No Result
View All Result
SUBSCRIBE | NO FEES, NO PAYWALLS
MANAGE MY SUBSCRIPTION
NEWSLETTER
Corporate Compliance Insights
  • Home
  • About
    • About CCI
    • CCI Magazine
    • Writing for CCI
    • Career Connection
    • NEW: CCI Press – Book Publishing
    • Advertise With Us
  • Explore Topics
    • See All Articles
    • Compliance
    • Ethics
    • Risk
    • FCPA
    • Governance
    • Fraud
    • Internal Audit
    • HR Compliance
    • Cybersecurity
    • Data Privacy
    • Financial Services
    • Well-Being at Work
    • Leadership and Career
    • Opinion
  • Vendor News
  • Library
    • Download Whitepapers & Reports
    • Download eBooks
    • New: Living Your Best Compliance Life by Mary Shirley
    • New: Ethics and Compliance for Humans by Adam Balfour
    • 2021: Raise Your Game, Not Your Voice by Lentini-Walker & Tschida
    • CCI Press & Compliance Bookshelf
  • Podcasts
    • Great Women in Compliance
    • Unless: The Podcast (Hemma Lomax)
  • Research
  • Webinars
  • Events
  • Subscribe
Jump to a Section
  • At the Office
    • Ethics
    • HR Compliance
    • Leadership & Career
    • Well-Being at Work
  • Compliance & Risk
    • Compliance
    • FCPA
    • Fraud
    • Risk
  • Finserv & Audit
    • Financial Services
    • Internal Audit
  • Governance
    • ESG
    • Getting Governance Right
  • Infosec
    • Cybersecurity
    • Data Privacy
  • Opinion
    • Adam Balfour
    • Jim DeLoach
    • Mary Shirley
    • Yan Tougas
No Result
View All Result
Corporate Compliance Insights
Home GRC Vendor News

Managing Risk from the “Front Line” Correlates to Higher Revenue and Profit Growth, Says PwC

by Corporate Compliance Insights
April 12, 2017
in GRC Vendor News
Managing Risk from the “Front Line” Correlates to Higher Revenue and Profit Growth, Says PwC

Sixth annual PwC report highlights growing risk areas, vulnerabilities and a mandate to share risk ownership

New York (April 12, 2017) – Almost 10 years after the 2008 financial crisis, risk management is evolving, shifting away from a purely protective mindset. In the old paradigm, risk was managed traditionally by the “second line” of defense in an organization. However, a new study from PwC US, “Risk in review: Managing risk from the front line,” finds leading companies are increasingly moving risk management decisions squarely in the purview of “first-line” business units. Companies doing this most effectively (“Front Liners”) are more likely to project higher revenues and profit growth. Yet this innovative group is in the minority: out of more than 1,500 executives across 30 industries surveyed, only 13 percent qualify as Front Liners.

Additionally, the report underscores an alarming paradox: although cybersecurity is identified as a universal growing risk, only 9 percent of respondents score highly on cyber risk maturity, suggesting many have not adopted leading practices to prepare them for online threats.

“The key to growth isn’t in avoiding risk; Front Liners make risk management a mandate for the board, the C-suite and perhaps most importantly, among crucial business unit decision-makers,” said Dean Simone, leader of PwC’s U.S. Risk Assurance practice. “This year’s survey tells us that leaders must make risk management a more collaborative, measurable and strategic function. We also see great alignment on the biggest growing risk factors, such as cybersecurity, but a lack of maturity in terms of preparing for and planning around the biggest risks facing executives today.”

According to PwC’s new survey, Front Liners are more likely than other respondents to effectively manage across all 12 surveyed risk areas: financial, regulatory and compliance, earnings and volatility,  operational, reputational, strategic, environmental, cybersecurity, technology, human capital, third-party and culture and incentives. For example, among companies that have suffered a disruption due to operational risk, 63 percent of Front Liners reported recovering effectively versus 46 percent of other respondents.

The survey outlines five “Front Line” steps companies should consider taking to build a collaborative, effective risk management approach:

  1. Set a strong organizational tone focused on risk culture modeled and measured by leadership and the board.
  2. Align risk management with strategy at the point of decision-making so risk management is embedded into planning and tactical execution.
  3. Recalibrate the risk management program across all three lines of defense so that the first line owns business risk decision-making, the second line monitors the first, and the third line provides objective oversight.
  4. Implement a clearly defined risk appetite and framework across the organization.
  5. Develop risk reporting. Tracking risk is critical to keeping business decisions within the agreed risk appetite.

