Understanding 6clicks risk domains

Each risk within 6clicks belongs to a risk domain - essentially a generic grouping of the risk.  These are set and defined by the 6clicks administration and content team and a not able to be changed without a support request. Further, to help with visual presentation and display on mobile devices, each risk domain has an associated colour designed to work with white text and for maximum contrast. The table below indicates the risk domains available in the system. Additions or changes will be considered only where there's an obvious omission. 

Risk domains

Risk Name & Description

Colour (#Hex)

Business Finance

Threats associated with the structures and processes of an organisation to ensure sound management of financial resources and its compliance with financial management policies, standards and regulations.

#134D9C

Change Management

Risk that the new/changed systems and procedures will not work and leave the company worse off than before.

#b45f06

Compliance

Risk of legal or regulatory sanctions, financial loss, or loss to reputation that a bank may suffer as a result of its failure to comply with all applicable laws, regulations, codes of conduct and standards of good practice.

#7f6000

Competition

The chance that competitive forces will prevent you from achieving a goal.

#8E762C

People

Threats associated with staff/management turnover; employment/work culture; recruitment, retention and staffing processes and practices; succession planning and talent management; and employee development, training and capacity building that can harm an organisation.

#8E2C85

Culture

Potential for a company's operations to struggle because of differences in language, customs, norms, and customer preferences.

#3c78d8

Cyber Security

Exposure to harm or loss resulting from breaches of or attacks on information systems.

#741b47

Data

Failures in the storage, use, transmission, management, and security of data.

#250D3B

Economic

Risk of financial and non-financial loss arising from macroeconomic conditions like exchange rates, government regulation, or political stability.

#980000

Education & Training

Risk that responsibilities, processes, and systems involved in providing quality education and training is not well executed.

#660000

Environmental

Risk of business activities causing actual or potential negative impact on air, land, water, ecosystems, and human health.

#bf9000

Fraud 

Risk of loss due to acts of a type intended to defraud, misappropriate property/assets and/or circumvent the law.

#1c4587

Conduct

Risk that firms' behaviours may result in poor outcomes for the consumer.

#f6b26b

Financial

Risk that a company will not be able to meet its obligations to pay back its debts and/or more generally have financial loss hampering cashflow.  

#1155cc

Geopolitical

Probability that an investment's profitability will suffer due to circumstances related to unexpected changes involving political revolutions, coups, elections, ethnic conflicts, disputes in the arena national or international policy, property rights, and a number of similar events.

#4c1130

Health & Safety

Hazards that can lead to the harm, injury, death, or illness of a worker in a determined workplace.

#f6b26b

Legal

Legal risks are the risk of financial or reputational loss that can result from lack of awareness or misunderstanding of, ambiguity in, or reckless indifference to, the way law and regulation apply to your business, its relationships, processes, products and services.

#cc0000

Market Forces 

The possibility of an investor experiencing losses due to factors that affect the overall performance of the financial markets.

#674ea7

Operational

Risk of loss resulting from inadequate or failed internal processes, people and systems, or from external events.

#274e13

Procurement

Failures of the procurement process designed to purchase services, products or resources.

#20124d

Project Management

Unexpected event that might affect the people, processes, technology, and resources involved in a project.

#3d85c6

Requirements Management

Potential for losses due to a project's requirements themselves or the requirements management process.

#0b5394

Resource Management

Threats and opportunities associated with the availability and level of resources of an organization to deliver on its mandate, as well as the organization's management of these resources.

#434343

Scope Management

Uncertain events or conditions that are related to the project scope.

#f1c232

Sales

Potential for sales failure - such incorrect pricing, poor leads, product knowledge, improper incentives, selling to inappropriate customers etc.

#5b0f00

Societal

Health consequences related to the population that may be affected by hazardous incidents.

#76a5af

Stakeholder Management

Uncertainty in stakeholder expectations.

#351c75

Strategic

Risk of failed business decisions, lack of responsiveness to changes and inappropriate strategy/plans.

#45818e

System Design & Development

Potential for a design and development to fail to satisfy the requirements.

#38761d

Technological

Technology risk, or information technology risk, is the potential for any technology failure to disrupt a business.

 

Unassigned

NA

 

Vendor Management

Potential that third-party vendors and suppliers relationships aren't functioning leading to business disruption or financial and reputational damage.

 

Privacy

Potential loss of control over an organization's protection of intellectual property and personal information.

 

Financial crimes

Potential of regulatory, reputational, or monetary act or attempt against financial services institutions, corporations, governments, or individuals by internal or external agents to steal, defraud, manipulate, or circumvent established rules. (includes AML, CTF, Sanction, bribery, corruption etc).

 

Product 

Failure to satisfy or fulfill some reasonable expectation (design, distribution, reporting etc.) of the customer, user, or stakeholder.

 

Licencing and registration

Chance of not meeting all licensing and registration requirements.

 

Credit 

Risk of default of an obligor to fully meet their commitments in a timely manner.

 

Concentration

Risk that arise when a number of counterparties are engaged in similar business activities or activities in the same geographic region or have similar economic features that would cause their ability to meet contractual obligations to be similarly affected by changes in economic, political or other conditions.

 

Process

Risk of ineffective processes that hamper the achievement of the objectives, or the processes that successfully achieve objectives, without consideration to high costs incurred.

 

Regulatory

Regulatory Risks are defined as the risk of having the 'licence to operate' withdrawn by a regulator, or having conditions applied (retrospectively or prospectively) that adversely impact the economic value of an enterprise.

 

Interest rate

Risk that arises due to mismatches in the resetting of interest rates of assets and liabilities.

 

Insurance

Insurance risk management is the assessment and quantification of the likelihood and financial impact of events that may occur in the customer's world that require settlement by the insurer.

 

Physical security

Security risk is the vulnerability associated to assets or group of physical assets to threats.

 

Liquidity 

Risk that maturing and en-cashable assets may not cover cash flow obligations (liabilities).