RISK MANAGEMENT AND THE LINES OF DEFENCE (Part 2 of 2)
CPE: To be confirmed
1.30pm until 5.00pm
Castille, Casa Leone, Floriana
Nowadays, in a number of industries and sectors within such industries, there are diverse teams of enterprise risk management specialists, compliance officers, internal control specialists, internal auditors, KYC and fraud officers and other risk and control professionals working together to help their organisations control risk. Yet, it is not enough that the various risk and control functions exist — the challenge is to assign specific roles and to coordinate effectively and efficiently among these groups so that there are neither “gaps” in controls nor unnecessary duplications of coverage. The problem may exist in any organisation, large or small, whether listed, licenced or even commercial. Fortunately, regulatory guidance and best practices are emerging that help organisations delegate and coordinate essential risk management duties with a systematic approach. The Lines of Defence model provides a simple and effective way to enhance communications on risk management and control by clarifying essential roles and duties. It gives a fresh outlook at operations, helping to assure the ongoing success of risk management initiatives, and it is appropriate for any organisation — regardless of size or complexity. In organisations where a formal risk management framework or system does not exist, the introduction and adequate (stylised) implementation of the model may enhance clarity on risks and controls and improve the effectiveness of enterprise risk management.