thinQmaster Virtual testing partner Adaptive practice exams that find your weak spots and drill them. Every answer explained. From $69
Enroll

thinQmaster

Find your exam

Five questions free, before you decide.

Step 1 · choose a vendor

In one of our camps? Your practice exams come with the tuition — they are on your study page already.

Governance, Risk, Audit & Privacy · Advanced

COSO ERM Framework

COSO's enterprise risk management framework integrating risk with strategy and performance.

Definition

COSO ERM 2017, Enterprise Risk Management: Integrating with Strategy and Performance, organizes ERM into five components (governance and culture; strategy and objective-setting; performance; review and revision; information, communication, and reporting) with 20 principles. It emphasizes considering risk in strategy setting. It complements the COSO Internal Control framework.

Example

The board uses COSO ERM to link risk appetite to its five-year strategic plan.

Exam tip

Distinguish COSO ERM (enterprise risk) from COSO Internal Control (controls, SOX).

Related terms