Danny Wong, founder of Goat Risk Solutions explores how to structure the risk management framework to embed comprehensive risk management throughout an organisation
The central premise of any strategy should be “risk management is part of everyone’s job” and being clear about what that means is the risk framework.
That means you need to be able to clearly explain to employees, leaders, committee and board members what they need to do in order to carry out their roles, specifically when it comes to risk.
Sometimes, this might be something that’s outside of a formal job description, but sits in a policy document somewhere, which outlines specific risk responsibilities for different roles.
The risk framework needs to pull all of these strands into a clear strategy that is simple, easy-to-understand and lays out everyone’s individual roles and responsibilities.
As such, every risk management framework should include:
- Culture – we suggest taking a principles-based approach, these are the capabilities we ask the Board to support and seek to embed throughout the business
- Process – simple, clear roles, tools and templates
- Governance – Formal committees and their remits
The essential ERM toolkit for risk managers - training programme
Through direct engagement with hundreds of risk professionals and senior executives, we know that many businesses struggle to have meaningful and value-adding risk discussions particularly when engaging with senior executives and at Board level. The risk profession is still falling short in terms of culture, value and impact on decision-making.
This course has been designed to take you through a journey to discover why traditional risk frameworks and methods fall short and how to implement a practical and data-led approach to risk that engages with the c-suite and drives decision-making.
The course builds on risk management fundamentals and will guide you through how to implement a practical and data-led approach to risk that engages with the c-suite and drives decision-making.
The course includes four modules, including:
- Rethinking risk management frameworks: how to create a risk management framework that resonates with senior executives
- Build and lead effective risk workshops that target senior executives
- How to use data to build an impactful narrative in risk discussion
- How to use risk appetite to drive business value
WHEN: Wednesday 26 November, 9:00-17:00
WHERE: 52 Horseferry Rd, Westminster, London SW1P 2AF
Most risk registers
Employees need to understand that risk management is a central part of everyone’s role. For instance: If I see something, a near miss or potential problem, who should I contact? . if I own a specific risk, then what do I need to do?. Those are things that need to be communicated, learned and practised in the business.
There could be tens of thousands of people in an organisation and if everyone has a role and we’re the head of risk or part of the risk function, then we need to determine how best to communicate to all these people
One way we communicate with clients is to embed a set of Guiding Principles that we believe are essential to a successful risk management programme, these can be easily recalled with ETCHED
- Challenge the status quo
- Holistic thinking
- Embed risk management in decision making
- Data-led risk management
We’ll be going through these and other aspects of the risk management framework in greater detail during the course.