In which situation would a detective control be warranted

Internal controls are the procedures put in place to help achieve the objectives of the university relating to financial, strategic, and academic initiatives. Good controls encourage efficiency, compliance with laws, regulations and university policies, and seek to eliminate fraud and abuse. Most internal controls can be classified as preventive or detective. Preventive controls are designed to avoid errors or irregularities from occurring initially.

Internal controls help organizations generate reliable financial reports, safeguard assets, evaluate the effectiveness and efficiency of operations, and comply with laws and regulations. Given this wide-ranging impact, companies should reevaluate their system of internal controls on a regular basis to ensure they are operating properly and meeting their intended objectives. Each organization has a unique risk profile for which internal controls are meant to help mitigate, but following is an overview of the types of internal controls that you may want to consider as you evaluate your existing system of internal controls. It may be helpful to think of these types of controls another way. Preventative controls represent the proactive plan against an opponent, whereas detective controls are reactive in nature if the plan goes awry. A team with a killer offense may be able to rely less on their defense, but there are practical matters that prevent an organization from only having preventative controls. Preventative controls could be too expensive or impractical to implement.

In which situation would a detective control be warranted

The effectiveness of specific policies and procedures is affected by many factors, such as management philosophy and operating style, the function of the board of directors or equivalent and its committees, organizational structure, methods of assigning authority and responsibility, management control methods, system development methodology, personnel policies and practices, management reaction to external influences, and internal audit. These and other aspects of internal control affect all parts of the Member firm. In addition to compliance with required policies and procedures set out in these Policy Statements, a Member must consider the following, to the extent that they suggest a higher standard than would otherwise be required:. Where the inherent risk is high e. On the other hand, where the inherent risk is very low e. Further, in a circumstance where a preventive control is warranted, a detective control should not be considered to be a suitable alternative unless it will result in prompt detection of fraud and error and provide near certainty of recovery of the property that is the subject of the fraud or error. Determining whether internal control is adequate is a matter of judgement. However, internal control is not adequate if it does not reduce to a relatively low level the risk of failing to meet control objectives stated in this series of Policy Statements and, as a consequence, one or more of the following conditions has occurred or could reasonably be expected to occur:. Other Policy Statements in this series set out control objectives, required and recommended firm policies and procedures and indications that internal control is not adequate. While recommended firm policies and procedures will be appropriate in many cases to meet the stated objectives, they constitute merely one of a number of methods which a Member may utilize. It is recognized that Members may conduct their business in compliance with legal and regulatory requirements although they may employ procedures which differ from the recommended firm policies and procedures contained in these Policy Statements.

Discuss whether the procedure you suggest is preventivedetective or corrective ; also identify the type of risk it is designed to control based on risk categories. Internal Control Discuss and identify all of the controls recommended and existingidentifying each control as preventivedetectiveor corrective 1.

An employee's laptop was stolen at the airport. The laptop contained personally identifying information about the company's customers that could potentially be used to commit identity theft. A salesperson successfully logged into the payroll system by guessing the payroll supervisor's password. A criminal remotely accessed a sensitive database using the authentication credentials user ID and strong password of an IT manager. At the time the attack occurred, the IT manager was logged into the system at his workstation at company headquarters. An employee received an email purporting to be from her boss informing her of an important new attendance policy.

Internal controls help organizations generate reliable financial reports, safeguard assets, evaluate the effectiveness and efficiency of operations, and comply with laws and regulations. Given this wide-ranging impact, companies should reevaluate their system of internal controls on a regular basis to ensure they are operating properly and meeting their intended objectives. Each organization has a unique risk profile for which internal controls are meant to help mitigate, but following is an overview of the types of internal controls that you may want to consider as you evaluate your existing system of internal controls. It may be helpful to think of these types of controls another way. Preventative controls represent the proactive plan against an opponent, whereas detective controls are reactive in nature if the plan goes awry. A team with a killer offense may be able to rely less on their defense, but there are practical matters that prevent an organization from only having preventative controls. Preventative controls could be too expensive or impractical to implement. An organization with a small accounting department may conclude that it is not feasible to have complete segregation of duties.

In which situation would a detective control be warranted

For as long as I can remember, security professionals have spent the majority of their time focusing on preventative controls. Things like patching processes, configuration management, and vulnerability testing all fall into this category. The attention is sensible, of course; what better way to mitigate risk than to prevent successful attacks in the first place? With budget and effort being concentrated on the preventative, there is little left over for the detective. However, in recent years, we have seen a bit of a paradigm shift; as organizations have begun to accept that they cannot prevent every threat agent, they have also begun to realize the value of detective controls. Some may argue that most organizations have had detective controls implemented for years and, technically speaking, this is probably true. Detective controls should be designed and implemented to identify malicious activity on both the network and endpoints. Just like preventative controls, detective controls should be layered to the extent possible. A good way to design detective controls is to look at the steps in a typical attack and then implement controls in such a way that the key steps are identified and trigger alerts.

Bcs chatswood reviews

Good controls encourage efficiency, compliance with laws, regulations and university policies, and seek to eliminate fraud and abuse. Preventive controls stand in contrast to detective controls, as they are controls enacted to prevent any errors from occurring. Which technology should be implemented to authenticate and verify customer electronic transactions? Preapproval of actions. Examples of methods commonly used include:. What type of attack has an organization experienced when an employee installs an unauthorized device on the network to view network traffic? The presence of adequate internal controls is important to investors as an assurance that financial and other disclosures are accurate, and that they are not being defrauded by managers or employees. The effectiveness of specific policies and procedures is affected by many factors, such as management philosophy and operating style, the function of the board of directors or equivalent and its committees, organizational structure, methods of assigning authority and responsibility, management control methods, system development methodology, personnel policies and practices, management reaction to external influences, and internal audit. At least monthly, the information system produces a report e. Preventive controls are designed to avoid errors or irregularities from occurring initially. Which process should be implemented to meet the requirement? Although logging was enabled, the information security staff did not review the logs early enough to detect and stop an attack that resulted in the theft of information about a new strategic initiative. Practicar Exam Ceh v9 - Prueba2 Document 28 pages. Related Articles. Key Takeaways A detective control is a type of internal control that seeks to uncover problems in a company's processes once they have occurred.

Last Updated on December 11, by Admin. Learning with Cisco Netacad, there are many exams and lab activities to do.

Material breaches of insurance policies which could result in denial of coverage are not detected on a timely basis. Which statement best describes a motivation of hacktivists? Additionally, these reviews will assist in assessing the effectiveness and efficiency of business practices. Be specific in your examples and think in terms of the preventive , concurrent, and corrective controls that you use for different aspects of your life. One example of a detective control is a physical inventory count, which can be used to detect when actual inventories do not match those in accounting records. Please review our updated Terms of Service. Which combination of security principles forms the foundation of a security plan? Email Address. Carousel Previous. Document 21 pages.