“The key to effective risk management is active engagement, placing responsibility for the various building blocks of an effective risk management program – strategic alignment, expertise, processes, assurance – with the line of defense that is best prepared to execute them,” added Jason Pett, U.S. Internal Audit, Compliance & Risk Management Solutions Leader at PwC. “Clarifying the function of each line of defense and collaborating closely between the lines also helps promote a free and welcomed flow of perspectives and ideas.”

To download a full copy of the report, along with additional related content, please visit: http://www.pwc.com/riskinreview

Click here to view PwC’s video “Managing risk from the front line: Why this can be key to greater risk resiliency and growth.”

About PwC’s Risk Assurance practice

PwC understands that significant risk is rarely confined to discrete areas within an organization. Rather, most significant risks have a wide-ranging impact across the organization. As a result, PwC’s Risk Assurance practice has developed a holistic approach to risk that helps to protect business, facilitate strategic decision-making and enhance efficiency. This approach is complemented by the extensive risk and controls technical knowledge and sector-specific experience of its Risk Assurance professionals. The end result is a risk solution tailored to the unique needs of the organization.

About PwC

At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 157 countries with more than 223,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.

PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details.


Previous Post

Rethinking Risk to Achieve Efficient Growth

Next Post

SWIFT Announces New Payment Controls Service to Bolster Customers’ Fraud and Cybercrime Controls

Corporate Compliance Insights

Corporate Compliance Insights

Corporate Compliance Insights

Related Posts

slippery slope ice mountain

The Slippery Slope & Your Culture of Integrity

by Mary Shirley
June 23, 2025

Small transgressions and unanswered questions create pathways to major misconduct — and compliance teams need strategies beyond punishment

low battery on iphone warning

Ethics Fatigue: The Burnout That’s Putting Your Organization at Risk

by Nick Gallo
June 20, 2025

The psychology behind why ethics professionals are exhausted and what companies risk when they let it go unchecked

news roundup new

Few Business Leaders Feel Fully Prepared for Challenges of 2025

by Staff and Wire Reports
June 20, 2025

Data center operators not using full slate of available sustainability tactics; companies continue to use AI without policies

SmartSearch Daon Partnership

SmartSearch Partners With Daon for Enhanced ID Verification

by Corporate Compliance Insights
June 19, 2025

UK digital compliance provider SmartSearch has partnered with digital identity company Daon to integrate AI-powered biometric identity technology into its...

Next Post
SWIFT Announces New Payment Controls Service to Bolster Customers’ Fraud and Cybercrime Controls

SWIFT Announces New Payment Controls Service to Bolster Customers’ Fraud and Cybercrime Controls

No Result
View All Result

Privacy Policy | AI Policy

Founded in 2010, CCI is the web’s premier global independent news source for compliance, ethics, risk and information security. 

Got a news tip? Get in touch. Want a weekly round-up in your inbox? Sign up for free. No subscription fees, no paywalls. 

Follow Us

Browse Topics:

  • CCI Press
  • Compliance
  • Compliance Podcasts
  • Cybersecurity
  • Data Privacy
  • eBooks Published by CCI
  • Ethics
  • FCPA
  • Featured
  • Financial Services
  • Fraud
  • Governance
  • GRC Vendor News
  • HR Compliance
  • Internal Audit
  • Leadership and Career
  • On Demand Webinars
  • Opinion
  • Research
  • Resource Library
  • Risk
  • Uncategorized
  • Videos
  • Webinars
  • Well-Being
  • Whitepapers

© 2025 Corporate Compliance Insights

Welcome to CCI. This site uses cookies. Please click OK to accept. Privacy Policy
Cookie settingsACCEPT
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT
No Result
View All Result
  • Home
  • About
    • About CCI
    • CCI Magazine
    • Writing for CCI
    • Career Connection
    • NEW: CCI Press – Book Publishing
    • Advertise With Us
  • Explore Topics
    • See All Articles
    • Compliance
    • Ethics
    • Risk
    • FCPA
    • Governance
    • Fraud
    • Internal Audit
    • HR Compliance
    • Cybersecurity
    • Data Privacy
    • Financial Services
    • Well-Being at Work
    • Leadership and Career
    • Opinion
  • Vendor News
  • Library
    • Download Whitepapers & Reports
    • Download eBooks
    • New: Living Your Best Compliance Life by Mary Shirley
    • New: Ethics and Compliance for Humans by Adam Balfour
    • 2021: Raise Your Game, Not Your Voice by Lentini-Walker & Tschida
    • CCI Press & Compliance Bookshelf
  • Podcasts
    • Great Women in Compliance
    • Unless: The Podcast (Hemma Lomax)
  • Research
  • Webinars
  • Events
  • Subscribe

© 2025 Corporate Compliance Insights