Definition
Internal Controls are organisational, procedural, and technical measures designed to ensure reliable, efficient, and compliant business operations.
Context
Internal Controls form the foundation of governance, risk management, and compliance frameworks. They are closely linked to segregation of duties, control activities, and monitoring mechanisms, and are used to prevent and detect fraud, errors, and regulatory violations.
Meaning
Effective internal controls significantly reduce risks related to fraud, errors, and compliance breaches and are critical for reliable business processes and reporting.
Example
Segregation of duties in payment approval processes.
Sources
Suggested citation
wirtschaftsforensik.ch Editorial Team: "Internal Controls", in: Glossary, wirtschaftsforensik.ch, https://wirtschaftsforensik.ch/glossar/internal-controls/, accessed April 18, 2026.