Strategic Performance and Risk Integration. The related article can be found on LinkedIn Pulse, at https://www.linkedin.com/pulse/strategic-performance-risk-integration-mihai-ionescu

1. Risk Action
Risk Management
Performance
Management
Strategic
Objective
KPI Measure #1 (Lag) Target
KPI Measure #2 (Lead) Target
Performance Goal
Red-Yellow Limit = X% of Target
Yellow-Green Limit = Y% of Target
KRI Measure #1 (probability)
KRI Measure #2 (consequence)
Risk Appetite
Red-Yellow Limit = X [1...25]
Yellow-Green Limit = Y [1…25]
25
1
Probability/Likelihood
(risk event) [1…5] = f (KRI #1)
Consequence/Impact
(risk event) [1…5] = f (KRI #2)
KPI #1 Status
KPI #2 Status
Risk Exposure (Status)
f (Risk A, Risk B exposures) Risk A Exposure
Risk B Exposure
Risk A (risk event)
Performance Status
f (KPI #1,KPI #2 statuses)
Strategic Initiatives
Performance Action
Risk Mitigation Initiatives © 2015 - Strategic System Consulting