If you are a manager in an organization, especially one that faces a complex, dynamic environment, you should be interested in learning how the principles of the High Reliability Organization (HRO) can help you. Your aim should be to develop an organization that moves continuously toward greater reliability of critical outcomes, using every failure as an opportunity for improvement. … Continue reading
A recent article by A-J Secrist of Parker Poe Adams & Bernstein examines the relationship between risk management and compliance. Some analysts distinguish between these two things, with risk management more a strategic concern and compliance an operational one driven by regulatory oversight. Others might go in the opposite direction and confuse a compliance program with performing risk management.
There is no doubt that there is a distinction between risk management and compliance, simply because the functions may be performed by different people within an organization, and at different levels. However, as Secrist points out, “In essence, noncompliance is a type of risk.”
Compliance is a key element of a comprehensive risk management plan. … Continue reading