Van Haren Group
M_o_R® 4 (Management of Risk) Creating and Protecting Value
Management of Risk (M_o_R®) is designed to help organizations establish an effective framework for risk management, enabling them to make informed decisions about the risks that affect
their objectives. M_o_R® 4 Principles, Perspectives, People and Processes work together to provide this integrated framework to support any organization that wants to make better ‘risk-
informed’ decisions in the context of a “VUCA”-world (Volatile, Uncertain, Complex and Ambiguous). In short: M_o_R® 4 helps to be aware and prepared for the unexpected.
All decisions within organizations are made in the context of risk. When faced with alternative options to achieve objectives, decision-makers need to find ways of considering what is known, what is yet uncertain and how it would impact objectives should the uncertainty (risk) become a reality. This applies to all M_o_R® perspectives: Strategic, Portfolio, Programme, Project, Product, and Operational.
M_o_R provides practical guidance for managing risk, showing how risk links to opportunity and the realization of benefits/ value. ‘M_o_R® 4 Creating and Protecting Value’ is universally applicable and aligned to ISO standards. It is principle- and process-based which makes it adaptable, practical and pragmatic (a best practice).
M_o_R® 4 addresses the challenges of working in an Agile way, providing clear guidance on how to effectively integrate risk management with Agile practices at all levels of an organization. Helping teams and individuals to use risk to enhance enterpriseagility and resilience. In short, understanding risk as an opportunity as well as a threat and how this enables business success (when managed effectively).
M_o_R® 4 is principle- and process-based which makes it adap- table, practical and pragmatic (a best practice). The principles are:
• Align with objectives
• Fits the context
• Engages Stakeholders
• Provides Clear Guidance
• Informs Decision-Making
• Facilitates continual improvement
• Creates a supportive Culture
• Achieves measurable Value
There are four scenarios in the guidance to add practical examples and bring it to life. The M_o_R® 4 process cycle is designed to ensure that the activities for effective application are defined, the relationships between processes are clear and the Techniques and supporting Documents are understood. M_o_R® 4 is more transparent and includes Adapt and Review making sure continuous improvement is part of the Process Cycle. M_o_R® 4 defines eight processes:
• Define Context and Objectives
• Identify Risks
• Prioritize Risks
• Assess combined risk profile
• Plan Responses
• Agree contingency
• Monitor and Report progress
• Review and Adapt
A new addition to M_o_R® 4 is a chapter on ‘People’ which shows how implementing a positive risk culture provides people (within an organization) with the skills to manage risk. Topics include:
• Developing a supportive risk culture;
• Engaging stakeholders;
• Building individual competence;
• Working with decision bias.
Risk Management is only successful when People considerations are included, Risk Management relies on People.
MoR 4 applies risk management across six different perspectives enabling decision-makers at Strategic, Portfolio, Programme,
Project, Product and Operational levels to work together to create and protect organizational value.
• PM professionals (project/ programme manager, portfolio manager, PMO manager, head of PMO, PMO support, portfolio analyst)
• Risk professionals (senior risk manager, corporate risk manager, IT risk manager, risk manager, risk analyst, assistant risk manager)
• ‘Everyday’ or ‘informal’ risk managers (business change manager, management consultant, business analyst, service designer, IT/process architect, product owner/ manager, delivery manager, HR professional, operations manager
Scope and constraints
M_o_R® 4 is universally applicable and aligned to ISO standards. The Guide is designed to help those involved in the management of risk to understand how to make it add value at different levels in the organization by ensuring better decisions are made about strategic direction, operational efficiency, and investments in change.