Assess your oganisation's risk culture
APRA's CPS 220, which became effective January 2015, requires that "the Board must ensure that... a sound risk management culture is established and maintained throughout the institution."
Moreover, the Prudential Practice Guide to the standard “requires a Board to ensure that they form a view of the risk culture in the institution, and the extent to which that culture supports the ability of the institution to operate consistently within its risk appetite.” It defines culture as more than just compliance with policies – APRA wants to see staff being “actively engaged” in a way that “supports transparency and openness”, and “encourages awareness [and] responsibility”.
To comply with this standard, it is essential that the Board has the information it needs to assess the organisation’s risk culture.
Shared Services has partnered with Smartt Synthesis to develop a survey that allows the board to independently assess the risk culture, and provide the information the management team needs to address any areas of concern.
Contact us for more information.