Issue Management provides governance and accountability for remediating identified problems, whether discovered through audits, control testing, incidents, or regulatory examinations. Effective issue management includes consistent classification (severity, risk rating, root cause), assigned ownership, defined remediation plans with milestones, escalation protocols for overdue items, and validation of closure. Organizations typically categorize issues by severity, with Material Weaknesses requiring board notification and executive attention. A financial institution might track hundreds of issues simultaneously, using issue management systems to prevent aging, ensure senior management visibility, and demonstrate supervisory responsiveness by showing timely closure rates and declining open-issue trends across examination cycles.