Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Risky business


Published on

Successful risk management as the key to business transformation

Published in: Business
  • Be the first to comment

  • Be the first to like this

Risky business

  1. 1. Risky Business? “Identification and assessment of risk associated with business transformation” Eileen Abbess, The Nichols Group
  2. 2. Workshop scope Identify Objectives Assess Plan mitigation Implement plan Monitor A risk management process … … and need to understand the context ie what is meant by business transformation
  3. 3. What is business transformation? project programme people process technology systems tools benefits skills
  4. 4. What is business transformation? For the purposes of this workshop: “ A programme of activity which transforms how a business operates” eg changes processes, provides new tools, changes peoples’ jobs
  5. 5. Identification of risk associated with business transformation Identify Objectives Assess Plan mitigation Implement plan Monitor <ul><li>What are the objectives? </li></ul><ul><li>What could impact them? </li></ul><ul><li>What are common causes of failure in business transformation? </li></ul>
  6. 6. Common causes of failure in business transformation Source: from John Kotter’s 8 step process in ‘Leading Change’
  7. 7. Assessing business transformation risks Identify Objectives Assess Plan mitigation Implement plan Monitor
  8. 8. Assessing ? likelihood ? impact ? frequency ? probability ? severity ? magnitude Score 1 2 3 4 5 5 6 7 8 9 10 4 5 6 7 8 9 3 4 5 6 7 8 2 3 4 5 6 7 1 2 3 4 5 6
  9. 9. Risk management perspectives? Strategic Operational Project Change Other? Transformation
  10. 10. Risk management perspectives Strategic Operational Project Transformation “ the enterprise”
  11. 11. Enterprise risk management “… a process, effected by an entity’s board of directors, management and others … applied in strategy setting and across the enterprise … designed to identify potential events that may affect the entity … to provide reasonable assurance regarding the achievement of objectives …” COSO
  12. 12. Risk assessment models Time Cost Quality Project Strategic Operational <ul><li>Our vision </li></ul><ul><li>Our mission </li></ul><ul><li>Our goals </li></ul><ul><li>eg </li></ul><ul><li>Safety Risk Model </li></ul><ul><li>Financial controls </li></ul><ul><li>Insurance </li></ul>
  13. 13. Risk assessment perspectives
  14. 14. A transformation risk dashboard (example)
  15. 15. We have covered: <ul><li>What is business transformation </li></ul><ul><li>Common sources of risk and causes of failure around business transformation </li></ul><ul><li>Risk perspectives associated with business transformation </li></ul><ul><li>The importance of an enterprise wide system </li></ul><ul><li>How to bring the different transformation perspectives together </li></ul><ul><li>The concept of a business transformation risk dashboard </li></ul><ul><li>The value added by risk management to business transformation </li></ul>Thank you
  16. 16. For further information: Eileen Abbess The Nichols Group 07976 147461 [email_address]