When a heat map is used in workshops to assess the risks by individual managers, the discussions can be enhanced for they can see how risks in one part of the organisation impacts another part of the organisation. The resulting heat map can also be used to communicate the risk assessment to senior management, audit committees and boards of directors. The heat map also enables a business conversation on mitigation alternatives.
The information in this CGMA tool was adapted from Risk Assessment For Mid-sized Companies: Tools for Developing a Tailored Approach to Risk Management, Copyright © 2011 by American Institute of Certified Public Accountants, Inc.
For a CGMA''s perspective on using a heat map, read Scott McKay''s blog post on the topic. community.cgma.org/.../communicating-risks-using-a-heat-map.aspx
Upon my initial visit to this site after just receiving positive notification of CGMA designation, I wish to express my appreciation to all who have successfully labored to bring this important professional mark to fruition in a world seeking clarity, rationality, sustainability, soundness and compassion. Thank you.