ADVANCED ENTERPRISE RISK MANAGEMENT

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1 EARN UP TO 18 CPE CREDIT HOURS Generate measurable value by aligning the ERM framework with corporate performance expectations to achieve strategic value After completing this course, you will be able to: 1. Implement appropriate and varied techniques for the identification and assessment of risks 2. Engage the Board in the analysis of enterprise risk scenarios 3. Foster a culture that reinforces appropriate risk-taking to balance value creation and value protection 4. Clarify ERM accountabilities of all employees from executives to the front line 5. Implement key risk indicators (KRIs) for each line of business 6. Enhance achievement of corporate objectives by linking performance targets, and risk management actions 7. Develop risk appetite statements and apply risk tolerance techniques OFFER 3 2 FOR Save up to $1000 by booking early!

2 COURSE INFORMATION MEET YOUR EXPERT COURSE LEADER Phil Griffiths is Founder and Managing Director of Business Risk Management Ltd. A Chartered Accountant, he has over 25 years experience in Risk Management, internal audit and fraud prevention as a practitioner, professional adviser, facilitator and trainer. He has held top management positions with a number of international groups, in roles embracing finance, IT and general management. His specialisms are: Assisting senior management to identify, manage and then exploit the risks within their business via facilitated business Risk Management programmes Helping internal audit functions to implement world class standards Developing fraud prevention, detection and investigation programmes tailored specifically to clients requirements Training both private and public sector organisations in all the above disciplines Phil is recognised as an accomplished and charismatic facilitator, trainer and lecturer having advised many renowned organisations, coordinated top-level events and addressed national and international conferences on a wide range of critical business topics. He has worked extensively with all sectors in the Gulf during the past 10 years to enable such organisations to exploit their potential by managing their strategic risks and/or enhancing the effectiveness of their internal audit services. He is a renowned author and writer his book, Risk Based Auditing, was published in COURSE OVERVIEW The turmoil in the world is continuing with increasing public unrest fluctuating oil prices, natural disasters of a scale thought unimaginable, volatile stock markets and world economic uncertainty. In this time of global uncertainty how do you steer course through difficult waters? The answer is to recognise the only real link between all these events RISK and then to try to anticipate, manage and then exploit such risks at an enterprise level. In many organisations risks, have been identified because of control failures or as a result of pressure from regulators or Government. The primary intent has often been to tick the box and avoid criticism. Thankfully many organisations have realised that much more is needed and have developed an Enterprise Risk management (ERM) approach. This has ensured that risks that were previously managed in isolation can be aggregated and prioritised across the entire business. However, stopping here is like driving a plane on a highway it might go faster than the cars, but it hasn t reached its full potential. Advanced Enterprise Risk Management goes one step further. Risks are scored based on business materiality with each risk being evaluated and compared by it s financial, legal, reputational, and regulatory impact, and classified by the effect they could have on the business. New understandings of risk emerge, and efficient controls can be implemented to tackle what really matters to the business. And drive competitive advantage. In short the focus becomes strategic value instead of managing costs. WHO SHOULD ATTEND Participants will earn 18 CPE credits (in the Management Advisory Services field of study) Business Risk Management Ltd is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. Chief Risk Officers Risk Managers Managers and Directors responsible for the risk management function or process Heads of Internal Audit Heads of Assurance functions Senior Finance professionals This course will be particularly useful for delegates that have previously attended the Enterprise Risk Management course (although, this is not a prerequisite) COURSE LEVEL This is an advanced level course and delegates should have minimum two years experience in a supervisory, management or assurance role Delegates should have a good educational standard (Bachelors degree or above) and/or a professional qualification or be suitably experienced No advance preparation is required Delivery method Group-live (with exercises and case studies to provide practical application of the tools and techniques) A pre-course questionnaire will be sent out 2-3 weeks prior to the course date to obtain some information about the delegate s role and to provide an opportunity to indicate specific learning requirements. Book online Book over the phone Book via register-mea@informa.com

