{"id":5482,"date":"2023-05-02T13:00:51","date_gmt":"2023-05-02T13:00:51","guid":{"rendered":"https:\/\/staging3.zealousys.com\/goatrisk\/?p=5482"},"modified":"2023-05-02T13:01:57","modified_gmt":"2023-05-02T13:01:57","slug":"moving-beyond-excel-the-urgent-need-for-better-risk-management-tools","status":"publish","type":"post","link":"https:\/\/staging3.zealousys.com\/goatrisk\/moving-beyond-excel-the-urgent-need-for-better-risk-management-tools\/","title":{"rendered":"\u200bMoving beyond Excel: the urgent need for better risk management tools"},"content":{"rendered":"

While Excel may be easy and free, it is no longer sufficient to manage the complex and ever-changing risks faced by organisations today. Danny Wong, an enterprise risk management thought leader, explores the alternatives.<\/h4>\n

\"\"<\/p>\n

The prevalence of spreadsheets for risk management<\/strong><\/h2>\n

It\u2019s no secret that Microsoft Excel remains the default tool for risk management in the corporate world.<\/p>\n

While the limitations of spreadsheets are well-known, their flexibility, ease of use, and cost-effectiveness make them the tool of choice among risk professionals and non-risk experts alike.<\/p>\n

However, in today\u2019s rapidly changing business landscape, relying on Excel alone may no longer be enough to manage the growing risks faced by companies.<\/p>\n

The growing concerns of business leaders and boards<\/strong><\/h2>\n

The post-pandemic landscape has made it clear that businesses need to be bolder in their approach to managing risk.<\/p>\n

With supply chains disrupted, geopolitical uncertainties, inflation, and interest rates fluctuating, businesses are exposed to greater risks than ever before.<\/p>\n

In this context, if we reflect on our risk management maturity and the true value being derived from our risk registers, it can leave many of us feeling exposed. There is growing urgency to act before it\u2019s too late.<\/p>\n

The challenges of improving risk management<\/strong><\/h2>\n

The need to improve risk management is undeniable, but the question of how to do it remains challenging.<\/p>\n

The answer lies in influencing people, their behaviours, and ultimately, their decision-making. There is a need for more accountability, with regular reminders to senior stakeholders to engage with risks, and to follow through with actions to completion.<\/p>\n

Merely identifying and documenting risks is not enough.<\/p>\n

It is essential to have a structured approach and disciplined process that includes training and facilitation. This helps to ensure the right risks are being identified, and that we are having quality discussions around them.<\/p>\n

\n
\u201cThere is a need for more accountability, with regular reminders to senior stakeholders to engage with risks\u201d<\/div>\n<\/blockquote>\n

Furthermore, risk management is not the sole responsibility of a particular team or individual, but rather a shared responsibility.<\/p>\n

Training and facilitation efforts, therefore, need to permeate throughout an entire organisation so that everyone is equipped to manage risk effectively.<\/p>\n

Finally, when it comes to making informed decisions, data plays a critical role, yet it is often missing from risk registers. As such, organisations must ensure that they have a system in place to gather and analyse relevant information.<\/p>\n

In summary, there is an urgent need for a solution that can effectively:<\/p>\n