Risk Audits

*/By Rick Nason, PhD, CFA
Partner, RSD Solutions Inc./*

I have always maintained that auditing is not risk management and conversely
risk management is not auditing.  However, I do believe it makes sense to do
an audit of risk management.  By this I do not mean to do an audit to make
sure risk management processes are being followed – that would be
traditional auditing of business operations.  Instead do an audit of risk
procedures themselves.  Audit based on the question "Is this the right
risk procedure to do?"  That might make for a much more interesting audit.