Risk Management ISO/IEC 31000 Standard

ISO Standard for Effective Management of Risk - ISO/IEC 31000, provides principles, framework and a process for managing any form of risk in a transparent, systematic and credible manner within any scope or context. The standard recommends that organizations develop, implement and continuously improve a risk management framework as an integral component of their management system. ISO/IEC 31000 purpose is to help organizations:

• Increase the likelihood of achieving objectives
• Encourage proactive management
• Be aware of the need to identify and treat risk throughout the organization
• Improve the identification of opportunities and threats
• Comply with relevant legal and regulatory requirements and international norms
• Improve financial reporting
• Improve governance
• Improve stakeholder confidence and trust
• Establish a reliable basis for decision making and planning
• Improve controls
• Effectively allocate and use resources for risk treatment
• Improve operational effectiveness and efficiency
• Enhance health and safety performance, as well as environmental protection
• Improve loss prevention and incident management
• Minimize losses
• Improve organizational learning
• Improve organizational resilience

ISO 31000 can be applied to any public, private or community enterprise, association, group or individual.