Management of Risk

M_o_R

M_o_R® (Management of Risk) is part of the Best Practice Guidance portfolio published by the Cabinet Office.

 

M_o_R considers risk from different perspectives within an organization: strategic, programme, project and operational. While it links to other cabinet Office Best Practice, it respects the roles, responsibilities and terminologies used outside the disciplines of programme and project management.

 

The M_o_R framework is based on four core concepts of:

 

  • M_o_R Principles - These are essential for the development of good risk management practice. They are all derived from corporate governance principles in the recognition that risk management is a subset of an organizations internal controls

  • M_o_R Approach - The principles need to be adapted and adopted to suit each individual organization. Accordingly, an organizations approach to the principles needs to be agreed and defined within a Risk Management Policy, Process Guide and Strategies, and supported by the use of Risk Registers and Issue Logs

  • M_o_R Processes - There are four main process steps, which describe the inputs, outputs and activities involved in ensuring that risks are identified, assessed and controlled

  • Embedding and Reviewing M_o_R - Having put in place the principles, approach and processes, an organization needs to ensure that they are consistently applied across the organization and that their application undergoes continual improvement in order for them to be effective.

 

 

Benefits for Individuals

 

  • Gain the confidence and ability to influence and shape risk management across an organization.

  • Encourage openness and discuss real business issues in a realistic manner to meet business objectives, improve service delivery and achieve value for money.

  • Put an effective framework in place to make informed decisions about the risks that affect strategic, programme, project and operational objectives.

  • Understand the nature and extent of risks facing a company and reduce the incidence and impact on the business.

  • Continuously apply risk management to an organization and simplify the process of making information available when decisions need to be made.

 

Benefits for Organizations

 

  • Increase competitive advantage and become more risk aware by managing potential problems and opportunities.

  • Improve performance through waste and fraud reduction and more efficient use of resources.

  • Better manage contingent and maintenance activities and increase the likelihood of achieving change initiatives.

  • Bring together principles, an approach and a process with a set of interrelated steps and pointers to more detailed sources of advice on risk management techniques and specialisms in order to develop a route map for risk management.

  • Identify, assess and control risks to effectively manage them.

 

Foundation Level

 

The purpose of the foundation certification is to confirm that a candidate is able to demonstrate a knowledge and comprehension of the four elements of the M_o_R framework - Principles, Approach, Processes, Embedding and reviewing - and how they support corporate governance. The Foundation level is also a pre-requisite for the Practitioner qualification.

Exam Format

  • Multiple choice

  • 75 questions per paper

  • 5 questions to be trial and not counted in scores

  • 35 marks required to pass (out of 70 available) - 50%

  • 60 minutes duration

  • Closed book.

 

Practitioner Level

 

The purpose of the Practitioner level is to confirm whether the candidate has achieved sufficient understanding of how to apply and tailor M_o_R in a scenario situation.

 

Exam Format

  • Objective testing

  • 4 questions per paper, 20 marks available per question

  • 40 marks required to pass (out of 80 available) - 50%

  • Three hours duration

  • Candidates may make use of the Management of Risk: Guidance for Practitioners (the Management of Risk 'guide'), published by TSO, together with the APMG guidance document ABC Guide Part A Example Techniques. No material other than the Question Booklet, the Scenario Booklet, the Answer Booklet and the two guides is to be used.