Enterprise Risk Management
“Our understanding of the nature of risk, the art and science of choice, lies at the core of our modern economy. Every choice we make in the pursuit of objectives has its risks. From day-today operational decisions to the fundamental trade-offs in the boardroom, dealing with risk in these choices is a part of decision-making. As we seek to optimize a range of possible outcomes, decisions are rarely binary, with a right and wrong answer. That’s why enterprise risk management may be called both an art and a science. And when risk is considered in the formulation of an organization’s strategy and business objectives, enterprise risk management helps to optimize outcomes.” COSO, 2017
Facilitation of Risk Workshops
Development of your ERM Policies and Procedures, Frameworks, etc and assessing their adequacy
Development of Risk Appetite statement and computation of risk appetite thresholds
ERM maturity assessments
ERM functional effectiveness reviews
Annual ERM review and issuing of a written assessment of the effectiveness of ERM as recommended by King IV
Benchmarking of ERM function
Fraud Risk Management
Despite the serious risk that fraud presents to business, many organisations still do not have formalised systems and procedures in place to prevent, detect and respond to fraud appropriately. While no system is completely fool proof, there are steps which can be taken to deter fraud and make it much less attractive to commit.
The Committee of Sponsoring Organizations of the Treadway Commission (COSO) revised the framework in 2013 to include 17 principles and principle 8 states that “The organization considers the potential for fraud in assessing risks to the achievement of objectives.”
Anti-Bribery and Corruption awareness training
Developing a fraud risk management program
Establishing Fraud Governance processes and procedures
Facilitating a fraud risk assessment workshop
Developing a Three-Year Strategic Rolling fraud risk management plan and an annual fraud risk management plan
Analysis of fraud hotline reports and dissemination of information
Corporate Governance Reviews (Including King IV)
Good corporate governance challenges organisations to acknowledge that they don’t operate in a vacuum, but is an integral part of society and therefore has accountability towards current and future stakeholders.
Board and sub-committee assessments.
Development and annual reviews of board and sub-committee charters or terms of references.
Developing delegation of authority framework and aligning to terms of references of board and sub-committees and best practice.
Training to board and sub-committees on topical corporate governance matters.
Combined Assurance/ Integrated Assurance
In increasingly complex organizations, where there are multiple players that are involved in providing different levels of assurance, how can we prevent management from being overwhelmed by information and reports and succumbing to “assurance fatigue”?
Combined assurance can definitely assist by integrating and aligning assurance processes so that senior management and those charged with governance can obtain a comprehensive and holistic view on effectiveness of their organization’s governance, risks, and controls to enable them to set priorities and take any necessary actions.
How we can assist:
Development of the Combined Assurance/ Integrated Assurance Framework
Combined Assurance/ Integrated Assurance Plan and Implementation
Establishment of Combined Assurance Forum
Reporting of Combined Assurance activities
Written Assessment on the Effectiveness of Combined Assurance
King IV came into effect on 1 April 2016 and has been structured as a framework that can be applied more easily across listed and unlisted companies, profit and non-profits as well as private and public entities. With the introduction of an ‘apply and explain’ regime rather than the ‘apply or explain’ regime in King III, King IV™ requires organisations to be transparent in the application of their corporate governance practices.
“The overarching objective of King IV™ is to make corporate governance more accessible and relevant to a wider range of organisations, and to be the catalyst for a shift from a compliance-based mindset to one that sees corporate governance as a lever for value creation” Prof Mervyn King
At MASA we are able to assist organisations on their King IV journey through a number of ways including the following:
End to end King IV gap analysis and recommendations
Development of a King IV Roadmap
King IV Training
Other Risk Advisory Services
Regulatory Compliance Assurance