Risk
management has become essential for the real-time management
and control of core business processes and the IT environment
that supports these. Risk management is also about minimising
‘Business Risk’ – the risk that operational
processes and underlying technology are delivering below
average performance and hence not optimising shareholder
value.
It is no longer ‘good practice’
to implement effective risk management. It is now legislation
for many companies after the much publicised events
at Enron, Worldcom and more recently at Parmelat. The
Sarbanes-Oxley act in the US followed as a consequence,
and CEOs and CFOs will be required to certify periodic
financial reports and the effectiveness of internal
controls.
Karvela goes further than enabling excellence
in Finance and Logistics Supply Chains. We will ensure
that Finance and Logistics processes and systems are
embedded with an optimal framework of controls and are
meeting business objectives.
Karvela Risk Management brings clarity
and understanding of your finance and logistics processes,
their inter-dependencies and data requirements. We use
flowcharting techniques to create ‘living documents’
that map out the processes, providing visibility to
how the processes are actually run, what controls are
in operation and how the system functionality is being
used. We can then:
•
Challenge the ‘status quo’ and drive
out improvements to processes and the way the existing
systems are being used
• Assess the effectiveness, efficiency and
adequacy of the system and process controls in place
• Recommend additional controls where appropriate,
including procedures for more effective management
of risks
• Our deliverables are ‘living’.
These means that they can be used as a basis for
continuous monitoring of controls and benefits realisation.