Date : 26 September 2024
Timing : 9:00 - 16:30 (10:30 - 15 min break / 12:15 -13:15 - lunch break / 14:45 - 15 min break)
CPE Points : 7
Deadline to register : 13 September 2024
Instructor: James C Paterson
Introducing Behavioural Risk Into Audit Assignments
Many people are talking about culture, but fewer are really assessing this in a surgical way. Looking at behavioural risk is a way of ‘going beyond’ a general discussion about culture and risk culture in a way that better reveals risks of direct relevance to key business objectives.
Who should attend?
Heads of internal audit, audit managers, senior auditors
What will I learn?
Upon completion you will be able to:
- understand what behavioural risk is - and how it can impact the way key business risks are managed
- case studies that illustrate behavioural risk in practice
- the psychological and systemic drivers that create behavioural risk and what to do to manage their impact
- Know when and how to incorporate a behavioural risk component into;
- The audit plan each year and
- Assignment plans, so that insights from psychology can tell us where to probe things in detail
- See the connection between effective root cause analysis and culture and behavioural risk so these apparently separate ingredients are seen to be part of a package.
Elements of behavioural risk including – Thinking Fast and Thinking slow (Kahneman), Self-justification Wilful Blindness, Group dynamics, the impact of pressure/stress
Case studies including Columbia, Air Asia, Deepwater Horizon, Financial crisis, Barings
Understanding cultural safety factors – including learning from high reliability organisations – learning culture(s), just culture
Understanding what you will gain if you add a behavioural element to audit planning and assignment planning
Knowing how to add a behavioural risk component into an audit assignment and how it will add insight and value
CPE competency areas covered
- Performance (Organisational governance | Risk management | Internal control
- Environment (Organisational strategic planning and management)
- Leadership and communication (Communication)