The IOR is delighted to announce the release of the latest in a series of Sound Practice Guides (SPGs) for risk managers. These guides explain how risk culture may be identified, assessed, and controlled to help reduce the frequency and severity of operational risk events.
The need for effective operational risk management is more acute than ever. Events such as the global financial crisis or the COVID-19 pandemic highlight the far-reaching impacts of operational risk and the consequences of management failure. In the light of these and numerous event organisations must ensure that their policies, procedures, and processes for the management of operational risk meet the needs of their stakeholders.
Aidan Brock, PIOR, SIRM, Operational Resilience SPG author and Institute of Operational Risk Advisory Committee member said:
“Covid-19 has forced organisations to be more proactive in how they approach and manage operational resilience. Practical implementation can take many forms depending on the size, scale and complexity of an organisation and the industry in which it operates, nevertheless the most effective leverage and build on existing risk management frameworks and practice, particularly operational risk.
This guide outlines the key elements of operational resilience and provides practical guidance to assist those building and embedding better resilience in their organisations”.
This guidance is designed to complement existing standards and codes for risk management (e.g. ISO31000). Readers looking for a general understanding of the fundamentals of operational risk management should start with the IOR’s Certificate in Operational Risk Management.