A risk-based approach to regulatory matters


Risk management definitions:

These definitions are from the Australian/New Zealand Standard, Risk Management.

Risk
The chance of something happening that will have an impact on objectives. A risk is often specified in terms of an event or circumstance and the consequences that may flow from it. Risk is measured in terms of a combination of the consequences of an event and its likelihood. Risk may have a positive or negative impact.

Risk management process
The systematic application of management policies, procedures and practices to the tasks of communicating, establishing the context, identifying, analyzing, evaluating, treating, monitoring and reviewing risk.

Risk management framework
The set of elements of an organization's management system concerned with managing risk. Management system elements can include strategic planning, decision making, and other strategies, processes and practices for dealing with risk. The culture of an organization [and the jurisdiction being regulated] is reflected in its risk management system.

Risk analysis
The systematic process to understand the nature of and to deduce the level of risk. Risk analysis provides the basis for risk evaluation and decisions about risk treatment.

Risk assessment
The overall process of risk identification, risk analysis and risk evaluation.


Integrated risk management

We help our clients develop a robust risk management framework and tools to support decision making.

When the goals are broad - like public safety - and there are challenges on every side, a risk management framework is critical to developing a workable strategy for achieving a regulator's objectives - setting priorities, allocating scarce resources, and employing effective tools and tactics.

Our operational tools support objective, consistent and efficient decision making concerning specific regulatory cases and issues.

Our strategic risk management tools aggregate actual events or incidents to reveal trends, potential threats and opportunities.

We also offer tools that support conversations with stakeholders and knowledge development.

Our approach fully supports modern public-sector standards for accountability and transparency.

IN THE AREA OF COMPLIANCE
Encouraging compliance (and/or encouraging excellence that is on the other side of compliance) requires a powerful positive strategy.

RSG's approach uses risk management methods that recognize the importance of using strategies with complementary positive and negative impacts. 

The RSG team brings focus, passion, rigorous thinking and experience to help regulators develop and execute positive strategies.

IN THE AREA OF ENFORCEMENT
RSG's risk assessment tools help you focus limited investigation resources on the risks that are most intolerable.

Our tools allow enforcement to play a strong role in informing the development of policy, standards and regulations.

IN THE AREA OF STAKEHOLDER CONSULTATIONS

Consultation establishes important information about how your stakeholders view risk. Stakeholder experience and expertise will often improve the understanding of the threats that you manage. Taking account of a diversity of perceptions broadens risk assessment making it more successful. This review is intrinsic to the process of risk management as it helps "establish the context" within which the risk management is to take place.

RSG provides the structure and tools to support continual stakeholder conversations. Regulators need to have continual input that matches the evolution of risk in their jurisdiction.

IN THE AREA OF TRUST AND REPUTATION
Risk management is most successful when regulatory authorities and their stakeholders trust that they can count on each other. When you’re the regulator, your reputation not only precedes you but can also determine how successful you are in achieving your objectives. Read more about this.

RSG helps regulators assess their current situation and develop strategies for building trust and improving their reputation.

IN THE AREA OF INFORMATION MANAGEMENT
Our team can help ensure that your IT investments support risk management and effective decision making.

The risk management process helps organizations clarify what information is really needed to make decisions about risks. This encompasses the capture of information that will be used to identify and analyses risks. It also encompasses the information required to monitor situations of known risk.