What is one of the outcomes that effective internal control procedures should achieve?

Effective internal control procedures are designed to enhance an organization's reliability, accuracy, and compliance with laws and regulations. One of the primary outcomes of these procedures is the reduction of the risk of fraud and errors. By establishing robust internal controls, organizations can create a framework that deters fraudulent activities, ensures the integrity of financial reporting, and minimizes the likelihood of mistakes in operations.

These controls typically consist of a combination of processes and policies such as segregation of duties, strong access controls, regular audits, and comprehensive training for employees. When these elements are implemented effectively, they not only safeguard assets but also foster an environment of accountability and transparency, which is crucial in detecting and preventing fraudulent behavior.

The focus on reducing fraud and errors aligns perfectly with the objectives of an internal control system, helping organizations to achieve their strategic goals while maintaining stakeholder trust.