Successful risk management as the key to business transformation

1. Risky Business? “Identification and assessment of risk associated with business transformation” Eileen Abbess, The Nichols Group

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. What is business transformation? project programme people process technology systems tools benefits skills

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

6. Common causes of failure in business transformation Source: from John Kotter’s 8 step process in ‘Leading Change’

7. Assessing business transformation risks Identify Objectives Assess Plan mitigation Implement plan Monitor

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. Risk management perspectives? Strategic Operational Project Change Other? Transformation

10. Risk management perspectives Strategic Operational Project Transformation “ the enterprise”

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

13. Risk assessment perspectives

14. A transformation risk dashboard (example)

16. For further information: Eileen Abbess The Nichols Group 07976 147461 [email_address]