The seminar can be held online on the official International Business Academy platform. On completion of the training you will be given a link to the recording, which will be available for one month.
*dates are subject to additional confirmation
excluding VAT
* VAT of 16% will be added to the invoice
Programme goal:
Training managers and specialists in the principles and tools of strategic risk management in accordance with best international practice (ISO 31000, COSO ERM, the Decision Quality methodology). The programme aims to make risk management stop being a formal procedure and become a real tool for improving the quality of management and strategic decisions.
The programme focuses on:
— Developing competencies in identifying, analysing and treating strategic risks
— Improving the quality of decisions of the Board of Directors and top management by introducing methods of quantitative assessment of uncertainty
— Forming the corporate risk appetite and a risk management culture
— Using risk management as a source of value creation and greater resilience of the company
Objectives:
— Examine the main standards and approaches to strategic risk management (ISO 31000, COSO)
— Master methods of improving decision quality (Decision Quality)
— Study practical risk identification tools (MECE, checklists, working with mental traps)
— Master quantitative methods of risk analysis and evaluation: decision trees, scoring models, Monte Carlo simulation
— Learn to formulate and apply risk appetite (qualitative and quantitative approaches)
— Examine tools for diagnosing and strengthening the risk culture
— Consolidate skills through cases (for example, the Boeing case), business games and practical assignments on the company's strategic projects
Skills developed:
— Building strategic thinking in the field of risks
— Applying Decision Quality methods to improve the quality of management decisions
— Command of practical tools of quantitative risk assessment (scoring models, Monte Carlo)
— Defining and using the company's risk appetite
— Diagnosing and developing the corporate risk culture
— Skills in integrating risk management into planning, budgeting and project management processes
— Using artificial intelligence and ready-made prompts for analysing and visualising risks
Criteria for participation in the programme
Target audience and the value of participation for each group:
— Top managers and members of the Board of Directors/ Supervisory Board — improving the quality of strategic and investment decisions
— Heads of structural units — integrating risk management into business processes, managing the risks of their area of responsibility
— Risk managers — expanding the quantitative risk analysis toolkit and formalising risk appetite
— Internal auditors and corporate governance specialists — introducing a risk-based approach and increasing the transparency of management decisions
Getting acquainted/ Introduction/ Course overview/ Participants introduce themselves
Introduction
Explaining the terms «risk», «uncertainty» and «risk management»
Standardisation of risk management: the COSO framework and the ISO 31000 standard
«Myths» in the field of corporate risk management, and reality
Myth No. 1: Risk management is a system (the risk management system: RMS/ CRMS)
Myth No. 2: Risk management is a quarterly or monthly iteration
Myth No. 3: Managers already think about risk management when they make decisions
Myth No. 4: The risk Map and Register are the final documents of the risk management process
The risk management process: setting the Objective
Existing problems in Corporate governance when setting the Objective and ways of solving them
The «DQ» methodology (Decision Quality) and its application in Corporate governance to improve the quality of corporate decisions:
— The «DQ» methodology: the decision hierarchy — how to formulate a management task correctly
A clearly formulated task is 50% of a quality decision: «if you are solving the wrong problem, everything else loses its meaning». For a top manager this is the key to effectively managing initiatives, KPIs and strategic projects
— The «DQ» methodology: Creative alternatives — why a decision without a real choice cannot be a quality decision
Managers often intuitively take «the path of least resistance», choosing the first convenient alternative. However, the absence of a quality set of alternatives is one of the most frequent sources of bad decisions. Without deliberately generating alternatives we are not managing risks, we are simply reacting to circumstances
The risk management process: risk identification
An effective risk identification method: MECE (Mutually Exclusive & Collectively Exhaustive)
The «Survivorship bias» mental trap
Discussion and analysis: typical mental traps at the «risk identification» stage and ways of neutralising them
The risk management process: risk analysis, evaluation and treatment
Decision trees — how to take uncertainty into account when evaluating alternatives
This is a visual tool for strategic choice: it helps not just to compare options, but to understand which scenarios are most likely, what the expected effect is and where the key risks are hidden
Scoring models — how to formalise and compare the risks of alternatives
This is an applied tool of quantitative risk assessment: it makes it possible to structure risk factors, set weights and a rating scale, and then calculate an integral score for each alternative. It is especially useful when choosing between projects, suppliers, investments or candidates for key positions
Quantitative risk assessment by the Monte Carlo method — how to see the whole range of possible scenarios
This is a powerful tool for modelling uncertainty. Instead of a single estimate (for example, a project budget or profit), the method makes it possible to see the whole picture: from the best to the worst scenario, including the probability of achieving key indicators (for example, EBITDA, IRR, NPV, budget, deadlines), which makes strategic decisions better founded before the Board of Directors/ Supervisory Board/ top management, and also reduces costs (for example, insurance) through accurate risk assessment
Risk appetite
The formal and the real approach to calculating and using risk appetite
Qualitative and quantitative ways of formalising risk appetite
Risk culture
Psychological barriers that hinder the development of a risk management culture
Six tools for strengthening the risk management culture
Diagnosing and evaluating the effectiveness of the risk management process
