Day 1 – Key facets of Business Risk Management

• Why is risk such a hot topic?
• Surprises and risk
• The widening of the risk portfolio
• Developing a risk strategy for your organisation
• Selling the benefits to management
• Risk and competitive advantage
• Why business risk management is receiving such publicity
• The need to understand the organisation’s strategic objectives
• Developing a risk awareness programme to reflect these objectives
• Understanding risk appetite
• Categories of Risk
  • Strategic
  • Operational
  • Financial
  • Reputation
  • IT
  • Information
  • Technical
  • Economic
  • Political
  • People
  • Etc
• The Risk management framework.
• Measuring Risk
• Defining significance in relation to risk (in monetary and other terms)
• The Corporate Governance debate
• Explanation of the AS/NZS 4360 standard – the internationally recognised risk management standard + COSO + IRM standards
• Other potential legislation and regulation
• The issues involved.
• Establishing a business risk programme - the steps to success.
• Interactive Risk Workshop - An actual risk workshop – with your own risks

Establishing An Embedded Risk Management Process

• Why is risk such a hot topic?
• Surprises and risk
• Why financial risks are only the tip of the iceberg
• The widening of the risk portfolio
• The challenges- Basel, Governance, Non-Exec’s liabilities etc
• The need to link risk management with strategic planning
• New and emerging Risks- Reputation, Social, Environmental etc
• Getting your Chief Executives support
• Developing a risk strategy for your organisation
• Establishing the business case
• Selling the benefits to management
• Risk and competitive advantage

Day 2 Establishing An Effective Framework

• The Risk Continuum – from hazards to added value
• Crises – risk as a hazard
• Control gaps – risks without owners
• Avoiding personal liability – fear of failure
• Business objectives – critical risk focus
• Evaluating risk in Strategic development
• Enhancing decision making
• Improved service delivery and economy – value based risk optimisation
• The move from reactive to proactive risk management
• Reactive to tactical – moving from dealing with surprises to being prepared
• Tactical to strategic – moving from being prepared to anticipating risk
• The business process loop and positive risk management
  

  Learning

  Defining risk appetite
  Capitalizing on opportunities
  Management overview

  Planning

  Strategic profiling
  Balanced Scorecard
  Scenario planning
  Investment appraisal

  Delivery

  Project risk management
  Information risk mgt
  Appraisal procedure and risk

  Measuring

  Risk reporting
  Performance indicators

Establishing a risk workshop process

• Risk workshops – the do’s & don’ts
• Alternative approaches
• Facilitation skills and techniques
• How to make the process a positive one

Day 3 Measuring and Quantifying Risk

• Approaches and techniques
• How to establish a risk workshop process
• The benefits of facilitation and the characteristics required
• The use of diagnostic questions and thought-provokers
• The pros and cons of using data capture technology
• How to identify, sift and group the risks
• The use of risk matrices to prioritise the risks.
• Traffic light systems
• Risk Aggregation
• Monte Carlo simulation
• Baysian Networks
• Key risk Indicators
• Scenario Planning
• Pareto principle
• Fault trees

Assessment of Risk Mitigation

• Managing risk – the options
• Management evaluation of mitigation controls
• How to assess risk mitigation
• Identification of risk exposures
• Critical evaluation of exposures
• Dealing with the exposures (the 4 Ts - terminate, tolerate, treat or transfer)
• Establishment of action plans.
• Interactive workshop –part 2- Risk mitigation and dealing with the exposures in practice

Day 4 Recording the Risk management process

• Risk Registers
• Software available to use – pros and cons of different solutions will be shared
• Reports for Senior Management - power point example will be shown
• Developing risk tracking
• Using the risk register as a decision skeleton
• Quarterly Board reporting to review progress in addressing the exposures
• Audit Committee reporting
• Half yearly evaluation of key risks to ensure new risks identified and included
• Flagging interdependencies – if one risk treatment is changed the other party or parties impacted need to be notified.
• Risk treatment analysis – how to determine the cost/ benefits of dealing with exposures / exploiting opportunities

Integrating The Output From Risk Evaluation Into The Business Planning Process

• Linking corporate risks into the Strategic planning process
• Linking operational risks into service planning
• Risk owners – how to determine such personnel and enforce ownership
• Annual statements by risk owners
• Risk management as a route to reducing bureaucracy
• Coordinating assurance under the risk umbrella – a
• Best practice model will be shared
• How to use the risk process to break down the cultural barriers
• Making risk management second nature
• Keeping up the momentum
• Risk financing and how to introduce the disciplines
• Integrating incident management
• Business Continuity planning
• Integrating Health and Safety, Insurance and claims etc
• Measuring the benefits

Cascading the process

• Stakeholders interest in risk
• Workshops for other management levels
• How to measure the benefits
• Risk awareness for staff
• Sharing output with partners
• Evaluating risks within these relationships
• Auditing the Risk Management programme
• How to Identify and reduce excessive controls
• Feeding key risks up the organisation
• Coordinating the whole process
• Useful web sites and reference books

©Business Risk Management Ltd 2005