Know Your Risks

Developed by R hisKS RIS The Guide ThelnnovationofRisk.com The AS/NZS ISO 31000:2009 Risk management - Principles and guidelines standards contains 9,584 words, containing RISK MANAGEMENT DIOSIONS DED AKCOUnt e GOIDE wm ZEALADD soane e RO DTERNATIONAL uner RISK-PROCESS CRITERIA INCLUDING CODSUCTANON ISO MANAGING PART USO wemangn ANALYSIS DEFINITION m STANDARD COOSDERED e DSURE INCLUDE. (VALUATION AUSTRAUA COmmuDICATION MALOG REVIEW REPORTING ESTABUSHING o CONTEXT APPROPRIATE notE DECISIONSTANDARDS RESOURCES o a INFORMATION wVEIS ves INTERNAL POUCY RISKS MPROW OBJECTIVES FRAMEWÓRK ORGANIZATIO DEw TREATMENT 73:2009 EXTERNAL CONSEQUENCES nan 2000200 ACIVITS PLAN ORGADIZATIONAL O ORGADIZATIOD'S wmin ORGAnzanons mcercens PERFORMANCE OPIOS UKELIHOOD RIGUATORY ueres STAKEHOLDERS PROCESSES Economical Understand your Global changes governmene in business environment recassion Political economies Simply, to know your risks you need to know your business and how it fits into the broader environment. Consider using the PEST Wheel as a way to bring out the key aspects that impact your (YOU Technology hzyıgow privacy business. Social Brainstorm your MIND JAM! WHITE business risks BOARD BEANSTORM MARKER PENS TEAM Use simple techniques to work through your risks such as brainstorming and mind mapping. Make this part of running your business. IDEAS JUMPING OFF POINT QUANTITY -GUALITY Analyse and understand business risks WHAT WHO WHEN WHERE WHY HOW WHY? The brainstorm should generate some "risk ideas" but these need futher understanding and analysis to best determine the risk. Consider asking about who, what, when, how and why, and also using the "5-Whys" technique. 4 WHY? 4 WHY? 4 WHY? WHY? Real solution is found here Quantify your Consequence Trivial Minor Moderate Major Severe business risks Almost certain H. Lkely н Possible Unikely н Rare Utilise formulaic approaches to quantify risks wherever possible such as historical instances in and outside your organisation, and leveraging data on processes. Plot the results on a visual that provides a simple view of the high/medium/low E-Extreme risk reguiting immediate action High risk ssue requring addtional M- Moderate risk iosue that are ikelyt L-Low risk issues that can be dealt w acceptable should they happen Risk Matris Mine Road Development Modeate risks. Control your business risks Avoid TPurtfole Reduce Develop process flow documentation and then establish appropriate controls to against the risk. Consider the possible different risk treatment strategies in the control process. Replace controls Offset Educate and Develop required action plans Risks are not always adequately covered and therefore where the business Determine and monitor communicate your business risks Effective risk management risk indicators Risk indicators are indicators that provide a barometer of tolerable levels of risk, give early warning signs and show measures of change in does not end with this does not accept the current level of control, then action plans should be established, monitored and reviewed. process, it is ever changing and evolving. Therefore, develop learning modules for staff and continually risks. Measures should include operational events, compliance events, and control failures. communicate on the importance of escalation. ACTION PLAN TATO wht end bere nhe VALATO া proge cee pee ...... .. Dmloma Graphics: PresenterMedia.com PresenterMediaf Graphic Design and Production: Riskographics RISKOGRA Content and Author: ThelnnovationofRisk.com ThelnnovationofRisk.com Sources: AS/NZS ISO 31000:2009 Risk management- Principles and guidelines standard http://beckmann-bio.com/graphics/pest_analysis.png for PEST framework shell. http://www.leighstringer.com/wp-content/uploads/2009/06/brainstorm.jpg for Brainstorm. http://bulbburner.com/2010/05/5-whys-and-the-pitfalls/ for 5-Whys approach. http://www.maf.govt.nz/environment-natural-resources/climate-change/resources-and-tools/adaptation- toolbox/step-3-how-will-climate-change-affect-me for quantifcation framework and http:// aace0910.blogspot.com/2009/11/learning-on-how-to-quantify-risk-factor.html. http://technet.microsoft.com/en-us/library/cc531022.aspx for process flow example. http://fairwarepromo.wordpress.com/ for hierarchy of controls. Consumer comersation Emerging igalatar pooyjoI7