A risk consists of a combination of the probability of a perceived threat or opportunity occurring and the magnitude of its impact on objectives”. With this definition ‘threat’ is used to describe an uncertain event that could have a negative impact on objectives or benefits; and ‘opportunity’ is used to describe an uncertain event that could have a favourable impact on objectives or benefits.
M_o_R® is a route map for risk management, bringing together principles, an approach, a set of interrelated
processes, and pointers to more detailed sources of advice on risk management techniques and specialisms. It also provides advice on how these principles, approach and processes should be embedded, reviewed and applied differently depending on the nature of the objectives at risk
M_o_R has been adopted by hundreds of organizations worldwide. Equally applicable to large and small organizations in the public and private sectors.
Effective risk management can bring far-reaching benefits to all organizations, whether large or small, public or private sector, as well as individuals managing projects or programmes:
- Fewer sudden shocks and unwelcome surprises
- More efficient use of resources
- Reduced waste
- Reduced fraud
- Better service delivery
- Reduction in management time spent fire-fighting
- Better management of contingent and maintenance
- Lower cost of capital
- Improved innovation
- Increased likelihood of change initiatives being achieved
- More focus internally on doing the right things properly
- More focus externally to shape effective strategies
As an individual M_o_R helps you to:
- Gain the confidence and ability to influence and shape risk management across an organization.
- Encourage openness and discuss real business issues in a realistic manner to meet business objectives, improve service delivery and achieve value for money
- Put an effective framework in place to make informed decisions about the risks that affect strategic, programme, project and operational objectives
- Understand the nature and extent of risks facing a company and reduce the incidence and impact on the business
- Continuously apply risk management to an organization and simplify the process of making information available when decisions need to be made.