Page 211 - SBL Integrated Workbook STUDENT 2018

Managing, monitoring and mitigating risk

Risk monitoring

4.1 Risk auditing

 Risk audit is a systematic way of understanding the risks that an organisation
faces.

 Unlike financial auditing, risk audit is not a mandatory requirement for all
organisations but, in some highly regulated industries, a form of ongoing risk
assessment and audit is compulsory in most governance jurisdictions.

 Some organisations employ internal specialists to carry out risk auditing, others
utilise external consultants to perform the work.

4.2 Stages of a risk audit

Process for carrying out
internal risk audit

Identify risks and Assess risk by
construct risk applying the
register probability/impact
assessment

Report on Review controls
inadequately over risk which
controlled risks involves TARA

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