Behavioural Risk

Risk management traditionally focuses on formal structures. However, process compliance, checks and surveillance, and setting up systems does not guarantee effective risk management while human behaviour is complex and not always rational.

We help you uncover the risks of behaviour and make risk management more forward looking. We analyze deep-rooted causes of current behavioural patterns. Consequently, we support the desired behaviour with interventions, such as gamification and nudging.

Characteristic of our approach is that we view risk management through a behavioural lens. For behavioural change to be sustainable it is essential to understand deep-rooted causes of behaviour and intervene accordingly. That’s how we prevent the desired behaviour from ‘bouncing back’ to old, ingrained patterns and how we develop lasting grip on risk.

What we can help with

Behavioural change and Nudging Behavioural Insights Scan Behavioural Risk Assessment Process Behavioural Risk Audit Behavioural Risk Review Board Effectiveness Scan Root Cause Analysis

Behavioural change and Nudging

In a design thinking process we develop interventions, based on the principles of nudging or gamification, to create sustainable behavioural change.

Nudges are subtle triggers that influence behaviour, often outside of people’s awareness. Nudges can be digital or non-digital. We often used them because they usually cost little and have a relatively large impact on behaviour.

Gamification is the implementation of gaming elements in daily life. Gamifications can be digital or non-digital. It is a proven method that can be implemented in daily work and activities and it motivates to practice new behavior.

Nudging and gamification stimulate creativity and boost positive energy when designing solutions to various strategic questions, such as:

Increasing the vitality of employees
Stimulate knowledge transfer and collaboration
Improve commercial performance
Improve effectivity of (compliance) processes

Behavioural Insights Scan

Mapping the improvement potential of specific processes or themes (for instance ofAML or KYC processes) based on scientific behavioural insights.

With a Behavioural Insights Scan, we use behavioural insights to identify opportunities for process optimization. We often start with an in-depth session with various stakeholders to draw up hypotheses for process optimization. Subsequently, we test these hypotheses with interviews, shadowing employees and looking at their employee journey. We also fill out the Core Engagement Loop. This model helps to identify behavioural challenges in a particular process. Moreover, it maps the dependencies of different stakeholders within a process.

Result:

Insight into behaviour (and its drivers) that can hinder process efficiency and effectiveness
Evidence based recommendations for process optimization

Behavioural Risk Assessment Process

A structured approach to assess behavioural risk within an organisation.

When developing a Behavioural Risk Assessment Process, we help organisations with a structured approach to assessing behavioural risks using available and behavioural data. We align with existing risk management approach within the organisation, and add to this from a behavioural risk perspective.

Result:

Selection of high-risk areas and processes that need attention
Improved data analysis and dashboards

Behavioural Risk Audit

We work with Internal Audit functions to design and develop a sound approach to audit culture (behavioiural risk), including practical tools using behavioural science.

The audit approach focuses on revealing those behavioural patterns and drivers that impair the effectiveness of procceses and controls, or that may lead to future issues.

In addition, we offer an online training modules for auditors to practice in a safe environment how to audit behavioural risk and enhance their skills.

Result:

A sound approach to audit behavioural risk, including practical tools
Trained auditors who feel comfortable in auditing behavioural risk

Behavioural Risk Review

Exploratory research to identify risky behavioural patterns and their drivers.

In a Behavioural Risk Review we identify behavioural patterns and corresponding drivers that could lead to future issues. We do this, by means of confidential individual and group conversations, an online survey, observations, and desk research. In this in-depth analysis, we link behavioural patterns to risks. We do this using behavioural science.

Result:

Insight into behaviour (and its drivers) which could lead to organisational risks.
Evidence-based recommendations to stimulate desired behaviour and its drivers in order to mitigate risk

Board Effectiveness Scan

Evaluating the effectiveness of board or executive committee with specific attention to behavioural patterns and drivers.

In a board Effectiveness scan we evaluate the effectiveness of a board, with a special focus on behaviour. The aim is to visualise the current behavioural patterns and drivers that can be addressed to increase the board’s effectiveness.

Result:

Insight into existing behavioural patterns and drivers
Explanation of the risks of these behavioural patternsand drivers for the board’s effectiveness
Recommendations for increasing the board’s effectiveness from a behavioural point of view

Root Cause Analysis

Analysing the root causes of an incident or other situation based on scientific behavioural insights.

Which behavioural root causes– in a particular situation or during a specific period – have led to an incident or other undesired outcome? That’s the question we answer in a Root Cause Analysis. We go beyond observable behavioural patterns and analyse drivers of behaviours below the surface.