Risk Management’s Post

When your executive team's risk appetites vary widely, it's crucial to find a middle path. To align them strategically: Establish common goals: Identify overarching objectives that everyone agrees on. Facilitate open dialogue: Encourage honest discussion about risks and benefits. Develop a unified framework: Create a strategy that balances different risk levels. How do you handle differing approaches to risk in your team?

🔍 Evaluate Progress to Mitigate Risks 🔍 "However beautiful the strategy, you should occasionally look at the results." – Winston Churchill Amid busy schedules, it's crucial to take a moment to evaluate progress. Regular assessments help identify red flags or potential risks early, allowing for timely mitigation. The Strategic Management Journal is designed to empower execution by providing a structured approach to track and analyze performance, ensuring that strategies are not only well-designed but also effectively executed. Find out more: https://lnkd.in/gTs__RFt 🌟 Measure, Analyze, Improve. 🌟 #StrategicPlanning #RiskManagement #PerformanceEvaluation #BusinessStrategy #ContinuousImprovement #SMBSuccess #StrategicManagementJournal

You can NEVER build an effective Risk Culture in any organisation when you still have the 3 Lines of Defense which splits the business up and drives the mindset of fighting from the trenches. We cannot hang on to the outdated past and expect change, until we bury the dead horses, we will not make progress. The tsunami of regulations and guidance papers on risk culture is useless if these still mention 3LoD. https://lnkd.in/enSBa2Xh

Accountable decision-making is really important for personal and professional success. Don’t let your fear of decision making hold you back. Here are a few tips if you avoid decision making. #fear #decisionmaking #definesuccess #risk #ownership #success #accountability

🌟 *Understanding Risk: Balancing Impact and Likelihood* 🌟 The key concept to understand is the relationship between risk impact and likelihood. 🔍 Risk impact refers to the potential consequences or effects of a risk if it materializes. It answers the question: What happens if this risk occurs? High-impact risks can derail projects, disrupt operations, or result in significant financial loss. 📊 Likelihood, on the other hand, measures the likelihood of a risk occurring. It prompts us to think about: How likely is this risk to occur? Understanding likelihood helps prioritize risks that require immediate attention. 💡 When assessing risk, it is essential to consider both dimensions: 1. High Impact and High Likelihood: These risks require immediate action and strong mitigation strategies. 2. High Impact and Low Likelihood: Although they may not occur often, their effects can be catastrophic. Preparation is key! 3. Low Impact and High Likelihood: These risks are more manageable and can often be monitored using routine controls. 4. Low Impact and Low Probability: These risks are often low on the priority list but should not be ignored. By analyzing risks through this lens, we can make informed decisions that protect our projects and organizations while maximizing opportunities. What strategies do you use to assess and mitigate risks on your projects? Share your thoughts! 💬 #RiskManagement #ProjectManagement #BusinessStrategy #ImpactvsProbability #Leadership

Are you prioritising the voices of those who have skin in the game? You need to consider the ‘Arena Razor’. It is a heuristic principle suggesting that: 🎯 We should give more weight to the opinions and actions of people who are directly involved and impacted by the outcomes of their decisions. Those with skin in the game have their incentives aligned with the outcomes of their decisions. This alignment tends to drive more careful, calculated, and responsible decision-making. This approach leads to better risk identification and mitigation. It can also create a culture of accountability, trust, and continuous improvement. #decisionmaking #risk #riskmanagement #accountability #culture #continuousimprovement #collaboration

"𝗕𝘂𝗶𝗹𝗱𝗶𝗻𝗴 𝗮 𝗥𝗲𝘀𝗶𝗹𝗶𝗲𝗻𝘁 𝗢𝗿𝗴𝗮𝗻𝗶𝘇𝗮𝘁𝗶𝗼𝗻 𝘁𝗵𝗿𝗼𝘂𝗴𝗵 𝗘𝗳𝗳𝗲𝗰𝘁𝗶𝘃𝗲 𝗥𝗶𝘀𝗸 𝗠𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁" In today's rapidly changing world, organizations must be prepared to navigate uncertainties. Effective risk management is not just about mitigating risks but also about leveraging opportunities to drive growth. This week, let's focus on how strong governance practices can help your organization build resilience and thrive even in challenging times.  𝗞𝗲𝘆 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆𝘀: (𝟭) 𝗜𝗱𝗲𝗻𝘁𝗶𝗳𝘆 𝗮𝗻𝗱 𝗔𝘀𝘀𝗲𝘀𝘀 𝗥𝗶𝘀𝗸𝘀: Understand the potential risks facing your organization and assess their impact. (𝟮) 𝗗𝗲𝘃𝗲𝗹𝗼𝗽 𝗮 𝗥𝗶𝘀𝗸 𝗠𝗶𝘁𝗶𝗴𝗮𝘁𝗶𝗼𝗻 𝗣𝗹𝗮𝗻: Create strategies to minimize the impact of identified risks. (𝟯) 𝗟𝗲𝘃𝗲𝗿𝗮𝗴𝗲 𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝗶𝗲𝘀: Use a proactive approach to turn potential threats into opportunities for growth. (𝟰) 𝗖𝗼𝗻𝘁𝗶𝗻𝘂𝗼𝘂𝘀 𝗠𝗼𝗻𝗶𝘁𝗼𝗿𝗶𝗻𝗴: Regularly review and update your risk management plan to adapt to new challenges. As a seasoned governance and strategy expert, I help organizations like yours align their governance frameworks with strategic goals, ensuring sustainable growth and innovation. Let's work together to build a stronger, more resilient future for your organization. #Governance #Strategy #RiskManagement #Leadership #MiriamChiyaba #MakeADifference

Risk culture is something I am deeply passionate about. It goes beyond policies and procedures & shapes how we think, act and make decisions in the face of uncertainty. I've written the attached article to share my thoughts and insights on the importance of building a strong risk culture in organizations. In today's complex business environment, getting risk culture right can be the difference between resilience and failure. Please take a look at the article for some practical ideas and examples on what makes a healthy risk culture and how it can benefit your organization. I hope it sparks some valuable discussions on how we can all navigate risk more confidently and turn challenges into opportunities. #riskculture #riskmanagement #culture

 Communicate transparently about risks and potential benefits, fostering trust and collaboration. - Involve stakeholders in risk assessment to gain diverse insights and foster shared ownership. - Strategically prioritize risks to tackle, aligning them with long-term growth objectives

GET BETTER AT THE MANAGEMENT OF RISK! Week 18: " The impact of people risk extends far beyond the C-suite, affecting every aspect of organizational performance. Therefore, it is imperative for boards to broaden their perspective and adopt a proactive approach to effectively manage people-related risks across the entire workforce." Risk Culture Builder, 2024   #Win a free coaching session from Global Risk Culture Building Advisors #riskculture follow these steps: 1. "Like" the weekly tip 2. Comment on the weekly tip 3. Share the weekly tip with your network and tag Global Risk Culture Building Advisors #riskculture Winner will be announced after week 40. You can action earlier TIPs on my profile! https://lnkd.in/enSBa2Xh