5
Core types
Strategic, operational, financial, compliance, and integrated risk cover most business scenarios.
Riskmanagementbasics
Plain-language primer on organisational risk.
Understand what risk means in business, why risk management matters for smaller organisations, and how to prepare for strategic, operational, financial, and compliance risks.
What is organisational risk?
Organisational risk is the possibility that events, decisions, or conditions prevent you from meeting objectives. Risk management aligns strategy, operations, compliance, and finance so you can identify, assess, and treat those threats before they escalate.
360°
View
A complete risk picture spans people, process, technology, and third parties.
24/7
Cadence
Risk awareness is continuous, not a once-a-year workshop.
WHY IT MATTERS
Why every organisation needs a risk management overview
Protects growth. Understanding organisational risk keeps strategy realistic and helps leadership avoid over-extension.
Improves decisions. Risk identification and assessment give teams context before launching products, partnerships, or investments.
Builds culture. A risk-aware culture means issues surface early, not after they become crises.
FRAMEWORK
Core elements of a risk management framework
- Identify Use workshops, data, and industry insights to map exposures across strategic, operational, financial, and compliance categories.
- Assess Rate likelihood and impact, and record inherent versus residual risk so leaders see what remains after controls.
- Respond & monitor Assign treatment plans, owners, and metrics. Keep a risk register and update governance packs frequently.
CADENCE
How to monitor risk and keep governance in sync
- Schedule reviews Hold monthly management risk meetings and quarterly board updates so oversight stays fresh.
- Update registers Log status, residual ratings, and commentary in a central register that links to controls and owners.
- Track indicators Define KRIs (key risk indicators), near-miss logs, and scenario tests to spot change early.
- Close the loop Align remediation tasks with RunSustainably or your workflow platform so actions finish on time.
Ways to build a risk-aware culture
Run starter workshops
Brief leadership teams on the five risk types and capture their top concerns.
Share a quick-start playbook
Document how to raise issues, update the register, and escalate to governance committees.
Tie risk to planning
Include risk heatmaps and mitigations in every strategic or budget review.
RISK MANAGEMENT GLOSSARY SNAPSHOT
Risk management glossary snapshot
Risk management framework. The policies, processes, and governance that outline how your organisation identifies, assesses, responds to, and monitors risk.
Risk register. A living record of risks, ratings, controls, owners, and treatment status.
Risk culture. Behaviours and incentives that encourage people to raise issues early and make informed choices.
FAQS
Risk management FAQs
What is risk in business?
It is the chance that events, decisions, or conditions prevent your organisation from meeting objectives or create unwanted outcomes.
Which risk types should we start with?
Cover strategic, operational, financial, compliance, and integrated risk to spot overlaps and interdependencies.
How often should we assess risk?
Perform at least quarterly assessments, updating more frequently if major changes or incidents occur.
Do smaller organisations need formal risk governance?
Yes—lightweight governance (owners, registers, review cadence) keeps you resilient and investor-ready.
Drova RunSafe links risk registers, controls, and approvals so teams stay aligned.
Ready to keep risk, owners, and actions visible?
GRC 101 HUB
Explore related topics
Compliance risk basics
See how regulatory exposure fits inside the broader risk framework.
Operational risk guide
Keep day-to-day processes resilient.
Financial risk explainer
Understand liquidity, market, and credit pressures.
Risk appetite overview
Translate strategy into clear risk limits.
Risk controls toolkit
Document preventive and detective activities.
Risk register template
Learn how to document, assign, and monitor risks.
