Principles of Risk Management

Professionals in risk management follow the principles described by The International Organization for Standardization (http://www.iso.org/). The world's largest developer and publisher of International Standards for Business, Government and Society, the ISO is a network of of 162 countries (one member per country) with a Central Secretariat in Geneva, Switzerland, that coordinates the system.

ISO is a non-governmental organization that forms a bridge between the public and private sectors. On the one hand, many of its member institutes are part of the governmental structure of their countries, or are mandated by their government. On the other hand, other members have their roots uniquely in the private sector, having been set up by national partnerships of industry associations.

Therefore, ISO enables a consensus to be reached on solutions that meet both the requirements of business and the broader needs of society by recommending that organizational leaders: 

• be an integral part of organizational processes

• be tailored

• be part of decision making

• create value

• explicitly address uncertainty

• be capable of continual improvement and enhancement

• be systematic and structured

• be based on the best available information

• take into account human factors

• be transparent and inclusive

• be dynamic, iterative and responsive to change

 

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