The Reflection of the evaluation of Internal Control System according to the ERM framework on Business Risks

Abstract

This research aims to analyze the impact of evaluating of the internal control system on business risks at a ready-made clothing factory in governorate of holy Najaf. The research adopts a descriptive - analytical approach to measure the system’s effectiveness in detecting and mitigating business risks (strategic, operational, financial, and compliance-related). Field research tools , such as questionnaires and interviews , were used to collect data from the factory’s employees , one of the findings that the updated ERM 2017 framework features a proactive mechanism designed to achieve the economic unit’s strategic objectives by focusing on preventing risks before they occur and establishing effective mitigation measures , the researchers recommend that internal and external regulatory bodies adopt risk management concepts and implement the updated ERM 2017 in the ready-made clothing factory to address risks and crises , these concepts have proven effective in overcoming risks and challenges faced by many global companies .