https://www.osec.doc.gov/opog/privacy/Memorandums/OMB_Circular_A-123.pdf
OMB Circular A-123 is a guidance document issued by the Office of Management and Budget (OMB) in the United States, providing instructions to federal agencies on internal controls and management systems. To maintain compliance, you should focus on:
Identify and Assess risks via a Risk Assessment.
Prioritize risks based on their potential impact.
Establish and maintain an internal control framework.
Ensure controls are designed to mitigate identified risks.
Document and communicate internal control responsibilities to relevant personnel.
Regularly monitor and evaluate the effectiveness of internal controls.
Promptly address any identified deficiencies in internal controls.
Communicate internal control deficiencies and corrective actions to appropriate personnel.
Integrate internal controls with an organization’s financial management processes.
Ensure compliance with applicable laws and regulations.
Maintain documentation to support the design and implementation of internal controls.
Implement a monitoring process that includes ongoing and separate evaluations.
Develop and implement corrective action plans to mitigate risks.
Provide information to senior management and oversight bodies to enable effective decision-making.
Ensure that internal controls support the reliability of financial reporting.
Implement controls to address legal and regulatory requirements.
Conduct regular training and awareness programs for personnel involved in the internal control processes
Provide regular updates on changes in laws, regulations, and organizational processes
Conducting periodic reviews and audits can further validate the effectiveness of internal controls.
Conduct scenario analyses to understand the potential impact of different risk scenarios on the organization.
Evaluate the resilience of the organization to various adverse events.