Though the components of the Framework remained the same, COSO made significant changes in the applications of the components. The 1992 framework was based on a "factors" approach with supporting "points of focus." COSO 2013 adopts a "principles" based approach, supported by points of focus for each principle.
The revised framewok is made up of 17 principles as follows:
Each component is explored in detail on this site with its related summary, defintions, principles and points of focus.
COSO 2013 contains an expanded section on objectives setting with greater detail on each category of objectives. The reporting relationship of objectives has been expanded to include:
Internal vs. External Reporting Objectives
Financial vs. Non-Financial Reporting Objectives
The combination of the relationships is explored in a matrix approach and delineates the approach to objects in the following combination:
The expanded approach sets the foundation for a more specific and effective risk assessment process.