Transcript
SPEAKER 1
So good risk management is really about being very clear on what objective is that you're trying to strive for and think about the risks that relate to that objective.
SPEAKER 2
Good risk management is beyond creating your risk register. It's all about making sure we've got good action plans and treatment plans and controls in place to manage that risk and prevent it going out of control, ultimately. But it also goes beyond the process. So there is-- it's all about getting everyone involved and risk management, from the boardroom down to your apprentice on the shop floor, making sure everyone has the skills necessary to manage risk together as a group.
SPEAKER 3
Good risk management is incredibly simple. I'm a pragmatic sort of person. I like a pragmatic approach. And where you have organisations that employ thousands of people, or in my case, tens of thousands of people, it can be very difficult to actually have a one-size-fits-all approach. So for me, it's distilling it down. It's taking it to the masses.
And so by doing this, it quite simply comes down to good identification. You identify a risk. Seeing it in the first place, you've got to be actively looking. You've got to have that feeling in place that I'm happy to come forward with that information in the first place. Then they'll know who to speak to about risk or to raise that risk with them.
And then work with that person to make sure that other people can understand it so other people can be-- you know, good risk management is a community effort. It's not just me sitting in a room somewhere typing something up or thinking of something great to put in a report. It's none of that. It's all about conversation. It's communications.
SPEAKER 4
You cannot do everything, so don't try to overcook it. It's really make sure you are aware of what are the significant, material things that can work to your disadvantage or to your advantage. And make sure you address them as part of your plan of what you actually want to do. And then there is, strictly speaking, no risk management. it's basically executing a robust plan.
SPEAKER 5
For me, good risk management looks like something that you cannot see. I think if it's effective, it's not making too much of a noise. It's going on in the background. It's part of people's routine activity. It's something that I think everybody should be involved in, but I think it's something that should be part of core business operations.
SPEAKER 1
And other reasons that it's important is it's actually one of the things that needs to be done under UK corporate governance regulations. And that's something that's been in place for UK companies for a number of years now. And one of the requirements is to have what's known as a risk management system in place to make sure that, again, the company is doing everything it can do to be successful and to think about anything that might happen that could cause it not to be successful.