be overstated. What elements contribute to an effective Control Environment?
The (COSO) of the Treadway Commission, a joint initiative of five professional finance, accounting and auditing organizations, identifies the following elements that influence the control consciousness of its people:
- Organizational structure
- Competence of personnel
- Integrity and ethical values
- Management鈥檚 operating style
- Assignment of authority and responsibility
- Processes for managing and developing its people
The importance of Control Environment is underscored by the Higher Learning Commission's placement of Integrity: Ethical and Responsible Conduct as Criterion Two.
Criteria for Accreditation
When the Higher Learning Commission completed its most recent evaluation of WSU in 2016, it used five criteria for accreditation:
- Mission
- Integrity: Ethical and Responsible Conduct
- Teaching and Learning: Quality, Resources and Support
- Teaching and Learning: Evaluation and Improvement
- Resources, Planning and Institutional Effectiveness
The importance of Control Environment is underscored by the Higher Learning Commission鈥檚 placement of Integrity: Ethical and Responsible Conduct as Criterion Two, second only to the mission of the university.