What is ISO 31000?
ISO 31000 is an international risk management standard that includes a set of principles, a risk management framework, and a risk management process to assist businesses in taking a proactive approach to the risks they face. ISO 31000 assists businesses in developing, implementing, and continually improving a framework for integrating Risk Management strategies into entire organisational processes, including decision-making. Identifying circumstances, detecting risk-associated hazards, assessing and determining the risk, controlling evaluated risks, and reviewing the impact of the risks are all processes in the Risk Management process.
If you want to provide yourself with thorough rules that will assist your organisation better its decision-making process and overall management, this international standard is critical. ISO 31000 is designed to make the process of controlling complex situations that necessitate critical judgments toward a structured approach to risk identification and assessment easier.
ISO 31000: Standards History and Updates
On November 13, 2009, the first ISO 31000 standard was issued. Its original goal was to give risk management principles and broad recommendations, with the goal of establishing a consistent approach to risk management processes in support of standards dealing with specific hazards (without replacing those standards). The 2009 edition of ISO 31000, on the other hand, did not attempt to promote risk management standardisation across enterprises.
In February 2018, an upgraded version of ISO 31000 was released, replacing ISO 31000:2009.
The updated standard provides a clearer, quicker, and more concise guide to assist businesses in making better decisions. It emphasises the importance of risk management integration inside the organisation, as well as leadership's role and responsibilities. ISO 31000:2018 is written in a more straightforward manner, making it more accessible to all stakeholders.
Definition of Risk
Risk is defined in ISO 31000:2018 as the "impact of uncertainty on objectives." It focuses on any variation (good, negative, or both) from expected results that can lead to opportunities or threats. "Coordinated efforts to guide and control organisation with reference to risk" is how Risk Management is defined.
Risk Management, on a broader scale, is defined as the development of a coordinated and cost-effective use of resources to decrease, monitor, and regulate the likelihood and impact of unfavourable events. Risk management is critical for businesses because it enables them to take the required actions to remain resilient and design a plan of action and strategies to avoid or mitigate the effects of risks.
Why ISO 31000 Risk Management is important for you?
ISO 31000 will assist you in identifying potential risks that could jeopardise the achievement of critical objectives; it will also assist you in determining which risks are necessary to take in order to achieve primary objectives before they have an impact on the business, while effectively controlling all other risks.
Furthermore, obtaining ISO 31000 certification demonstrates that you have received the necessary professional training, allowing you to improve your risk management and risk identification abilities. Nonetheless, assisting you in the formulation and proper implementation of plans and solutions to improve and protect the organization's needs. Attending our training classes will benefit you because it will increase your marketability to companies, as professional qualifications are now required.
What is ISO 31000 Certification?
Individuals who complete this training course will be able to comprehend basic ideas in risk management as well as the importance and benefits that this standard can provide. Individuals who are interested in learning about the procedures and methods of risk management should attend.
Being ISO 31000 certified means you're safeguarding your company against threats that could jeopardise operational efficiency, governance, and stakeholder trust. The ISO 31000 training course will assist you in identifying opportunities, threats, and risks. By building a risk-based system of values, it will assist your firm in strengthening and achieving its strategic objectives.
Benefits of ISO 31000 Risk Management
Implementing ISO 31000 increases your organization's operational efficiency, governance, and stakeholder confidence while reducing losses and improving risk analysis and risk assessment capabilities. It aids in the integration of risk-based decision-making into your company's culture.
Furthermore, incorporating the ISO 31000 framework into a company ensures that management is consistent and successful across all aspects of the business, including IT, HR, compliance, quality, health and safety, business continuity, and so on.
It's worth noting that the ISO 31000 guidelines are relevant to every organization's activity and can be tailored to each organization's needs.
IQSB Certified ISO 31000 individuals involved in risk management process of an organization will enable the organization to:
- Gain a competitive edge — better risk management will help you meet your goals and objectives.
- Risk management can help you save money.
- Effectively respond to change and develop viable answers
- Value creation and protection
- Increase your chances of attaining your goals.
- Recognize possibilities and risks in a productive manner.
- Throughout the organisation, identify and minimise risk.
- Gain the confidence and trust of your stakeholders.
- Establish a dependable foundation for decision-making and planning.