How well do organizations understand the risks that get in the way of their success? While the answers will vary, even organizations that have performed an enterprise risk assessment may not recognize the importance of a risk culture that will allow them to that will help the organization respond well to the myriad of risks and opportunities. A healthy risk culture is one where everyone from senior leadership to the most junior employee can adeptly identify those risks and are empowered to talk about them on a regular and ongoing basis.

Now more than ever, organizations are responsible for establishing a strong risk culture by discovering new ways to assess and effectively manage the evolving risk landscape. As a leader, do you feel that you’ve identified your organization’s top risks and is that message clear to your workforce? The following questions are helpful for board members and senior leaders to ask when assessing their risk culture:

  • Do we have a risk management program?
  • Have we identified the top risks to the organization?
  • Are these risks being assessed continuously and promptly (not just once a year)?
  • How is risk management monitored and tested?
  • Do we have a general counsel’s office?
  • Are we effectively taking the feedback we receive through audits and regulatory reviews and using it to enhance our programs?