The “risk centric” approaches to managing risk have not delivered the desired benefits in terms of preventing significant failures and achieving business objectives with high level of confidence. In this session, Tim Leech shared guidance on an alternative approach which involve identifying the top value creation and preservation objectives and making conscious decisions on: –
- which objectives warrant the cost of formal (versus informal) risk assessment,
- the level of risk assessment rigour, and
- whether senior management and the board want independent assurance on the retained risk position linked to those objectives.
Tim proposed a new paradigm for the profession – Strategy and Value Oversight and covered following topics: –
- Understanding the difference between “risk-centric” and “objective-centric” approaches to risk management
- Why the risk-centric approach isn’t helping management and boards make better resource allocation decisions and meet escalating risk oversight duties?
- Using top value creation and preservation objectives as starting point for ERM
- The role of boards, senior management, owner/sponsors, risk specialists, and internal audit teams in STRATEGY AND VALUE OVERSIGHT
Tim is Managing Director and Founder of Risk Oversight Solutions Inc. based in Oakville, Ontario and Sarasota, Florida. His focus is promoting the business case for, and helping organizations implement, strategy and value oversight driven by objective centric ERM and internal audit. He has received awards for outstanding contributions to the profession from the CPA Ontario, the IIA, the ACFE and OCEG. His work has been recognized by the IIA, OCEG, Harvard, Columbia University, London School of Economics and many others. He has provided risk and assurance advice and training to major corporations around the world.
This session was hosted by Manoj Kulwal. Manoj Kulwal is passionate about utilising risk management as a business management tool for designing effective business strategy and successfully implementing the selected strategy. He has been involved in development of the international risk management standard ‘ISO 31000’ and in development of ‘Certificate of Operational Risk Management’ offered by The Institute of Operational Risk. He has trained more than 1,000+ operational risk management practitioners from financial services firms globally over the last 5 years. He is currently the Co-Founder and Chief Risk Officer at RiskSpotlight. At RiskSpotlight, he leads the team that developed the world’s first forward-looking operational risk news service – RiskSpotlight Portal.