ACCA SBL Syllabus D. Risk - Risk Manager - Notes 1 / 9
Risk management committee
Risk management committee Role
To agree the risk management
Review risk reports from affected department
Provide board guidance on emerging risks
Work with the audit committee on designing and monitoring internal controls
Monitor overall exposure and specific risks. Strategic risk monitoring could occur frequently
Assess the effectiveness of risk management systems
Roles of a risk manager
Providing overall leadership, vision and direction, involving the establishment of risk management (RM) policies
Seeking opportunities for improvement of systems.
Developing and promoting RM competences
Reporting on the above to management and risk committee
Ensuring compliance with relevant codes, regulations, statutes
Arguments against Risk management
Cost
Disruption to normal organisational practices
‘STOP ’ errors - where a practice has been stopped when it should have been allowed to proceed
Slowing the seizing of new business opportunities