Risk Consulting
Risk management is not the responsibility of a single department.
Maintaining proper risk management is the responsibility of every member of the company. Throughout the history of companies, we can say that bankruptcies in the past of these businesses have been the responsibility of the lack of accountability, strategy and corporate transparency.
The regulatory bodies of the companies are increasingly demanding; therefore, it is important to have a culture where discipline, control and responsibility are distinguished. Being at the forefront and complying with current regulations enhances the company’s reputation and survival.
Today, issues related to a company’s financial risks are considered fundamental. Capital reserves, credit portfolios, investment policies, and capital and debt profiles demand constant attention to properly manage and mitigate risks.
It is also important for companies to pay attention to the risks presented by suppliers. A partner who breaches a contract, or whose business fails, can cause complications in the finances and reputation of related parties.
Fraud risks also increase when there are no restrictions in the treasury area. In some companies there are collaborators who become opportunistic and more resourceful. They find weak security measures in areas of the business that were more secure… and they attack. Are your systems and policies robust enough to prevent the risk of fraud?
At the same time, many companies are more likely to sue for losses suffered during the more prosperous period. The dispute arose because they tried to blame other parties for misconduct and negligence that caused financial or business losses. Will you participate in the litigation as a plaintiff or defendant?
Because of all these needs, the importance of internal audit is increasing in many companies, from focusing solely on regulatory compliance to a role of regularly reviewing the risk profile of emerging risks and identifying trends through close monitoring. At the same time, risk managers are increasingly involved in strategic decision making, with a focus on risk and growth.
