Key frameworks in treasury management include the International Financial Reporting Standards (IFRS) and the Generally Accepted Accounting Principles (GAAP). These frameworks dictate how financial transactions should be recorded and reported, ensuring transparency and consistency across organizations. Additionally, the Committee of Sponsoring Organizations of the Treadway Commission (COSO) framework provides guidelines for enterprise risk management, crucial in treasury operations. These frameworks ensure that treasury functions align with global financial reporting standards and risk management practices, helping organizations manage their financial resources efficiently and ethically.
Key Takeaway: Treasury management frameworks ensure transparency and consistency in financial reporting and risk management.