Control Objectives For Information And Related Technology Accounting Essay

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Control Objectives for Information and Related Technology is an international open standard that defines requirements for the control and security of sensitive data and provides a reference framework. COBIT, which provides a reference framework, was introduced in the 1990s by the IT Governance Institute. COBIT consists of an executive summary, management guidelines, framework, control objectives, implementation toolset and audit guidelines. Extensive support is provided, including a list of critical success factors for measuring security program effectiveness and benchmark s for auditing purposes. COBIT has been revised several times since inception and upgrades are published at regular intervals.

Successful organizations understand the benefits of information technology (IT) and use this knowledge to drive their shareholders' value. They recognize the critical dependence of many business processes on IT, the need to comply with increasing regulatory compliance demands and the benefits of managing risk effectively.

The Control Objectives for Information and related Technology (COBIT) is a good framework strategy to help an organization maintain standards and develop a system of IT governance. COBIT is a common methodology used by many companies in order to develop a systematic means to meet compliance laws.



SWOT analysis (alternatively SWOT Matrix) is a structured planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. A SWOT analysis can be carried out for a product, place, industry or person. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective.

The SWOT analysis enables companies to identify the positive and negative influencing factors inside and outside of a company or organization. Besides businesses, other organizations, in areas such as community health and development and education have found much use in its guiding principles.

Boston Consulting Group Matrix (BCG)

The Boston Consulting Group (BCG) is a global management consulting firm with 78 offices in 43 countries. It is one of the largest private companies in the United States. The firm serves as an adviser to many businesses, governments, and institutions. The Boston Consulting Group (BCG) is a chart that had been created by Bruce Henderson for the Boston Consulting Group in 1970 to help corporations with analyzing their business units or product lines. This helps the company allocate resources and is used as an analytical tool in brand marketing, product management, strategic management, and portfolio analysis.

Porter’s 5 Forces

Porter five forces analysis is a framework for industry analysis and business strategy development. It draws upon industrial organization (IO) economics to derive five forces that determine the competitive intensity and therefore attractiveness of a market. Attractiveness in this context refers to the overall industry profitability. An "unattractive" industry is one in which the combination of these five forces acts to drive down overall profitability. A very unattractive industry would be one approaching "pure competition", in which available profits for all firms are driven to normal profit. Three of Porter's five forces refer to competition from external sources. The remainders are internal threats.

Net Present Value Analysis (NPV)

The net present value (NPV) of a time series of cash flows, both incoming and outgoing, is defined as the sum of the present values (PVs) of the individual cash flows of the same entity. In the case when all future cash flows are incoming (such as coupons and principal of a bond) and the only outflow of cash is the purchase price, the NPV is simply the PV of future cash flows minus the purchase price (which is its own PV). NPV is a central tool in discounted cash flow (DCF) analysis and is a standard method for using the time value of money to appraise long-term projects. Used for capital budgeting and widely used throughout economics, finance, and accounting, it measures the excess or shortfall of cash flows, in present value terms, once financing charges are met.

Return on investment

Return on investment (ROI) is the concept of an investment of some resource yielding a benefit to the investor. As a performance measure, it is used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. In purely economic terms, it is one way of considering profits in relation to capital invested. In business, the purpose of the "return on investment" metric is to measure, per period, rates of return on money invested in an economic entity in order to decide whether or not to undertake an investment.

ROI and related metrics provide a snapshot of profitability, adjusted for the size of the investment assets tied up in the enterprise. ROI is often compared to expected (or required) rates of return on money invested. Complications in calculating ROI can occur when a real estate property is refinanced, or a second mortgage is taken out. Interest on a second, or refinanced, loan may increase, and loan fees may be charged, both of which can reduce the ROI, when the new numbers are used in the ROI equation. There may also be an increase in maintenance costs and property taxes, and an increase in utility rates if the owner of a residential rental or commercial property pays these expenses.

Balanced Scorecard

The balanced scorecard is a strategic planning and management system that is used extensively in business and industry, government, and nonprofit organizations worldwide to align business activities to the vision and strategy of the organization, improve internal and external communications, and monitor organization performance against strategic goals. The balanced scorecard (BSC) is a strategy performance management tool - a semi-standard structured report, supported by design methods and automation tools that managers can use to keep track of the performance of activities by staff within their control and monitor the consequences arising from this action. It perhaps the best known of several such frameworks. Since his original incarnation in the early 1990s as a performance measurement tool, the BSC has developed into an effective strategy execution framework. BSC concept, outlined by Drs. Robert S. Kaplan and David P. Norton is now seen as a critical foundation in a holistic strategy execution process, except that organizations articulate strategy in action terms, provides a road map for implementing the strategy for the mobilizing and aligning managers and employees, and make strategy a continual process.

Weighted Scoring Model

The weighted scoring method, also known as "weighting and scoring, is a form of multi-attribute or multi-criteria analysis. This includes the identification of all the non-monetary factors (or" properties ") that is for the project, the weightings to reflect their relative importance to each of them, and the allocation of marks to each option to reflect on how they related to each feature. the result is a single weighted score for each option, which can be used to show and compare the overall performance of the options in non-monetary terms.


Kallman & Grillo’s Ethical Framework

Understand situation

Identify facts, identify stakeholders

Identify key ethical issue

What is the issue?

Analyze alternative ethical solutions

What are the consequences?

Make decision & implement action

Decide how to act and justify decision