HM Government
Overview: In successful organisations, risk management enhances strategic planning and prioritisation, assists in achieving objectives and strengthens the ability to be agile to respond to the challenges faced. If we are serious about meeting objectives successfully, improving service delivery and achieving value for money, risk management must be an essential and integral part of planning and decision-making. While risk practices have improved over time
across government, the volatility, complexity and ambiguity of our operating environment has increased, as have demands for greater transparency and accountability for managing the impact of risks. This updated guidance builds on the previous Orange Book to help improve risk management further and to embed this as a routine part of how we operate.
Public sector organisations cannot be risk averse and be successful. Risk is inherent in everything we do to deliver high-quality services. Effective and meaningful risk management in government remains as important as ever in taking a balanced view to managing opportunity and risk. It must be an integral part of informed decision-making; from policy or project inception through implementation to the everyday delivery of public services. At its most effective, risk management is as much about evaluating the uncertainties and implications within options as it is about managing impacts once choices are made. It is about being realistic in the assessment of the risks to projects and programmes and in the consideration of the effectiveness of the actions taken to manage these risks.
