In an increasingly volatile, uncertain, complex, and ambiguous (VUCA) financial landscape, robust Enterprise Risk Management (ERM) Frameworks for SACCOs are no longer a luxury but a fundamental necessity for safeguarding member assets, ensuring operational continuity, and achieving strategic objectives. Unlike traditional siloed risk approaches, ERM provides a holistic, integrated view of all significant risks across the entire Savings and Credit Cooperative Organization – from credit and market risks to operational, compliance, strategic, and reputational risks. By systematically identifying, assessing, mitigating, monitoring, and reporting on these diverse risks, a comprehensive ERM framework enables SACCOs to make informed, risk-aware decisions, optimize capital allocation, enhance resilience against unforeseen shocks, and seize opportunities more effectively. This proactive and integrated approach helps SACCOs protect their members' interests, maintain regulatory compliance, and build a strong, trustworthy reputation in the market. Without adopting and diligently implementing Enterprise Risk Management Frameworks for SACCOs, these vital institutions risk unforeseen financial losses, regulatory penalties, erosion of member confidence, and ultimately, a compromised ability to fulfill their mission, underscoring the vital need for specialized expertise in this critical domain.

Duration: 5 Days

Target Audience

• SACCO Board Members
• Risk Managers and Analysts
• Senior Management (CEO, General Manager, Departmental Heads)
• Internal Auditors
• Compliance Officers
• Strategic Planners
• Finance Managers
• Business Unit Heads
• Supervisory Committee Members
• Aspiring Risk Professionals in the Cooperative Sector

Objectives

• Understand the fundamental concepts and principles of Enterprise Risk Management (ERM).
• Learn about leading ERM frameworks (e.g., COSO ERM) and their application to SACCOs.
• Acquire skills in identifying, assessing, and prioritizing various types of risks faced by SACCOs.
• Comprehend techniques for developing and implementing risk response strategies.
• Explore strategies for integrating ERM into strategic planning and decision-making.
• Understand the importance of risk culture, governance, and communication in ERM.
• Gain insights into risk monitoring, reporting, and continuous improvement.
• Develop a practical understanding of building a resilient and risk-aware SACCO.

Course Content

Module 1: Introduction to Enterprise Risk Management (ERM)

• Defining ERM and its evolution in financial institutions.
• The benefits of an integrated ERM approach for SACCOs.
• Key components of an ERM framework.
• Distinguishing ERM from traditional, siloed risk management.
• The strategic value of ERM: protecting value and enabling growth.

Module 2: Understanding ERM Frameworks (e.g., COSO ERM)

• Deep dive into the COSO Enterprise Risk Management — Integrating with Strategy and Performance framework.
• Key principles of COSO ERM: governance & culture, strategy & objective-setting, performance, review & revision, information & communication.
• Adapting global ERM frameworks to the specific context of SACCOs.
• Other relevant ERM standards and guidelines.
• Practical examples of framework application.

Module 3: Risk Identification and Assessment

• Techniques for comprehensive risk identification: brainstorming, checklists, process mapping, interviews.
• Categorizing risks relevant to SACCOs: credit, market, liquidity, operational, compliance, strategic, reputational, cyber, climate.
• Quantitative and qualitative risk assessment methodologies: likelihood and impact.
• Developing a risk register and prioritizing key risks.
• Risk workshops and cross-functional participation.

Module 4: Risk Response and Mitigation Strategies

• Options for risk response: avoid, accept, reduce, share.
• Developing effective risk mitigation plans and controls.
• Designing control activities for various risk types.
• The role of internal controls within the broader ERM framework.
• Cost-benefit analysis of risk mitigation efforts.

Module 5: Integrating ERM into Strategy and Decision-Making

• Aligning risk appetite with the SACCO's strategic objectives.
• Incorporating risk considerations into the strategic planning process.
• Using ERM insights to inform business decisions (e.g., product development, market expansion).
• Risk-adjusted performance measurement.
• The role of the board and senior management in setting risk appetite.

Module 6: Risk Governance, Culture, and Communication

• Establishing a robust ERM governance structure (board, risk committee, management, risk function).
• Defining roles, responsibilities, and accountability for risk management.
• Building a strong risk culture throughout the SACCO.
• Effective communication of risk information to various stakeholders.
• Training and awareness programs for ERM.

Module 7: Risk Monitoring, Reporting, and Continuous Improvement

• Developing key risk indicators (KRIs) and early warning systems.
• Establishing a continuous risk monitoring process.
• Designing effective risk reports and dashboards for different levels of management and the board.
• Reviewing and revising the ERM framework periodically.
• Learning from risk events and near misses.

Module 8: Implementing and Sustaining an ERM Framework in a SACCO

• Practical steps for implementing an ERM framework.
• Overcoming common implementation challenges (e.g., resistance, data availability).
• Leveraging technology to support ERM processes.
• Measuring the effectiveness and value of the ERM framework.
• Fostering a continuous improvement mindset in risk management.

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 10 working days before commencement of the training.