Outsourced cost to perform the process "establish internal controls, policies, and procedures" per $1,000 revenue

This measure calculates outsourced cost per $1,000 revenue to perform the "establish internal controls, policies, and procedures" process, which entails forming the rules and regulations to ensure achievement in the areas of laws, regulations, and policies compliance; operations effectiveness; and financial reporting reliability. Outsourced cost refers to the total cost of outsourcing a specific process to a third party, except one-time charges for any type of restructuring or reorganization. This measure is part of a set of Cost Effectiveness measures that help companies understand all cost expenditures related to the "establish internal controls, policies, and procedures" process.

Benchmark Data


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Measure Category:
Cost Effectiveness
Measure ID:
Total Sample Size:
33 All Companies
Key Performance

Compute this Measure

Units for this measure are dollars.

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Outsourced cost to perform the process "establish internal controls, policies, and procedures" / (Total business entity revenue *.0010)

Key Terms

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Total Annual Revenue/Net Revenue

Total annual revenue is net proceeds generated from the sale of products or services. This should reflect the selling price less any allowances such as quantity, discounts, rebates and returns. If your business entity is a support unit and therefore does not directly generate revenue, then provide the revenue amount for the units you support. For government/non-profit organizations, please use your non-pass-through budget. For insurance companies the total annual revenue is the total amount of direct written premiums, excluding net investment income. Note: Business entity revenue needs to only include inter-company business segment revenue when the transactions between those business segments are intended to reflect an arm's length transfer price and would therefore meet the regulatory requirements for external revenue reporting.

Cost Effectiveness

Cost effectiveness measures are those in which two related variables, one of which is the cost and one of which is the related outcome related to the expenditure are used to determine a particular metric value.

Measure Scope

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Cross Industry (7.3.0)

  • - Establish board of directors and audit committee (10914) - Establishing board of directors and auditing committee in order to assign roles and responsibilities for internal controls.
  • - Define and communicate code of ethics (10915) - Outlining and communicating a code of ethics act responsibly.
  • - Assign roles and responsibility for internal controls (10916) - Defining roles, responsibilities, and accountabilities for effectiveness and proficiency of operations and reliability of financial reporting.
  • - Define business process objectives and risks (11250) - Outlining the objectives and risks associated with a process. Delineate process goals. Determine the risks attached to it. Determine what the process is meant to accomplish, potential issues, a timeline of potential risks, the scope and potential impact of risks, etc.
  • - Define entity/unit risk tolerances (11251) - Outlining the risk tolerance levels of individual units, as well as the organization as a whole. Determine the specific maximum risk to take in quantitative terms for each relevant risk subcategory, including strategic, operational, financial, and compliance risks.