Treasury Controls Need Three Lines
Explain how the Three Lines Model applies to treasury controls.
Treasury control failures often start as role-design failures. First Line Runs The Control The operating team owns the activity and the embedded control. In treasury, this includes preparing payments, updating forecasts, executing approved deals, and reconciling bank activity. Second Line Challenges The Pattern Risk, compliance, controllership, or policy owners monitor exceptions, define standards, and challenge whether the control still fits the risk. They do not replace the operating owner. Third Line Gives Independent Assurance Internal audit or an equivalent assurance function tests whether governance and risk management are adequate. This independence matters because treasury activity is both material and time-sensitive.
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