Joseba Eceiza, Piotr Kaminski, Thomas Poppensieker
Nonfinancial risk has typically been addressed by one-off showcase initiatives based on a specific regulation or requirement, and left to experts in each field. What principles exist typically focus on adhering to formal standards and providing evidence that appropriate controls are in place. They are usually not embedded into the business but are instead delegated to risk and compliance departments, which have a limited understanding … [ Read more ]
Content: Quotation | Authors: Joseba Eceiza, Piotr Kaminski, Thomas Poppensieker | Source: “McKinsey Quarterly” | Subject: Risk Management
Nonfinancial Risk Today: Getting Risk and the Business Aligned
Risk managers may argue that the basic principles of Risk and Control Management (R&CM) are well established, and indeed enshrined, in industry standards. The concepts may indeed be broadly known, but they are applied in such a scattered fashion that they are not fit for purpose.
The resourcing and costs of the R&CM approach should be aligned with the company’s structure, business model, and risk profile. … [ Read more ]
Content: Article | Authors: Joseba Eceiza, Piotr Kaminski, Thomas Poppensieker | Source: “McKinsey Quarterly” | Subject: Risk Management