3 COURSE AGENDA Course Timings: Registration will commence at 08:00 on Day One. Course sessions will start promptly at 08:30 and finish at 14:30. There will be two breaks for refreshments and lunch will be served at the end of each day s sessions. DAY ONE Taking ERM To The Next Level Characteristics Of An Advanced ERM Process Board-level commitment to ERM as a critical decision framework A dedicated Risk Executive, in a senior level position, to drive the process An ERM culture that encourages full engagement and accountability at all levels of the organisation Stakeholder engagement in risk management strategy development and policy setting Transparency of risk communication Integration of financial and operational risk information into decision-making Use of sophisticated quantification methods to understand risk and demonstrate added value through risk management Identification of new and emerging risks using internal data, as well as information from external providers A move from focusing on risk avoidance and mitigation to leveraging risk and risk management options that extract value ERM case studies New paper on ERM and the role of Executive management will be shared Exercise 1: The challenges involved ERM And Decision-Making For every key proposal passed to the Board or senior management for decision, insist that a full risk analysis is submitted Match key risks to corporate objectives each year Ensure that you under promise and over perform not the other way around Invite all your key stakeholders to a risk workshop Analyse the major surprises and near misses that you have had in the last 12 months Recognise that if it seems too good to be true, it probably is Prepare media statements in advance to cover all possible crises Twice a year ask all key executives to identify three opportunities and set up a high-level workshop to discuss and prioritise them Develop a corporate opportunity register Offer special incentives for the best ideas to reduce risk or exploit opportunities Exercise 2: Exploiting Opportunities Risks and rewards Exploring Global ERM Scenarios In this interactive session, delegates will explore global risk scenarios and then discuss the implications for their organisations The Risk Register Challenges Why the ERM process often fails to engage management Risks recorded are much too general Causes and effects are confused with risks Date Only residual risk is concentrated on Various methods are used for scoring risks Benefits are difficult to determine The register is spreadsheet-based The process is far too complex The Risk register solution Exercise 3: The advanced ERM risk register ERM Tips For Success Use a risk assessment framework to assess your risk maturity and prepare a plan to enhance this maturity (if required) Adopt ISO31000 (the International risk standard) and apply the principles across the business Only use one risk matrix for the Business every function should not develop their own Ensure that you have common risk terminology and communicate it widely Recognise risks may have multiple scenarios e.g. loss of key personnel (how many, in which area etc.) Set meaningful Key Risk Indicators (KRIs) to warn you before risks materialise Prepare a graphical or tabular record of key risk for the Board Recognise that understanding risk is the key to successful corporate governance Arrange a reputation risk workshop for senior management Get the whole risk process benchmarked Exercise 4: ERM questions DAY TWO ERM Risk Measurement Techniques Risk Measurement Methods The need for quantative risk analysis Structured interviews Risk workshops Delphi (expert analysis) Ishikawa diagrams (fishbone analysis) Failure mode and effect analysis (FMEA) Scenario planning Root cause analysis Monte Carlo analysis Bayesian networks The pros and cons of the various methods Risk Workshops The power of workshops Techniques for successful risk workshops The need to involve peer groups Establishing a risk workshop Facilitation techniques Exercise 5: Risk identification workshop Contact register-mea@informa.com

