Organisational risk, if approached the right way, can actually lead to the creation and emergence of innovation and opportunities for business.
So, the question is: How can your board turn risk management evaluation into potentially beneficial strategic advancements within your organisation?
Risk should be an ongoing strategic conversation within your board rather than a compliance reporting function. Your board should consider how you can utilise innovative strategies to mitigate risks. In doing so, it will allow for a clearer understanding of the organisation’s strategic goals and sensitivity to risk. Or, better yet, your organisation can even flip risks into significant opportunities and even revenue generators.
Seasoned board advisor and managing director of Conscious Governance Steven Bowman, discusses strategy, innovation and risk in the whitepaper, “How to identify and manage risk when you're on the board.” He touches on the role of the board in viewing, managing and monitoring risk, and also outlines an effective strategic risk review process, in which he discusses the responsibilities of the board, the risk committee and the senior executives.
Finally, Bowman teaches you how you can embed risk management into your organisation so your board will be prepared to manage risks in the future.