Risk management works if companies can set clear objectives, it is important that they are expressed around the future and not the past or indeed even the present. Directors and officers need to continually ask themselves whether the objectives as set will meet the needs for the future to at least an horizon of two to three years. If this is done effectively then the application of risk management becomes an essential tool for reducing the probability that corporate objectives will be jeopardised by unforeseen events. ...[ Read More ]

Last month we looked at the first five recurring patterns as described in “World of Risk” by Mark Haynes Daniell, this month the last five are discussed. A close examination of the ten patterns creates the environment of the risk manager in the future and illustrates the need for ongoing and continuous education. ...[ Read More ]

I recently returned from a trip to the UK and Asia to examine the progress of the concept of risk management in an educational and business sense. comparison we are well prepared to face the risks that will emerge in the future, if we continue down the path we have set ourselves. Too often because of the distance between us and other developed countries we tend to think we are always behind, this is not necessarily the case here. ...[ Read More ]

Money laundering, a strange term indeed, but one that has the potential to have an impact on the country as a whole, if we regard reputation as a paramount risk. Money laundering is essentially taking unclean money or money derived from criminal activities and putting it through a process that mean the title to the money at the end of the process is legal or clean. Australia is not a soft target in this area and has sent very clear signals internationally and domestically of its overt hosility to these activities. ...[ Read More ]

In recent years, risk has become a vital issue for financial institutions management; its successful identification and mitigation will more and more separate the market leaders from the also-rans. In the context of financial institutions, risk is defined as “the adverse impact of profitability of several distinct sources of uncertainty.” ...[ Read More ]

Risk managers can decide to be part of this process or withdraw back to the traditional areas of insurance and occupational health and safety. This month we will look at the “victim cycle” and discuss the steps to professional accountability, These steps will ensure we are seen as a professional and over time we will be valued for our advice and commitment. ...[ Read More ]

Correct risk management involves being proactive and looking to the future, any growth should be from a firm base to opportunity, then consolidation and the cycle can then recommence. During a downturn we must prepare for the good times and ensure we are amongst the survivors. Some points to look at are:-.... ...[ Read More ]

These days the environmental agenda has matured and now extends beyond environmental compliance into business opportunity, which has demanded more sophisticated process linkages being implemented by companies. ...[ Read More ]

Is outsourcing the risk management function a risk or a benefit to the organisation? Risk management is about the identification, mitigation and financing of identified risks within an organisation. Outsourcing is about obtaining materials, components and services from suppliers outside the organisation. ...[ Read More ]

Last month in this column we discussed the career opportunities available in the area of risk management. An attempt to define Risk management was undertaken and educational opportunities were identified. The article sought to overview risk management as a generic issue and to create an awareness of the scope of the discipline. ...[ Read More ]