1.1 Review organisational processes, procedures and
requirements for undertaking risk management
Your overall risk management system prepares organisations for potential
risks to their business. It encourages an organisation to review organisational
processes and procedures in such risk areas as:
f Commercial relationships – risks can be caused due to the financial
strength of your commercial partners and potential legal issues between
your organisation and the other.
f Economic circumstances and scenarios – while you can study economic
indicators and read opinion from economists a risk is always posed by
uncertain economic circumstances. While some experts predicted the global
financial crisis it caught many businesses unawares.