“The most important types of operational risk involve breakdowns in internal controls and corporate governance.” – Basel Committee.
The prime mandated requirement of boards and senior management in their corporate governance activities is the protection of shareholder value against risk. There is increasing recognition that effective risk management serves both to protect and enhance shareholder value and that corporate governance software is an essential part of this.
COSO, Turnbull and Sarbanes-Oxley are all frameworks that are designed to support corporate governance initiatives. They are based on the approach that performance of a corporation is improved when its management is focussed on well-defined issues and made accountable for their activities. Through systematically understanding and recording the objectives of business activity, the risks that could prevent these objectives from being reached and the controls that will provide mitigating actions, a coherent structure for risk management is established.
Optial & Governance
Optial reduces the administrative burden associated with governance and compliance frameworks with and, more importantly, provides the infrastructure to obtain real business value from their implementation.
- Objectives
- Risks
- Controls
- Checklists
These all Form part of the Optial solution, which also includes the option of using targets, success factors, Key Risk Indicators and other business measures. Since Optial can be configured without the need to change code, each organisation can choose which part of the framework are to be employed.