Risk Management provides a framework that allows a business to identify, assess, manage and mitigate risk exposure, leading to potential benefits such as:

• Reduced losses through process improvements developed by the business;
• Increased risk awareness through improved communication, by the use of a consistent risk language and approach to risk identification and reporting;
• Prioritisation of business risks to those that matter;
• Provision of a cost effective action plans for the monitoring and management of significant risks;
• An aid to strategic and business planning in identifying new business opportunities and threats.

The use of risk management will greatly improve the transparency of how an organisation operates, provides a roadmap to achieve strategic goals and objectives and provides assurance over the management of risks.