Risk appetite and risk tolerance

R2,012.00 R1,842.00
R2,012.00 R1,842.00


Today’s business environment is rapidly evolving. There is intense pressure to respond to strategic, cultural, technological, environmental and market changes. A well-devised risk appetite framework provides a way for your company to link strategy and risk management, strengthening risk culture and enhancing performance in these turbulent times.

This course teaches you how to navigate the complex and critical area of risk appetite management and how to develop a risk appetite framework that clarifies your company’s position on risk taking. Learn how to construct risk appetite and risk tolerance statements, which will guide your company’s decisions aligning risks to strategic and business objectives.

These statements help protect organizations against solely pursuing single, narrow goals without considering potential consequences as they pursue rewards for an “appropriate” level of risk. What is appropriate and acceptable for one organization may be unacceptable to another.

Course Objectives

In this class you will learn how to identify key metrics that can be used to build risk appetite and risk tolerance statements. Course participants will walk away with the ability to:

  1. Navigate the dynamic universe of risk appetite criteria using a proven set of common methods
  2. Determine the differences and correlations of the terms risk appetite, risk tolerance, targets and thresholds
  3. Develop approaches for overcoming obstacles
  4. Explore tools for your own risk context
  5. Construct a risk appetite and risk tolerance framework


  1. Cultivate a risk appetite management mindset
  2. Risk terms and correlations
  3. Risk appetite framework, strategy, and accountability
  4. Navigate risk appetite criteria using common methods
  5. Examples to articulate and measure risk appetite
  6. Measures of enterprise value
  7. Five step risk appetite framework construction
  8. Risk appetite management strategic value communication
  9. Facilitate strategic decision-making employing risk appetite management


Participants engage in activities and interactions designed to reinforce course concepts. Examples of exercises include:

  1. Learn how to cultivate a risk appetite management mindset by establishing a baseline scenario to build upon throughout the course
  2. Use RAM vocabulary to communicate your current professional business risk context story
  3. Link strategy to risks by applying knowledge of the link between organization strategy and correlated risks executing it
  4. Draft an action plan listing items for attention and development upon return to office

Course Features

  • Lectures 15
  • Quizzes 0
  • Duration 10 weeks
  • Skill level All levels
  • Language English
  • Students 37
  • Certificate Yes
  • Assessments Yes
Open chat
Hello 👋
Can we help you? Please send a whatsapp for quick responses