ISO 31000 Risk Management System Certification – Principles & Guidelines
The ISO 31000 risk management system has been developed in order to help organisations identify and minimize risk. It includes coordinated activities to direct and control an organization with regard to risk. It also involves a methodical application of management policies, procedures and practices to the activities of communicating, consulting, establishing the context, and identifying, analysing, evaluating, treating, monitoring and reviewing risk.
This certification is a standard in business operation for risk management. Your certificate to ISO 31000 from Sustainable Certification™ will demonstrate to your stakeholders that you are serious about risk management in your organisation.
Eleven principles are identified that can be assessed and verified to demonstrate an organization’s compliance. Together, they form the foundation for an effective risk management practice:
- Principle 1: Risk management creates and protects value
- Principle 2: Risk management is an integral part of the organizational procedure
- Principle 3: Risk management is part of decision making
- Principle 4: Risk management explicitly addresses uncertainty
- Principle 5: Risk management is systematic, structured and timely
- Principle 6: Risk management is based on the best available information
- Principle 7: Risk management is tailored
- Principle 8: Risk management takes human and cultural factors into account
- Principle 9: Risk management is transparent and inclusive
- Principle 10: Risk management is dynamic, iterative and responsive to change
- Principle 11: Risk management facilitates continual improvement and enhancement of the organization
Verification requires second party audits or verification and independent review.
Because you’re conscientious you take a proactive approach in your business practices. You understand that risk is inherent in business. But it can be minimised. ISO (International Organisation for Standardisation) has compiled ISO 31000:2018 Risk management – Guidelines, to provide principles, frameworks and a process for managing risk.
ISO 31000 can be used by any organisation regardless of its size, activity or sector. Using ISO 31000 can help organisations increase the likelihood of achieving objectives, improve the identification of opportunities and threats and effectively allocate and use resources for risk treatment.
There are five basic risk management principles – risk identification, risk analysis, risk control, risk financing and claims management. They can be applied to most any situation or problem. Utilisation and implementation of ISO 31000 risk management will help to understand these principles and mitigate problematic outcomes.
Risk management is an increasingly important business driver as stakeholders have become much more concerned about risk. Risk may be a driver of strategic decisions, it may be a cause of uncertainty in the organisation, or it may simply be embedded in the activities of the organisation. An enterprise wide approach to risk management enables an organisation to consider the potential impact of all types of risks on all processes, activities, stakeholders, products and services. Implementing a comprehensive approach will result in an organisation benefiting from what is often referred to as the ‘upside of risk’.
This is where AS NZS ISO 31000 (guidelines as practiced in Australia and New Zealand) can prove invaluable. Those who specialise in these areas have brought their knowledge to bear in the compilation of ISO 31000 certification and have provided tools for assessment for business risk.
It just makes perfect sense to utilise this special ISO risk management information. Consumption of ISO 31000:2018 should be mandatory reading for all those serious about maintaining an enterprise in its peak condition.
We review your existing management systems in relation to requirements of the relevant standards for certification.
Stage 1 Audit
A review of your management system(s) documentation is undertaken as the first step in the certification process.
The Certification Audit is conducted on site to verify that you have implemented the management system across your organisation.
Years 2 & 3: Certification Maintenance
We will conduct an annual Surveillance Audit to check the ongoing implementation of management systems across your organisation.
Benefits of a risk management certification
With the ISO 31000 standard, you can
Standardizes the risk assessment methodology of an organization throughout their business operations.
Develops a consistent approach to risk management for all stakeholders
Assists in identifying risk assessment and treatment options
Reduces level of errors via improved accuracy of risk data by application of the nominated principles