7.4 Role and responsibilities for risk management Flashcards
What is the responsibility of the board and executive management for risk management?
Boards/management have a primary responsibility for risk management. Their main role is to provide oversight and determine risk appetite.
What is the role of the Risk Committee in risk management?
Risk committees exist to review risk management in more detail than the board is able to. They typically also review and reccomend risk policies to the Board.
What is the role of the chief risk officer in risk management?
Support the board and risk committee to fulfill their responsibilities; to direct the work of the risk function; to oversee the risk management activities of the whole organisation and ensure they are consistent with risk appetite and policy; work with compliance and internal audit to ensure regulatory compliance.
What is the role of a risk manager in risk management?
Oversee and coordinate risk management, including monitoring and reporting on risk.
What is the role of the compliance function in risk management?
To ensure that the design and ongoing operation of an organisation’s risk management processes are compliant with all applicable rules and guidance.
Why is it important that risk managers and compliance managers work closely together?
To ensure that risk management processes are designed in a compliant manner.
What is the role of the internal audit function in risk management?
To provide independent assurance than an organisation’s risk management process is effective.
What is the role of the company secretary in risk management?
Supporting activities of the board and advising the board of their responsibilities for risk management and working closely with the CRO to ensure the board receives the necessary reporting to fulfil its obligations.
What is the role of the finance function in risk management?
Providing information relevant to the solvency and cash flows of the organization, compliance with organisational policies and procedures.
What is the role of the health and safety function in risk management?
Ensuring compliance with relevant legislation, reporting on health and safety risks.
What is the role of the human resources function in risk management?
Managing risk exposure influences by the action (or inaction) of staff, supply relevant people information to risk function, managing culture.
What is the role of the information security function in risk management?
Day-to-day management of IT security risks, supply of information to the risk function.
What is the role of the operations function in risk management?
Ensuring day-to-day operations are performed in line with risk policies and procedures. Escalation of any increases in risk exposure.
