Risk management might seem like an exclusive process, a self-sustaining piece to add to an existing business, akin to a new division or product brand. It is not. Risk management does not occur in a vacuum; it is integrated into your organization, business, or project. For that reason, it is important to understand how it relates to every segment of the business, the objectives it is trying to serve, and the scope of the activity.

This process must always show positive value to the business—in terms of operational flow, productivity, and financial return. Even in a compliance context, where risk management is mandated, it should still seek to add business value. Risk must add value to the activity and value to the business and become an invisible (but mighty!) supportive arm. It should never become a burden.

The challenge in risk management is achieving a balance—striking the right level of integration with the business. You will know when you achieve that balance, because the process will become indispensable to each part of the business to which it is connected. Ultimately, a well-run risk management process can become a critical function for running the business on a day-to-day basis.