Why is risk an issue in the Boardroom?
Managing risk is not about compliance and box-ticking: it is a critical investment that can underpin an organisation’s long-term growth, value and sustainability.
How robust are your policies on governance, risk and compliance?
Can you demonstrate discipline, control and responbility?
Past corporate failings have been typically attributed to lack of accountability, strategy and transparency.
There are three key risk areas to consider:
The benefits of addressing risk can include improved agility, creation of a strong risk culture throughout the organisation, more effective reporting, processes and internal controls, disruption minimisation and ultimately enable better business performance.
The consequences of not addressing risk range from possible reputational damage and lost market opportunities to affecting long term growth potential and business sustainability.
To address the potential risks, the following are some examples of questions to be considered at board level:
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