Question
Read the following case. Apply your knowledge of the five components of the 2013 COSO IC framework as well as risk, internal controls, and any
Read the following case. Apply your knowledge of the five components of the 2013 COSO IC framework as well as risk, internal controls, and any other Chapter 6 [Parts 1 & 2] topics to speculate in detail what various employees of Volkswagen could have done to prevent this internal control disaster from happening.
In an effort to circumvent various state and national clean air standards, automobile manufacturer Volkswagen installed software on a variety of automobiles equipped with diesel engines that was designed to detect when the vehicle was undergoing an emissions drive cycle test. When the software detected a set of parameters consistent with emissions testing, it would switch into a low-emissions operating mode. In total, more than 11 million Audi, Porsche, and Volkswagen diesel vehicles worldwide were equipped with the "cheater" software. When discovered by the U.S. Environmental Protection Agency and the California Air Resources Board in 2014, Volkswagen admitted to the wrongdoing. To date, Volkswagen has agreed to spend up to $22 billion in the United States to settle claims from consumers, regulators, and dealers. In January 2017, six Volkswagen executes were arrested for their part in the scandal.
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