Tag Archives: practical advice

Practical ideas: BUILD YOUR OWN NETWORK OF RISK ADVISORS

Practical ideas: BUILD YOUR OWN NETWORK OF RISK ADVISORS

We always encourage risk managers not to reinvent the wheel. Learn from others. Build connections with risk managers from similar companies. A good place to meet similar minded risk managers is the G31000 group on LinkedIn https://www.linkedin.com/groups/1834592. Do not be afraid to share your own experiences or participate in online and face-to-face discussions or initiatives […]

Practical ideas: TAKE OWNERSHIP OVER SOME RISK ASSESSMENTS

Practical ideas: TAKE OWNERSHIP OVER SOME RISK ASSESSMENTS

At the risk of sounding controversial, we believe risk managers sometimes need to take responsibility for providing an independent risk analysis not based on the information supplied by the management. Although rare, there may be situations where manager approving the project or making a decision has significant conflicts of interest or there may be suspicion […]

Practical ideas: PROMOTE RISK MANAGEMENT AS A SERVICE

Practical ideas: PROMOTE RISK MANAGEMENT AS A SERVICE

Risk managers have a unique competency to identify and analyse risks using advanced tools like scenario analysis, sensitivity analysis, decision trees and Monte-Carlo simulations. This toolset can significantly improve business decision making. And just like any other service or tool it needs to be marketed to the rest of the organisation. Risk management needs to […]

Practical ideas: Include risk information into existing internal communication channels

Practical ideas: Include risk information into existing internal communication channels

Forget the old-fashioned risk information flows from business units to risk managers who develop risk reports and present them to executives, the audit committee or the Board. There is a better way. Based on the research and interviews we conducted, the internal risk communication should be two-way: Business units should be reporting on their own […]

Practical ideas: Include risk information in the company’s external communication

Practical ideas: Include risk information in the company’s external communication

Risk disclosure is very important. Increasingly, stakeholders are expecting companies to test and disclose the effectiveness of not only financial risk management but also other business risks, including market, operational, safety, legal etc. When disclosing information about risks to external stakeholders, it is recommended to include at least:

Practical ideas: INTEGRATION INTO DECISION-MAKING PROCESSES

Practical ideas: INTEGRATION INTO DECISION-MAKING PROCESSES

Risk management should not be viewed as a separate, stand-alone process. One of the most effective and yet simple ways to change management’s perception about risk management is to integrate risk analysis into the various decision-making processes. Performing risk assessments for all significant business decisions can dramatically raise decision quality and provide management with valuable […]