4 COURSE AGENDA Delphi (Expert Analysis) Getting consensus from experts of different backgrounds and perspectives Comparing the opinions of qualified experts from different fields Determining acceptable risk by using experts to assess e.g. total credit given versus credit available or to establish creditworthiness criteria Worked example Exercise 6: Delphi analysis the mystery Ishikawa (Fishbone) Analysis Very effective in evaluating risks with multiple causes Steps in fishbone analysis Problem identification Primary and secondary causes Establishing priority criteria Preparing fishbone diagram Analysing the output Exercise 7: Ishikawa exercise loss of key personnel Failure Mode And Root Cause Analysis Evaluation of potential failure modes for processes The likely effect on outcomes and/or product performance Risk reduction measures to eliminate, reduce or control the potential failures Impact, probability and detection criteria Determination of RPN (risk priority number) Worked example of FMEA Exercise 8: FMEA exercise Scenario Planning Why risks identified are often too generalised e.g. loss of key personnel The need to evaluate various scenarios for each generic risk The techniques and success factors Exercise 9: Disaster scenario exercise DAY THREE More Risk Assessment Techniques Fault Tree Analysis Systematic method of System Analysis Examines the system top down Used to investigate potential faults Quantify contribution to system unreliability Worked example Monte Carlo Simulations Mathematical technique that allows people to account for risk in quantitative analysis and decision-making Provides a range of possible outcomes and the probabilities they will occur Determines a probability distribution The types of distribution Normal (bell curve) Uniform Triangular Uses of Monte Carlo simulations: Used to price complex financial instruments To determine the VAR (Value At Risk) Determining the option to expand, contract, or postpone a project Exercise 10: Monte Carlo exercise Bayesian Networks Bayes theorem Adding more data to an original idea to enhance decision-making Use of Bayesian networks Will it rain tomorrow? Visiting the doctors Banking sector Exercise 11: Bayesian network exercise Emergent Risks There is no clear boundary with other types of risk Emergent risks cannot often be easily anticipated At early stages, they are often low probability/high impact Areas for consideration Political Regulatory Legal Security Technology Environmental Knowledge Exercise 12: Team Exercise to enable you to appreciate the emergent risks Key Risk Indicators (KRIs) The banana skins Identifying these in advance Examples of KRIs New KRI guidance How to develop effective KRIs Exercise 13 - Identifying KRI s Date Contact register-mea@informa.com

5 FIVE WAYS TO REGISTER Tel: Fax: register-mea@informa.com Web: Mail: UAE Informa Middle East Ltd. PO Box 9428, Dusit Thani Hotel, Dubai, Course Fee Before 11 December 2017 Course Fee Before 15 January 2018 Final Fee US$ 2,995 US$ 3,495 US$ 3,995 Pricing excludes 5% VAT, where applicable The in-house training division of Informa Middle East SAVE UP TO 40% If you have 6 or more people interested in attending, and would like to customise this training course to suit your team and business, contact our Training Consultants on or cts@informa.com *Book and pay full fee for two colleagues and the third attends for FREE.Not applicable in conjunction with corporate discounts.payment to be settled before start of the course to avail the offer.the 3 for 2 offer is valid on full price final fee registration only Course fees include documentation, luncheon and refreshments. Delegates who attend all sessions will receive a Certificate of Attendance. All registrations are subject to our terms and conditions which are available at Please read them as they include important information. By submitting your registration you agree to be bound by the terms and conditions in full. DELEGATE DETAILS FIRST NAME: JOB TITLE: ADDRESS: COUNTRY: SURNAME: COMPANY: POSTAL CODE: CITY: TEL: FAX: MOBILE: BC7208 EVENT VENUE Tel: ACCOMMODATION DETAILS We highly recommend you secure your room reservation at the earliest to avoid last minute inconvenience. You can contact the Hospitality Desk for assistance on: Tel: Fax: hospitality@informa.com SN/DC AUDIT/RISK/FINANCE Copyright Informa Middle East Ltd DISCOUNTS AVAILABLE FOR 2 OR MORE PEOPLE CALL: a.watts@informa.com PAYMENTS A confirmation letter and invoice will be sent upon receipt of your registration. Please note that full payment must be received prior to the event. Only those delegates whose fees have been paid in full will be admitted to the event. AVOID VISA DELAYS BOOK NOW Delegates requiring visas should contact the hotel they wish to stay at directly, as soon as possible. Visas for non-gcc nationals may take several weeks to process. CANCELLATION If you are unable to attend, a substitute delegate will be welcome in your place Registrations cancelled more than 15 days before the Event are subject to a US$ 250 administration fee Registrations cancelled between 14 8 days before the Event are subject to a 25% cancellation fee Registrations cancelled 7 days or less before the Event must be paid in full All registrations are subject to acceptance by Informa Middle East which will be confirmed to you in writing Due to unforeseen circumstances, Informa reserves the right to cancel the course, change the programme, alter the venue, speaker or topics For full details, please visit ND