Managing Financial Risks Leading Practices

Senior management should take an active role in risk activities and strategy formulation. An effective financial risk management process is built on a set of well-defined and clearly stated business objectives. Key objectives articulate the ideal performance results that the company expects from that process. When determining what process improvements are needed to reach the next level of maturity, evaluators should consider the importance of the process being addressed. As the importance of a process increases, its desired capability increases.

This tool features several leading practices to assist with measuring and improving an organization’s financial risk management process.