Commercial Risk Management
Course Programme
Duration
2 days.
What is this course about?
Commercial risk management covers a whole range of issues and this course provides a framework for understanding and controlling risk in the most appropriate ways. Equally suited to companies as suppliers or customers, it is focused on ensuring that risk management does not become an internal industry but a cost effective part of the commercial relationships that exist and are developed.
Who would benefit?
Anyone who needs to further their understanding of commercial risk and how to manage this effectively.
Objectives
The objectives of this course include:
- Creation of the general understanding of commercial risk and how to minimise and mitigate commercial risks
- Outline of the most cost effective ways of controlling commercial risks, including the tools available
- Development of a commercial risk management plan, including elimination, mitigation and crisis management
Key topics covered
- Analysis of the areas that expose companies to commercial risk
- Regulation and its effect on companies
- Minimising risk
- Business approval processes
- Ensuring companywide appreciation of the importance of assessing commercial risk at all stages
- Mitigation and elimination of commercial risk
- Understanding what is not known
- Dealing with issues
Course outcomes
- Greater understanding at a company level of risk and how it is managed and controlled
- Greater understanding of the costs involved - in not recognising risk and in being excessively risk averse
- Awareness of external regulatory pressures and how to respond to them cost effectively, even using regulation as part of differentiation
- Greater confidence in dealing with risk so that internal auditors are satisfied
- A cost effective and effectual business approval process
- Better understanding of how to deal with issues
- An appreciation of the way to use processes to mitigate and eliminate risk.
Course programme
1. Areas
- Analysis of the areas that expose companies to commercial risk
- What is understood
- What is unknown
- The domino theory of risk
- What is meant by risk elimination
- What is meant by mitigation of risk
- Risk register
2. Audit
- What is meant by audit and its various forms
- Working with auditors - internal and external
- Responding to audits - internal and external
3. Regulation
- Areas to focus on in terms of external regulation
- Regulating your suppliers to eliminate risk (including offshore)
- How to manage regulation internally
- What costs are involved and how to minimise them
4. Minimising risk (and risk elimination)
- The value of risk registers
- Creating and maintaining risk registers
- Review processes
- Identifying risk factors
- Communication of risk and the effects if a risk is realised
5. Mitigating risk
- Understanding risk and its value
- Cost effective risk management
- Mitigation processes
- Communication of risk and the way it is to be mitigated
6. How to assess what is not known
- Areas that risk can become real
- What is meant by taking a cost effective approach to risk management
- Steps that all companies should take
7. Business approval
- Standard business approval processes - strengths and weaknesses
- Different business approval processes - strengths and weaknesses
- Issues to be aware of
- Hidden costs
- Hidden benefits
8. Other areas where risk management is key
- Management of suppliers
- Management of partners
- Management of internal stakeholders
- Management of external stakeholders
- Reviewing risk management
9. Dealing with issues - risks that have become palpable
- Objectives of communication of the issue
- Communication plan - internal, external
- Steps to resolve issues
- Reviewing issues after resolution
- Company learning from issues
- Impact on other risk registers and issue logs
Training Options
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