PwC Tapped by COSO, NACD to Develop Pioneering U.S. Corporate Governance Framework

The Committee of Sponsoring Organizations of the Treadway Commission (COSO) and the National Association of Corporate Directors (NACD) have awarded a major contract to PwC US to assist in developing a comprehensive Corporate Governance Framework - the first of its kind for the United States.

After a "thorough and competitive" request for proposal process, the auditing and consulting giant PwC was selected to lend its governance expertise to the landmark project, COSO and NACD announced recently. The new framework aims to provide authoritative, principles-based guidance on effective corporate governance practices tailored for U.S. companies and organizations. It will complement COSO's existing Internal Control and Enterprise Risk Management frameworks.

"The U.S. has the largest capital markets in the world, yet it lacks a recognized governance model," said Lucia Wind, COSO's Executive Director and Chair. "Effective governance is more critical today than ever, and we look forward to leveraging PwC's tremendous resources on this important initiative."

COSO, an independent body focused on guidance for internal controls, risk management and fraud deterrence, is collaborating with NACD, a leading membership group for corporate directors in developing the framework. The goal is for the COSO Corporate Governance Framework to become an benchmarkstandard adopted by public companies, startups, nonprofits and other entities across the United States.

"Good governance is a competitive advantage, but boards and management often struggle to effectively integrate it," said Peter Gleason, NACD's President and CEO. "This framework will help ensure governance cohesively guides behaviors from the boardroom to the front lines."

Maria Moats, Leader of PwC's Governance Insights Center, said the firm was "delighted" to contribute its experience, pointing to the need for effective governance amid today's "unprecedented" business complexity.

The Corporate Governance Framework project, is expected to be completed by fall 2025. It will follow COSO's principles-based approach used for its prominent internal control and ERM frameworks.

The move comes as corporate governance practicesface increasing scrutiny from investors, regulators and the public. The new framework could become an authoritative reference to help standardize governance across U.S. public and private entities.

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