For the purposes of this Auditing Standard, the following terms have the meanings attributed below:

Those charged with governance – The person(s) or organisation(s) (e.g., a corporate trustee) with responsibility for overseeing the strategic direction of the entity and obligations related to the accountability of the entity.  This includes overseeing the financial reporting process.  For some entities in some jurisdictions, those charged with governance may include management personnel, for example, executive members of a governance board of a private or public sector entity, or an owner‑manager.  For discussion of the diversity of governance structures, see paragraphs A1–A8 of this Auditing Standard.

Management – The person(s) with executive responsibility for the conduct of the entity’s operations.  For some entities in some jurisdictions, management includes some or all of those charged with governance, for example, executive members of a governance board, or an owner‑manager.