HBA Consulting - helping organisations to identify and manage risk (and allowing the Executive to sleep better at night!)
Good risk management isnít expensive Ė once implemented, the ongoing maintenance of your program requires much less time, and money, than responding to problems after they occur.
Many organisations in all types of industries, public and private, are not getting full benefits from their risk management programs. Their risk processes are disconnected and critical data and information are not shared.
There are five key questions that help decision makers within an organisation to begin to understand key aspects of risk management. These are:
- What is your risk appetite? (i.e. The amount of risk you are willing to assume in the pursuit of your strategic objectives).
- What is your risk tolerance? (i.e. The acceptable level of deviation from your business standards or objectives)
- What are your inherent risks in achieving your strategic objectives?
- How can you better manage risks to your strategic objectives?
- Are you, as an organisation, taking the appropriate amount of risk in pursuit of your strategic objectives?
HBA Consulting works in partnership with our clients to help you manage your risks and maximise your performance if you have trouble answering these questions.
Our assistance might include consideration of the current or proposed internal audit program, reviewing the existing internal controls or dealing with an emerging an organisational-wide issue, we often begin an assignment with our clients by helping them to answer some key questions, such as:
- What are your key risks and how they are being managed?
- How effective are your key controls and how they are being applied?
- Do you have overlapping risk functions or gaps in coverage?
With insights gained from those answers, we can undertake a rapid cost effective assessment, moving then into the process of identification of opportunities to help improve the design and/ or operating effectiveness of processes and controls, leveraging leading practices and process improvement techniques.
Underpinning our performance improvement capabilities are our strengths and skills in day-to-day operations, management and strategic decision-making. Our experience indicates organisations achieve results from risk in three interrelated ways:
- Risk mitigation
- Cost reduction
- Value creation
Effective risk management not only provides better protection for your organisation, but also provides strategic value that improves performance and decision making.