“Everything that can be counted does not necessarily count; everything that counts cannot necessarily be counted.” Albert Einstein
The term "Risk Management" is a frequently used in everyday conversations, but in our opinion often misunderstood. Good Risk Management is fundamental to the wellbeing of any organisation, whether it be an SME, Public Sector or major international. An embedded Risk Management model helps drive a culture of risk awareness, from a top down, but also a bottom up approach. Bellfolio encourage a holistic perspective of Risk Management.
Sadly, we often hear the immortal words, “that won’t happen to us” or we’ll fix that later”. Ability to quantify and understand the likelihood and impact a risk would have is often a wakeup call to do something about it. Bellfolio use an advanced risk probability matrix which can assist you with this.
Ability to understand the risks in current and emerging technologies is an important feature of the services we offer. In particular, Bellfolio recognise the efficiencies that technology can bring to the finances of a company, but equally balance the risks of technology, whether it be system/functionality risks or data storage concerns, e.g. through cloud based systems.
In reality, getting the balance of good risk management that does not over burden the operations of your business is no mean feat. Bellfolio understands this and will work closely with your organisation to assist in maximising the risk management potential without impinging on operational and strategic requirements.
Bellfolio can help your organisation with:
Creating/Enhancing a Risk Management Framework
A clear and user friendly risk management framework is essential to ensure all staff are fully engaged with accepting and using Risk Management Framework. There are a number of tools/methods Bellfolio will use, including:
- Understanding your risk culture and agreeing your risk appetite (risk tolerance level)
- Developing/adding to risk management systems that work alongside your current processes
- Developing your risk management policy and ensuring that it’s linked to your business strategy/corporate objectives
A key factor is to assist you in identifying and accepting risks within your business. This is important not just to identify where things may have gone wrong in the past, but to understand the potential of these risks materialising in the future and mitigate them as much as possible. Notwithstanding that, some risks can be significant opportunities; Bellfolio will assist you in deciding if and how to take advantage of risks. The Risk Assessment process can be operated at a strategic or operational level. Bellfolio can also carry out Risk Assessments on specific areas of the business in isolation. Irrespective of the scope of the Risk Assessment, we can also produce a high level impact matrix, so you will be able to put the risks of a particular function/area into context against the impact it may have on another area (interdependency).
The Risk Assessment can be adjusted to accommodate either a qualitative or quantitative model, using a system of impact and likelihood scenarios to identify the gross risk prior to inclusion of mitigating controls. Once any mitigating controls have been identified and also assessed, a net (residual risk) value is obtained. Ownership and accountability of risks is as important as the risk itself and as such we include and score this within our model.
In a world of ever tightening oversight control, compliance has become a necessity for many organisations. Bellfolio has many years of experience across a range of sectors. Bellfolio will firstly assess your risk to compliance failure and as such the necessity for a partial or full review. We endorse a proactive approach when dealing with regulatory compliance as opposed to a reactionary service.
Controls Assurance Review
The Control Assurance review Bellfolio offer, include tailored assessments on behalf of a Board of Directors and/or Audit Committee. An assessment may incorporate a governance review of the Board/Committee structure or be a specific requirement by the Board/Audit Committee to carry out an assessment on a particular aspect of the operations of the business.
Internal Audit is a fundamental tool that is now recognised as being an integral function in many organisations. It has come a long way from being a checklist and box ticking exercise. According to Wikipedia, Internal audit is an “independent, objective assurance and consulting activity designed to add value and improve an organisation's operations”.
At Bellfolio we believe it is far more. It provides an integral method of ensuring safe and controlled processes are in place to keep a business alive! It can take a simple control failure or lack of a control that allows a risk to materialise to such an extent that the business ceases to exist.
The Internal Audit teams provided by Bellfolio are seasoned specialists in their field, including:
- Risk Based Audits
- Systems Based Audits
- Co-sourcing with in-house internal audit functions
- Specialised Internal Audit Reviews
Bellfolio understands that each business is unique and as such we model our approach around your business. To that extent, understanding your business and the risks it faces is our initial priority. This involves carrying out a high level audit needs assessment to establish and agree a scope of work. We will always keep you updated of progress and any concerns which may arise during the course of the review. Our findings can be produced in the form of a management letter, a full report or a presentation.