ISO 31000 Risk Management

What is the ISO 31000 Standard?

ISO 31000:2009 provides principles and generic guidelines on risk management and can be used by any public, private or community enterprise, association, group or individual. Therefore, it is not specific to any industry or sector.

The standard can be applied throughout the life of an organization and to a wide range of activities, including strategies and decisions, operations, processes, functions, projects, products, services and assets.

The standard provides guidelines to define a risk management process in an organization to effectively manage risks; it does not explain any specific risks for a particular domain rather it provides the principles which can apply to any kind of risk.

ISO 31000:2009 is organized into 3 main clauses: Principles, Framework and Process. The risk framework requires that an organization identify, analyse, and evaluate the need for risk treatment to meet the risk criteria.

Why have ISO 31000 Risk Management System?

Each organization faces risks in various aspects of its business. Implementing ISO 31000 ensures that the organization has a process in place to identify risks and proactively take actions to mitigate these risks. This helps an organization achieve its objectives. The decision-making process improves as proactive decisions are taken on the basis of risk evaluation.

Having a risk management framework in place raises awareness within the organization on the need of identifying and planning for the treatment of the risks. This further leads to better governance and increases stakeholders’ confidence in the organization. This standard also helps in achieving compliance with legal or regulatory requirements and international norms.

What does having ISO 31000 System Mean for your Business?

The purpose of Risk Management is to:

• Identify possible risks

• Reduce or allocate risks

• Provide a rational basis for better decision-making in regard to all risks

Assessing and managing risks is the best weapon you have against major catastrophes. By evaluating your plan for potential problems and developing strategies to address them, you’ll improve your chances of success.

Additionally, continuous risk management will:

• Ensure that high-priority risks are aggressively managed and that all risks are cost-effectively managed

• Provide management at all levels with the information required to make informed decisions on issues critical to the business’s success.

Our Methodology

ISO Global use a unique methodology to effectively analyse and identify your business needs, then develop a customised Management System. Our methodology is designed to reduce the time ISO Global consultants spend on site.  Our consultant will work closely with you through the entire process to develop the most effective ISO Management System for your business. We listen to your feedback, guide you through the successful introduction of the system in your business, and review the performance of your ISO Management System.

Certification to ISO 31000 Risk Management Standard

ISO 31000 standards cannot be used for certification. This can however be used as a guide to implementing a risk management process with an internationally recognized benchmark.

Industries ISO 31000 Standard is Relevant for

Due to its generic nature, the standard can be applied to any type of organization regardless of its size or industry