An effective risk management dashboard is a critical tool for organizations to identify, assess, monitor and mitigate risks across the enterprise.
In a sense, if the business cannot manage risk effectively, then all the good work done by it so far can be tarnished by a small mistake which can turn out to be a costly affair. Risk management dashboard provides a centralized view of an organization's risk profile and exposure, enabling real-time monitoring, analysis and reporting of risks; and support data-driven decision making to mitigate and manage risks
Key Components of Risk Management:
-Risk categorization- catalog of identified risks, assessments and mitigation plans
-Risk heat maps - visual representation of risk likelihood and impact
-Key risk indicators (KRIs) - metrics to monitor changes in risk exposure
-Risk treatment plans - actions to mitigate, transfer, avoid or accept risks
-Risk reporting - dashboards, scorecards and analytics
Risk Management Intelligence:
-Risk avoidance - eliminating activities that bring unacceptable risk
-Risk mitigation - reducing the likelihood and impact of risks
-Risk acceptance - consciously accepting risks that are within risk appetite
-Risk transfer - shifting risk to third parties via contracts or insurance
Goals of Risk Intelligence:
-Provide a holistic, enterprise-wide view of risks
-Enable proactive risk management vs. reactive risk control.
-Help align risk management with strategic objectives
-Enable compliance with regulatory requirements
-Protect brand reputation and shareholder value
An effective risk management dashboard is a critical tool for organizations to identify, assess, monitor and mitigate risks across the enterprise. By providing real-time risk intelligence, it empowers leaders to make informed decisions to safeguard the business.
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