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Risk Management

Areas of expertise

Identify risks
Take advantage of opportunities

There is no business innovation without risk. Whether you are developing new business areas, tapping into new market segments or introducing new products, all of the above involve risks. Proactive risk management provides security.

Risk management
system

Introduction and development of a holistic, value-oriented risk management system:

  • Working with top management to develop a risk policy that conforms with the Law of Control and Transparency in Business (KonTraG).
  • Determining risk-based capital reserves and calculating risk limits including risks based on business areas – in accordance with the Minimum Requirements for Risk Management (MaRisk) from the German Federal Financial Supervisory Authority (BaFin).
  • Implementation of processes – from risk identification to reporting.
  • Creating a risk manual.
  • Providing training for all managers to ensure increase in their awareness of risk.

Risk quantification

Individual risk profile for each department with risk quantification and risk aggregation:

  • Coaching during initial risk identification in workshops with the risk bearers.

 

  • Assessment of individual risks based on a company-specific risk scale, focusing on impacts on the income statement and balance sheet.

 

  • Development of a model for risk aggregation, in order to quantify how the interplay between top-level objectives will affect the planned company performance.

Business
valuation

Agreeing on assumptions, determination of beta factors, preparation and support for impairment tests:

  • Development of a computer-aided DCF model to provide a valuation of company divisions and investments.

 

  • Validation of premises and forecasts.

 

  • Impairment tests in accordance with the German Commercial Code (HGB) and International Financial Reporting Standards (IFRS).

 

  • Creation of a key risk indicator system for early identification of triggering events.

 

  • Support for M&A processes.

Get in touch.

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Dr Ing Dana Yma Faulenbach   
Managing Director