Internal Governance

From Open Risk Manual


Internal Governance of a firm in the context of Risk Management is the formal (explicit, written, agreed) set of structures, communication lines, procedures, rules


The components of internal governance are

  • The organisational structure as defined e.g., in organizational charts
  • The lines of responsibility as defined in job descriptions
  • The risk management processes as specified in internal policies and rules
  • Internal Control mechanisms as established by Risk Management and Audit functions
  • Remuneration policies and in particular the incentives created by those

See Also

Contributors to this article

» Wiki admin