Risk management is a central part of any organisation’s strategic management. It is
the process whereby organisations methodically address the risks attached to
their activities, with the goal of achieving sustained benefit within each activity and
across the portfolio of all activities. The focus of good risk management is the identification and treatment of these risks. Its objective is to add maximum sustainable value to all the activities of the organisation. It marshals the understanding of the potential upside and downside of all those factors which can affect the organisation. It increases the probability of success, and reduces both the probability of failure and the uncertainty of achieving the organisation’s overall objectives.
Risk management should be a continuous and developing process which runs throughout the organisation’s strategy and the implementation of that strategy. It should address methodically all the risks surrounding the organisation’s activities past, present and in particular, future. It must be integrated into the culture of the organisation with an effective policy and a programme led by the most senior management. It must translate the strategy into tactical and operational objectives, assigning responsibility throughout the organisation with each manager and employee responsible for the management of risk as part of their job description.
The ability and capacity to manage risk, and with it the appetite for taking or embracing risk, provide us with the foundations on which to lay the flagstones of "continuous business”: resilient processes and a credible corporate governance programme. This is what helps to underpin the economic model upon which so much of our lives depend. Put simply: what separates past commercial success from an uncertain future is mastery of risk rather than enslavement to it.
Steelhenge’s approach to risk management is designed to help organisations master the risk management process, in order to improve and demonstrate the effectiveness of a key component of their corporate governance initiative.
Using principles, frameworks, system-based methodologies, tools and techniques which align with good practice and International Standards, Steelhenge delivers an unrivalled range of proven and effective risk management capabilities, to enable better internal control – whilst still achieving business objectives – across the responsibility spectrum.
The benefits of this approach are:
