1、28/03/2022INDEPENDEN T P U B L I C AT I O N BY#0797R AC O N T EU R.NE TBUSINESS RISKTHE BENEFITS OF A BOTTOM-UP APPROACH DO YOU NEED A CHIEF WORRY OFFICER?0603THE RISKS OF INACTION ON NET-ZERO GOALS12Realize the transformative power of dataSee us on page 11R A C O N T E U R.N E T03R A C O N T E U R.

2、N E T03/business-risk-2022he traditional approach to risk management puts managers and the senior leadership team in the driving seat,charging them with predict-ing,identifying,avoiding and con-taining risks.But could a bottom-up mindset prevent more issues from occurring in the first place?Many com

3、panies are increasingly offering all their employees a greater degree of training and responsibili-ty for risk management.Progeny,an independent financial planning and asset management company,has adopted this approach.Chief risk officer Charlotte Willis believes risk management and reporting is eve

4、ry-ones responsibility,a way of work-ing that can lead to the quick and effective implementation of actions and problem-solving.“As staff have invested time and energy into helping shape strategies and action plans,their engagement and accountability is almost always assured from the outset,compared

5、 with a top-down only approach,”Willis says.Each business area within Progeny has initial responsibility for identi-fying and quantifying risks using a risk management framework.How-ever,significant work has been undertaken with team heads to help them understand how their deci-sions affect the whol

6、e company,as well as their own specific areas.Along with heads of departments,they can escalate new or emerging risks to a risk and audit committee,which itself works with the CRO,senior leadership team and execu-tive board to prioritise these risks.When teams accept and agree responsibility it also