Economic trends and disruptions make addressing risks an ongoing focus for organisations. In other words, when it comes to controls, the risk landscape constitutes a moving target, which means that addressing risk is never a one-off exercise. “You could describe the risk landscape as a swinging pendulum,” says Joris Bulens, Partner at Deloitte Belgium. “As such, we require a more pragmatic approach to risk management. Implementing a bold and positive Future of Controls (FoC) vision to make controls more effective and efficient, which at the same time provides added value, and therefore offers a clear win-win scenario.”
In business, nothing is without risk. To keep organisations risk-aware requires constant vigilance, while at the same time allowing them the space to pursue value creation. However, existing control frameworks are not always equipped to respond to the fluid landscape in which they are meant to operate. They are often rigid, reactive, and inefficient. While constant readiness may not necessarily be the answer, remaining inactive is certainly not a viable alternative either... “Deloitte has developed a strategic vision and pathway for Future of Controls (FoC), providing the opportunity to rethink what controls can and should be, both today and tomorrow.”
We live in a time of unprecedented uncertainty, driven by the confluence of new technologies, increased market and price volatility, ever-tightening regulation, as well as mergers and acquisitions. Consequently, organisations need to work on developing more agile and efficient internal controls.
Organisations want to design and implement controls that help them carry out their mission, creating added value for both the organisation, its employees, and wider society. This future of controls involves three key levers.