The third of five interrelated components of internal control. Represent the policies and procedures that help ensure management directives are carried out.

The policies and procedures which help ensure that management's directives are carried out, and that actions are taken to address risks to achievement of the entity's objectives. Control activities occur throughout the organization, at all levels and in all functions. They include approvals, authorizations, verifications, reconciliation, reviews of operation performance, security of assets, and segregation of duties. (JFMIP Framework) HUDCAPS Core Financial System Standard Accounting Interface, dated 9/30/97

Policies and procedures used by management to meet its objectives; generally divided into adequate segregation of duties, proper authorization of transactions and activities, adequate documents and records, physical control over assets and records, and independent checks on performance.