Operational Risk Management - CPS 230
The Australian Prudential Regulation Authority (APRA) has released a guide that covers the new standard on Operational Risk Management - CPS 230. The standard came into force this month.
Although APRA’s standards are intended for companies operating in the Australian financial market, we think the standard and guide provide very good advice for most organisations that are concerned about their operational resilience.
The standard addresses the following:
The assessment and management of a wide range of operational risks, including legal, regulatory, compliance, conduct, technology, data and change management risks.
Business continuity and how organisations should identify time critical business activities and estimate their tolerance for having them unavailable. Importantly, the business continuity plan should document the recovery procedures and workarounds if any supporting resources (people, facilities and IT systems) become unavailable because of a disruption.
Development of a policy for dealing with material service providers. This policy should cover how to identify, manage and monitor the service providers that have a significant impact on the organisation’s operations. They should also evaluate the risks posed by these service providers, sign formal contracts with them, track their performance and carefully manage any major changes in their arrangements.
Managing outsourced IT services
We find that many organisations have outsourced large parts of their IT infrastructure to service providers and as a result they have often yielded management and control to others.
This makes it challenging for the CIO to ensure that the recoverability of IT systems meet the needs of the business. Some Software as a Service vendors will not warrant a Recovery Time Objective. Often, the outsourced system (and its data) only exists at one location, making it a single point of failure.
It is critical that business management identifies the time critical activities and their tolerance to disruption. These requirements should be communicated to IT management, so that the critical IT systems have the necessary resilience to support the business during disruptions.
CPS 230 outlines an excellent approach to achieve that!
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Paul considered how we should think about the risks and opportunities sustainability presents to the financial sector, before looking at how regulators globally are responding to those risks.
Terry presented WGC’s findings on climate change, tracking gold’s carbon footprint through the supply chain, and considered how reducing this footprint can benefit the mining and investment industries.
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Information Security News | Trusted Impact
Trusted Impact is a leading security consultancy focused entirely on helping clients achieve their business objectives in the field of information security.
Their latest newsletter covers topics such as GDPR, City of Atlanta's ransomeware attack, Yahoo's million dollar fine and the Pageup data breach. Click here to download the newsletter, or here to view past newsletters and to subscribe.
Organizational risks that you should definitely be acting on | Continuity Central
It is easy for organizations to feel overwhelmed by the number and scale of the risks that are faced; but often the perception of the potential harm engendered by various risks is exaggerated. In this article Chris Butler lists the real risks that every organization needs to consider.
Did you know the world’s most dangerous animal is not a shark, or a bear, but is in fact a mosquito? What’s certain is that human perception of risk is notoriously flawed; often, the events that concern and outrage us the most are the least likely to happen.
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