What Is A Risk Averse Culture
What is a risk averse culture, described by behaviour rather than by definition?
Decisions drift upward. A manager who could reasonably decide something sends it to their director, who sends it to a committee, and each step adds delay without adding judgement.
Approval layers accumulate. Each one was added after an incident, none was ever removed, and together they make routine work slow.
People stop proposing things. Not because proposals are refused, but because the effort of getting one through outweighs the benefit.
The tell is the language. Nobody says no. They say it needs more work, or we should wait until after the review.
Fixing it starts with writing down who can accept what, at which level, so that a decision has an owner attached to it rather than a queue.
ASIC publishes governance guidance. This is general information rather than legal advice, and obligations vary by state and territory.
See Sentrient’s GRC system and policy management software.
Building A Risk-Aware Culture: The 6 Behaviours That Define It
Quick Answer: A risk-aware culture is one where people at every level notice risk, say something about it, and are answered. It is culture working as a control for every other risk you carry. It is not the same as a risk-averse culture, which avoids risk rather than understanding it, and it is not the […]
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