Ten years since the adoption of the Sarbanes-Oxley Act, which requires better corporate governance, compliance and risk management. At this time, there were many advances in the name of better and more transparent business practices. However, this is the latest drive, it seems that for some people this effort has only caused more risk management problems along the way. In the majority of cases, the primary problem is that there is no unequivocal failure in these companies – to adequately determine the risk. Instead of examining these threats on a broad, comprehensive basis, they tend to concentrate on only a few selected subgroups. For example, these sinners fully focus on compliance and operational risks, both of which are only a small part of all the risks, ignoring the much greater risks at their own risk.
It seems that this is really effective, companies need to develop a comprehensive risk management strategy that is trying to predict and prepare for risks in all possible areas, and not just those that seem most likely to do so. but it would be a huge mistake. Another drastic problem faced by many risk management programs is that they are too intense and too dispersed and they are not able to properly maintain the areas that are most important to a given company. If this is the case, the company's risk management program is fundamentally invalidated by overcoming the capabilities until it is useless.
A recent study that pointed out to more than a thousand companies risk management found that the largest risk area that organizations should deal with was the biggest damage to most companies was strategic risk issues. It's ironic that this is one of many of the less threatened areas. To correct this problem, companies need to begin to re-evaluate how risk factors are defined by closely examining how their organization is organized and what areas are the biggest problem in the queue.
The answer is moderation, foresight, and careful planning. The most important principle for any good risk management program that most companies often ignores is that these programs have full responsibility, track and maintain. This means that a risk management team should monitor all possible mitigating factors, which must be evaluated on the basis of their relevance, severity, and acquisition, taking into account everything, but at the same time being fair and focussing on the factors that pose the greatest threat to the company. Properly managed, risk management is far from easy, but it can be feasible to strengthen the company's corporate governance practices and benefit from any unauthorized losses.
Source by sbobet