Education / Course Details

Risk Appetite: Statements and Frameworks  

Are you a risk manager seeking to sharpen your expertise and improve your organisation’s risk management practices?

About this course

The Risk Management Institute of Australia (RMIA) presents a vital training course by The Protecht Group, designed to advance your skills in defining, implementing, and managing risk appetite statements and frameworks.

Course specifics

Audience: Risk managers and risk analysts, CFOs and finance directors, compliance officers and internal auditors 

Cost: $770.00 (members), $924.00 (non-members)

Facilitator: The Protecht Group

Format: On-Demand

Time: 3 hours of video content

CPD Points: 5

Course Facilitator:
The Protecht Group

Course details

Join our course on risk appetite statements and frameworks with The Protecht Group, brought to you by the RMIA. This hands-on training will help you understand and craft clear risk appetite statements, design robust frameworks, and embed these practices into your organisation’s strategy. Whether you're a risk manager, CFO, or compliance officer, you’ll gain practical skills to enhance decision-making and align risk management with your strategic goals. Don’t miss out on this opportunity to boost your expertise and drive better risk management practices in your organisation. 

Key topics covered:

1. The uses and value of risk appetite

  • Freedom to operate

  • Escalation and reporting

  • Decision-making

  • Assurance

2. What risk appetite is and what it means

  • The concept of risk appetite

  • Appetite, tolerance, capacity

3. Risk appetite framework

  • Risk appetite and ISO 31000

  • Risk appetite as part of your ERM framework

  • The relationship between risk and reward

4. Determining risks to set appetite for

  • Linking to risk taxonomy

  • How granular? 

5. Articulating risk appetite

  • Qualitative, quantitative and semi quantitative

  • Appetite for inherent and/or residual risk

  • The various ways risk can be measured and appetite articulated

  • A suggested framework for articulation

  • Qualitative

  • Quantitative – risk tolerances

  • Semi quantitative – risk matrix

  • Prohibition statements 

6. Appetite articulation and appetite evaluation zones

  • Qualitative appetite zones

  • Escalation zone

7. Setting appetite and tolerance for outcomes and risks

  • Setting appetite for outcomes

  • Setting appetite for risks

  • Setting boundary thresholds

  • Visualising risk appetite and tolerances

8. Using the likelihood and impact matrix

  • Limitations of the risk matrix for risk appetite

  • Modifications needed to reflect risk appetite 

9. Setting risk tolerances for financial and non-financial risks

  • Practically setting risk appetite

  • The principles of setting risk appetite

  • Setting risk appetite for financial risks

  • Examples of financial risk categories and measures

  • Setting risk appetite for operational risks

  • Setting risk appetite for strategic risks

10. The risk appetite statement

  • Content and Format – A blueprint RAS

11. Operationalising the risk appetite

  • Cascading through the business

  • Artefacts to use: policies, delegations etc. 

12. Risk reporting using the risk appetite

  • Purpose of risk appetite reporting

  • Examples of reporting against risk appetite 

13. Responsibilities for risk appetite

  • Roles, responsibilities and ownership

  • Who uses risk appetite 

14. When risk appetite is revised

  • Dynamic risk appetite

  • Integration into strategic planning

  • Reviewing tolerance levels

Learning outcomes:

  • Develop and Articulate Risk Appetite Statements: Gain the skills to create clear, actionable risk appetite statements that reflect your organisation’s strategic goals and guide decision-making processes effectively.

  • Design and Implement Comprehensive Risk Management Frameworks:

    Learn to build and integrate robust risk management frameworks that support the effective application of risk appetite statements, ensuring alignment with organisational strategies and operational practices.

  • Apply Practical Tools for Ongoing Risk Management:

    Acquire practical techniques for embedding and monitoring risk appetite in your organisation, including methods for adjusting frameworks to adapt to evolving risk landscapes and organisational changes.