A Risk and Control Matrix (RACM) provides a visual framework linking organizational processes, objectives, risks that threaten those objectives, existing controls that mitigate risks, control owners, and testing procedures. It serves as the foundation for operational risk management, internal audit planning, and Sarbanes-Oxley compliance programs. Each row typically represents a risk, with columns indicating the affected process, risk rating, preventive and detective controls, control frequency, responsible parties, and evidence of control operation. Financial services firms use RACMs to demonstrate regulatory compliance by showing comprehensive control coverage across material processes like transaction processing, reconciliation, and financial reporting.