COS: COSO Enterprise Risk Management

Document Type

Code: COS
Name: COSO Enterprise Risk Management
Domain: Risk & Governance

Abstract

This specification defines a COSO-based risk governance document within the BSpec 1.0 Universal Business Specification Standard. It aligns enterprise risk management around governance, strategy, performance, review, and information systems.

Framework and Attribution

This template references COSO ERM terminology and structure for enterprise-wide risk governance alignment.

Purpose and Scope

Use this document when an organization needs a structured ERM framing across governance bodies, risk appetite, and control assurance.

Document Metadata Schema

---
id: COS-{erm-scope}
title: "COSO ERM Framework — {Organization or Business Unit}"
type: COS
status: Draft|Review|Accepted|Deprecated
attribution_required: true
source_frameworks:
  - "COSO - Enterprise Risk Management (ERM)"
version: 1.0.0
owner: Chief-Risk-Officer|Internal-Audit
stakeholders: [board, executives, risk-team, business-unit-leads]
domain: risk-governance
priority: Critical|High|Medium|Low
scope: erm-framework
horizon: strategic
visibility: internal

depends_on: [RSK-*,GOV-*,COM-*]
enables: [CTL-*,AUD-*,LEG-*]

erm_components: Governance|Strategy|Risk_Profile|Performance|Review|Information_Communication
risk_appetite_owner: Board|Risk-Committee|Executive-Committee

success_criteria:
  - "ERM structure is traceable from board intent to operational controls"
  - "Risk appetite and tolerance are consistently applied"
  - "Risk events and actions are monitored through a shared language"

assumptions:
  - "Risk governance has board and executive sponsorship"
  - "ERM metrics are measured consistently"
  - "Control owners are accountable for outcomes"

constraints: [Maturity limits, data integration, accountability gaps]
standards: [COSO ERM and internal governance requirements]
review_cycle: quarterly
---

Content Structure Template

COSO ERM Framework — {Organization or Unit}

Executive Summary

Scope: {Business unit or enterprise scope}
Governance Owner: {Board / Risk Committee / CEO}
Risk Appetite Status: {Defined / Draft / Needs Review}

ERM Governance

Governance & Oversight

• Board role
• Management role
• Committee cadence
• Escalation paths

Strategic Alignment

• Strategy risks
• Risk appetite and tolerance statements
• Objective linkage

Core ERM Components

For each component, document:

• Component: {Governance, Strategy, Risk Assessment, Control Activities, Information & Communication, Monitoring}
• Current State: {Current baseline}
• Gaps: {Known gaps and controls}
• Actions: {Mitigation or improvement steps}

Risk Profile Map

• Top Enterprise Risks
• Root Causes
• Control Coverage
• Residual Exposure

Integration Links

• RSK impact: source risk identification and prioritization.
• COM impact: compliance obligations and legal requirements.
• AUD impact: assurance and testing scope.
• CTL impact: control design and operating effectiveness.

Quality Standard

• ERM outputs are reviewed at governance cadence.
• Risks and responses are connected to owners and evidence.
• Framework language is consistent across units.

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Related Documents

• Back to Document Types
• Domain: Risk & Governance
• Full Specification