Risk ManagementUniversity of Economics, Kraków, 2012

Tomasz Aleksandrowicz

media monitoring: current risk events (27 Feb - 4 Mar)

Framework, Process and Principles of Risk Management

based on ISO 31000:2009

Principles and Guidelines on Implementation

Risk management definitions• Risk owner

– person or entity with the accountability and authority to manage a risk

• Risk attitude– approach to assess and eventually pursue, retain, take or turn away

from risk

• Risk appetite– level of risk that an organization is prepared to accept

• Risk management policy– statement of the overall intentions and direction of an organization

related to risk management

• Risk management plan– approach, the management components and resources to be applied

to the management of risk

Framework of RM

Relationship between various components of the risk management framework

Process of RM

Principles of risk management (I)

• should create and protect value• integral part of organizational processes• part of decision making• addresses uncertainty by defining possible

risks• systematic, structured and timely• based on the best available information

Principles of risk management (II)

• tailored to organization’s stakeholders, context and risk profile

• takes human and cultural factors into account• includes stakeholders impact on organization• dynamic, iterative and responsive to change• facilitates continual improvement and

enhancement of the organization

Risk typesExcercise

Choose risks from list and assign to one of main risk categories:

Risk Management variants

• Enterprise Risk Management (ERM)• Financial Risk Management (FRM)• Operational Risk Management (ORM)• IT Risk Management (e.g. Risk IT)• Social Risk Management (SRM)• Supply Chain Risk Management (SCRM)• Project Risk Management