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According to the ISO 31000 standard, risk management is the process that allows companies to identify, analyze, evaluate, and take action to control the risk situations to which they are exposed. These are adverse events that interfere if materialized, they hinder or affect the achievement of the objectives and can represent damages and losses. 

Simply, risk management is a codified way to mitigate the risks that will harm the future of the company. Every action we take has an inherent amount of

Dogged inaction by leaders when staff raise issues is one cause of organisational silence (which I wrote about last week), and ultimately causes the destruction of psychological safety.

Dogged inaction is what happened to the Department of Immigration and Multicultural Affairs around the immigration detention of Cornelia Rau which lead to the 2005 Palmer Report. Rau, an Australian citizen, was illegally detained for ten months. Due to her mental illness her citizenship was not ascertained for all

While a lack of psychological safety means a team is missing out on the opportunity to take risks and innovate (as I pointed out last week), when the lack of psychological safety  becomes rampant, a much bigger risk develops. That risk is the deafening silence that descends on the organisation because no one will speak up. A situation termed organisational or employee silence.

I wrote about this phenomenon a couple of months ago when I reflected on my time at HIH Insurance and the need to sometim

There are more avenues to helping a leader realise they need to change to create psychological safety than I shared in my blog last week. While showing them what was happening is a good start, you also need to make sure they understand what they can have if they make changes. That is, answer the question “What’s In It For Me?” (WIIFM).

A good way to do that is to contrast what is happening now with the type of changes you are suggesting and the favourable outcomes they can expect. Here are three

Last week I wrote about Kate and her experience of “psychological warfare” which is a culture where psychological safety does not exist. Upon reflection, Kate realised that while she created psychological safety for her team she did not create it for herself. So when she spoke up, her boss and others on the executive felt threatened and reacted with an array of avoiding, delaying and blame-shifting strategies.

Kate and I spoke about how she could have done things differently. In hindsight, she re

I expect the term psychological warfare interests you because you are wondering which kind I would be writing about. Would it be about China, the US Election or state border restrictions in Australia? None of those. It’s about needing to operate in a culture where psychological safety is not just lacking, it’s non-existent.

I don’t know if you have noticed, but I have been blogging about measurement, data, and statistics for the past 19 weeks. All to defeat quantifornication – the act of pulling numbers out of thin air for decision making. Numbers that are seemingly reliable but are not.

This week, Tuesday 10th November at 15:00hrs AEDT, I am presenting with my colleague Dr Andrew Pratley. Our presentation is Statistics 101 Applied to Controls – How to test and measure control resilience. Our presentation is part of

People mostly don’t like to be restrained. We also don’t like some constraints but we like others. For example, we like choice when buying but we don’t like too many choices.

Restraints on the other hand are an attack on our freedom.

Take seat belts for example. They were first invented the century before last! The modern retractable 3-point seat belt was invented in the 1950s. However, seat belt wearing was not compulsory and it took government legislation, regulation and enforcement to get more

When COVID-19 began rampaging across the U.S., every business — no matter the sector or industry — had to examine and/or rethink its strategy. In short, the pandemic highlighted the value of preparing for the unexpected through risk analysis and management. Risk analysis is the strategic process of assessing the likelihood of an adverse event and working to minimize future negative unforeseen effects.

While risk analysis may not be able to avert natural disasters or preclude catastrophic events,

Senior leaders love to be challenged, when you prove them right!

Unfair? Yes. There are plenty of great leaders who truly want their staff to speak up. However, even some of these may suffer from measurement blindness.

When it comes to numbers and decision making there are three positions people take.

Believers

These people believe measurement enhances decisions. They will ask for measurement and readily listen to the numbers being presented, they will look to see if there are any abnormalities and

COVID-19 has been a global issue that has impacted many households across the world. It’s important that everyone tries to be safe during this testing time and does their bit to prevent the spread of the virus. In particular, businesses have been heavily knocked by the virus and have had to adapt to new ways of servicing their customers, applying strict measures to protect their staff and customers.

The fashion industry is no different and needs to respond efficiently in order to continue their o

Dear Global Risk Community member,

When it comes to managing the customer relationship, a powerful strategy is needed to effectively deal many different situations in order to retain business and improve customer loyalty.

One such situation is handling an over-limit transaction case. When this happens, many bank’s strategy is to blanket decline any over-limit transaction at the point of sale, even if their customer has a history of good payment behavior. This blanket treatment is often a poor