SCRS Conference Day 1 Session #3
Staying Ahead: Risk Assessment, Compliance & Audit
By Iftikhar Baig, Consultant EDLAB
Risk assessment is an essential part of our lives and we do it unconsciously everyday. “From teaching kids how to cross the roads to riding a bike, we constantly engage in activities that involve certain levels of risk. The reason behind this is to ensure our safety by being aware of the potential risks involved. The important part is understanding and assessing risks effectively is vital for the progress of individuals, society as a whole”, Mr. Iftikhar Baig explained. It serves as a reminder that risk is an inherent part of life, and by assessing and managing it, we can strive to create a safer environment for ourselves and those around us.
Risk Assessment is Critical for Compliance
With ever-evolving regulations and increased scrutiny from stakeholders, having a robust risk assessment, compliance, and audit strategy is no longer optional – it’s a necessity. Risk assessment is the process of identifying, analyzing, and evaluating potential risks that may impact the achievement of organizational objectives.
Effective risk assessment helps organizations ensure that their products, services and processes meet regulatory requirements and industry standards, while also minimizing the risk of liability and reputational damage. By proactively managing risks, organizations can improve their overall performance and maintain a competitive edge in the marketplace. He continued to share the key principles of risk assessment which is based on the principles of risk analysis and risk management, involving a continuous cycle of planning, execution, evaluation and improvement.
Importance of Audit in Risk Assessment
Audit plays a crucial role in risk assessment for organizations of all types and sizes. It provides an objective evaluation of internal controls, processes, and systems to identify potential risks and vulnerabilities. By conducting regular audits, companies can proactively identify areas of concern and implement necessary measures to mitigate risks.
Moreover, audits help in ensuring compliance with laws, regulations, and industry standards, thus safeguarding the organization’s reputation. Audits also provide valuable insights into operational effectiveness and efficiency, enabling management to make informed decisions and improve overall performance. Ultimately, the importance of audit in risk assessment lies in its ability to enhance transparency, accountability, and trust within an organization.
Best Practices for Risk Assessment, Compliance & Audit
When it comes to risk assessment, compliance, and audit, there are several best practices that organizations should follow to ensure effectiveness and alignment with business goals. Iftikhar highlighted some best practices for businesses and the industry.
- Establishing clear policies and procedures
- Conducting regular risk assessments
- Implementing effective controls
- Monitoring and reviewing performance regularly
- Ensuring employees are properly trained and aware of their roles and responsibilities
- Fostering a culture of quality and continuous improvement
- Engaging in open and transparent communication with regulators and other stakeholders
“If you don’t invest in risk management, it doesn’t matter what business you are in, it’s a risky business.” Gary Cohn
Risk assessment is not about eliminating risk entirely, rather it is about understanding and managing them effectively. It empowers us to make better choices, minimize the impact of adversity and maximize the opportunity for growth and success.
Iftikhar concluded with an impactful message, “By embracing risk assessment as an integral part of our decision-making process, we can create a more resilient and prosperous future for ourselves and the future generation. Let us commit ourselves to fostering a culture of risk assessment in our daily lives, businesses, and societies, where thought analysis and informed decision making and proactive risk management become a norm for us. In my opinion, together we can navigate the challenges of our times and seize opportunities and build a better world for all.”
About the Speaker
Mr. Iftikhar Baig Consultant, Ed Labs
With over 25 years of experience in management system design, development, and auditing experience in global business operations, Mr. Iftikhar Baig is a qualified and certified Quality, Environment, Health & Safety, Social Accountability, Asset Management, Energy Management, Business Continuity, Risk Management, and Supply Chain Security lead auditor with over twenty-five years in the field management system consultancy and auditing. As a Senior Manager in Certification and Technical Head of PricewaterhouseCoopers’ Compliance Services Pty Limited – Australia. Mr. Iftikhar Baig specializes in business management system integration and management system development for accredited certification bodies.
Watch other SCRS Conference 2023 Keynotes and panel discussions here: Session Replays