Risk Management Insights

I want to join the BLOG

08/11/2018 / Decision Making

Is risk management front and centre in your decision making?

In this video, David Tattam breaks down the questions you should be asking to better integrate risk management in your organisation's decision making.

Read More

15/08/2018 / Risk Management, Risk Appetite, Compliance Management, Decision Making

Can I? Should I? Would I? Using compliance as a decision making tool

Compliance is the act of “conforming to rules”. Deciding to, or not to, conform to rules affects the decisions we make. Compliance is therefore an integral part of decision making.

The question is “What are the rules that we will apply in our business decisions?” These rules can come from two primary sources as described by the ISO 19600 Standard: “Compliance Management Systems”. This standard recognises two main types of compliance obligations:

• Compliance Requirements: Requirements that an organisation has to comply with. These normally arise from external regulatory requirements and contractual requirements.

• Compliance Commitments: Requirements that an organisation chooses to comply with. These are normally manifested through internal policies, practices, codes of conduct, etc. 

Read More

18/04/2018 / Risk Culture, Risk Management, Risk and Reward, Decision Making

Risk Management to Management? Is “Decision Support” the future?

Three key treasures of good risk management

The future of “Risk Management” would look brighter if we removed the word “Risk”. It is just “Management”. If “Risk” is “the effect of uncertainty on objectives”, Risk Management must be “managing the effect of uncertainty on objectives”. This is “Outcome Management”.  

Business Management involves making decisions aimed at achieving business objectives. Outcome management is therefore just management.

The future success of risk management relies on making it an integral part of management. This will only happen if risk management provides the right incentives. Humans and hence organisations run by humans, respond to incentives. Read related article: '10 keys to Risk Management Success'.

Psychologists have discovered that when a person is handed an unexpectedly hot cup of coffee, they typically drop the cup if they perceive it to be inexpensive but manage to hang on if they believe the cup is valuable.

Read More