The role of the organization’s leadership in risk management according to norm ISO 31000:2018

Abstract

The main aim of the article is to determine the role of leadership in risk management in the organization in accordance with the ISO 31000:2018. An additional goal of the article is to make an attempt to identify the risk factors occurring in business activities and to create management styles that take into account their existence. The study shows that some various factors of a political, economic and social nature might be the source of risk. These factors create both opportunities and threats for the organization. It turns out that the normative approach to risk means the existence of two levels of supervision in risk management. There is a structural supervision implemented in relation to the organization’s policy and strategy. There is also a task supervision, carried out in particular in relation to the level of operational activity. The research shows that according to the ISO 31000:2018 standard, management, regardless of the type of supervision exercised, is an element of the risk management framework and the principles of risk management are the basis of management’s operations. The provision of resources and documenting risk management are the most important management tasks related to risk management.