Risk Management

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Effective risk management should keep trustees on course to meet their objectives, with a robust governance and operational structure and practices supporting their strategy. It enables trustees to understand what might disrupt or expedite their plans or affect the timeframes they have set themselves. Risk management may ultimately determine how successfully trustees achieve their objectives.

Trustee Risk Management Framework

Risk management is a key element of good governance. We can help you align your strategic direction of travel with governance and operational matters to ensure that strategic ambitions are met efficiently, painlessly and on time. We can articulate in a succinct framework your risk management processes, which help you actively assess risks in trustee decision‑making and gain assurance on the effectiveness of the controls in place to manage your risks in line with your risk appetite. We bring risk management to life in the context of what you are trying to achieve, so that:

  • you know you have the necessary resources, capacity, governance structure and support to do the work you need to do; and
  • you can prioritise your activities and support smooth BAU.

Risk Register Review

Risk management should be an integral part of decision making and working practices, part of trustee business. Processes should be as efficient as possible, so that it’s not seen as a chore. The risk register should be a tool that enables trustees to focus on the things that matter most to them and their members:

  • key risks
  • areas of control weakness
  • systemic issues
  • activities that will have the most impact on what you’re trying to achieve.

We review risks registers through both a strategic and operational lens to ensure that you are managing risks that are relevant to you, based on your specific circumstances. We want you to understand the controls in place and how effective they are in managing your risks in line with your agreed risk appetite. We want you to receive appropriate assurance that those controls are managing your risks and be able to ask the right questions of your service providers. We also want you to be well-informed so that you can make good decisions and prioritise work, through effective risk reporting. We can use your existing risk register, develop a new one or help you find and implement an online risk management system.

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Want to learn more about how our Risk Management offering could help?

Trustee Own Risk Assessment

The ORA is an assessment of the effectiveness of your system of governance – helping you determine that you have the right controls in place and that they are effective in managing your risks.

We set the ESOG and ORA in the context of your scheme’s overall risk profile and what the Trustee Board is seeking to achieve. The ESOG review and ORA reporting should have a clear purpose and add value to your scheme’s governance, providing a roadmap of actions. Ideally we will build on what is already in place within your scheme and rebadge what we can. We want to enable you to enhance your governance and leave you with a useful and efficient process for the future.

Contingency Planning

Risks are never truly mitigated but having contingency planning in place can help with reducing the impact of risks when they materialise. We can help you document a plan to help you navigate through situations such as when a key trustee leaves the Board or if the administrator is no longer able to pay pensioner payroll.

Risk Appetite

Some level of risk may be acceptable. We can help you consider and frame how much risk the trustee is willing to take.

Muse helped us review the Trustee’s approach to managing risk, introducing and documenting a new risk management framework, which set out the Scheme’s risk governance and processes, dovetailing with operational risk management practices. Rosanne worked with me to facilitate workshops for the Trustee Board to agree its strategic objectives, risk appetite and key risks. Together we developed a reporting dashboard for the board, showing risk trends, incident reporting, project risk tracking and horizon scanning of emerging risks. She also worked closely with the Operational Risk Manager to embed good risk management practices within the in-house Trustee Executive team. In parallel, Rosanne worked with the Trustee’s Governance Committee to embed a new internal audit work partner and agree the internal audit workplan. Rosanne brought insights and expertise into risk management practices with other large pension schemes and brought risk alive for our scheme so that we understood its value. The trust she built enabled us to tackle complex issues, whilst developing simple and effective solutions for the Trustee Board.
Head of Legal and Compliance of Trustee Executive Limited, National Grid - Trustee Executive Limited
Rosanne corbett

Rosanne Corbett

Principal
Julialand

Julia Land

Senior Adviser
Barrymack

Barry Mack

Director
Pamjit virdi

Pamjit Virdi

Consultant

Helping Trustees and Companies to better govern their pension schemes

Get in touch today to find out how we can help.

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