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Top Insights for the
World's Leading Executives

Risk & Audit

The continuous change and increased speed in today's work environment have made it harder than ever for executives across the organization to deliver the results they need.

In particular, audit executives are faced with an ever-changing auditable risk universe that makes it challenging to deliver reliable assurance and ensure that risks are well controlled. And risk management executives are faced with a staggering number of employees making material decisions that are frequently misaligned with the organization's preferred risk appetite.

Audit Through Organizational Change


Audit functions and their traditional approaches to assurance have struggled to respond to the evolving pace and nature of change, which continues to disrupt the risk universe and make business processes a moving target.


Audit should not only adapt its own processes to be more agile in times of change but also help the business proactively identify and respond to change-induced vulnerabilities in the risk and control environment.


By focusing audit resources on the most vulnerable areas of the control environment and focusing the business to remediate the most critical control weaknesses, Audit can reduce declines in risk management effectiveness and accelerate control owners’ adaption to change.

Align Decision Making with Risk Appetite


Almost one-third of material decisions in the business are made outside the senior leadership team’s risk appetite.


Making risk appetite guidance consistent with other messages is the most effective way to make it easy to use—and most affects decision alignment.


Adopting this approach will help ERM teams move risk appetite from a theoretical or paper exercise to a valuable tool for driving more consistent decisions in the business, and it will save the company from the waste and loss associated with undue risk taking.