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With the increased volatility in the modern business environment and continuing effects of the financial and economic crises, effective management of risk in organizations—including good internal control—has taken on even greater importance. Effective management of risk helps organizations achieve their objectives, while complying with legal, regulatory, and societal expectations, and enables them to better respond and adapt to surprises and disruptions. With these key issues in mind, the International Federation of Accountants (IFAC) has published a thought paper, From Bolt-on to Built-in, on managing risk as an integral part of managing an organization. The thought paper is applicable to all organizations—regardless of size or structure, public or private—seeking to improve how they manage risk.

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