ADDING RESILIENCE AND VALUE WITH APPROPRIATE RISK MANAGEMENT
Any project or programme, regardless of its scope, does not happen in isolation from its context. It has wider implications and results in an amount of change to that context, whether planned or otherwise.
The well-established ‘three lines of defence’ assurance model has evolved, recognising how governance and risk management practices have also evolved over recent years. While the underlying purpose of the model remains, some of the language now used (dropping the term ‘defence’ in itself implies something more proactive) reflects the more coherent, collaborative approach to assurance commonly being taken now across the functions of a progressive organisation.
The value that effective, appropriate and timely assurance can bring is increasingly being recognised. Not only in testing those structures and controls that managed activities up to a particular point in time, but looking ahead from that point – to provide a ‘forward leaning’ assessment of any risks to a successful outcome being achieved and the likelihood of success being achieved.
Success or failure of a project or programme is often determined in its early stages. An investment of time and effort at the start will be repaid many times over later in delivery. This is clearly evidenced by the success of using assurance ‘framing’ at inception or the earliest opportunity in the activity’s lifecycle, a collaborative approach that is being actively promoted across UK government through the Infrastructure and Projects Authority and within large, complex organisations.
Jul-Sep 2021 Issue
Grant Thornton UK LLP