CCM6 - Developing Effective KPIs & Risk Metrics for Winning Corporations

Synopsis

Fraud, Terrorism, technological changes, increasing competion, CSR, business changes, etc. Do you know what is in the “pipeline” for your organisation? Even if you have a whole risk management system in place, will you really be able to really recognise, monitor and take actions on risks/threats and opportunities as and when they occur? Past corporate disasters shows that organisations are often not good monitoring risk issues.

So when risks materialise; disasters may strike an organisation when least expected; management will fall in to the trap of reactive firefighting.

Furthermore even if your Risk Management system is working well, managers should not be insensitive to the possibility that the risks may have changed and therefore their assessments may be in need of update. The Risk Management process of identification, assessment, analysis, and developing effective management interventions, is a continuous ongoing process of response to changes in the strategic and operational exposures. Leaders and Risk managers should learn to recognise any structural changes that could make their existing models and loss data less relevant or even obsolete.

Understanding the status of the entire risk control system at different times requires a systematic monitoring and reporting structure. Bill Gates, the former CEO of Microsoft, described risk management as “information management: getting the right information to the right people at the right time“

This workshop will explore the two dynamic processes of strategic/operational response and continuous change learning that are critical for an effective risk control system and explain how they can be explicitly structured and monitored using a series of reports and Key Risk Indicators (KRIs) and distributed timely to the people who need them to make the right decisions.

Course Outline

• What are the critical components of an effective risk metric dashboard?
• Monitoring and review: How to design and set the KRI/KPI
• Understand the continuous changes in context and risks
• What are some common pitfalls in risk reporting that your organisation should avoid?
• How should risk information be communicated to the board?
• Connecting Risk management with audit (assurance) and monitoring processes
• How to Develop Risk Management performance measurement
• How to recognise factors leading to crisis for timely intervention
• And many more