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Organisations pursue their objectives by taking and implementing decisions but they must do so in external and internal environments in which there is uncertainty. We call the effect that this uncertainty has on the organisation’s objectives ‘risk’.

The purpose for managing risk is to improve decision-making so as to make it more likely that the subsequent actions will contribute as much as possible to the achievement of the organisation’s ultimate purpose – the realisation of its objectives. It has no other purpose.

Clearly if an organization can improve the effectiveness of its approach to managing risk, then it is more likely to achieve its objectives and be successful.

Hear Grant Purdy's expert insights on how, practically, organisations can improve the effectiveness of their approach to managing risk through the use of normal performance management and improvement methods.

He will describe how:

  • Performance management and improvement is an important component of a risk management framework;
  • Performance measures and KPIs for risk management can be set and used;
  • Tools that measure the effectiveness (maturity) of risk management that are tailored to an organisation’s standards and principles for managing risk can be developed and used for bench-marking, diagnostics and improvement planning;
  • Such performance management approaches can form the cornerstone of governance reporting that seeks to demonstrate that an organisation’s approach to managing risk is soundly based and effective.

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