Risk Advisory

 

Enterprises do not go bankrupt because they are not making profits; they become insolvent because they run out of accessible cash.

After its Launch in May 1997Amazon consistently lost money for its first several years as a public company. It first reported a quarterly profit in the fourth quarter of 2001 and, at $5 million commentators said it was inadequate considering its accumulated losses to date.

Our Risk Advisory Division provides Enterprises with confidential and sensitive services in managing and accessing liquid resources in order to provide the life blood of the Enterprise. It is often the case that Enterprises do not know they are on a course to a terminal problem until that problem begins to manifest. Our confidential services addresses these issues at every point on the progression.

Interruption in the flow of cash has many geneses. Many are not recognised until Enterprise Termination suddenly and unexpectedly looms. Our experience shows that these events can come

Poor Cash Management Managers often concentrate only on Profitability and neglect Cash Management. This can be especially true where Groups have multiple Bank Accounts and do not consolidate cash resources or cash information. One manifestation is a Group taking unnecessary loans where the cash is available in multiple locations abut not centrally planned.

Fraud Fraud is more common than either acknowledged or reported. Acknowledgement is largely absent not there because it is not recognised either at all or in scale; Reporting is not there because it may be too embarrassing. 

Risk Management

Risk Management is a core Boardroom planning and control activity. Ultimate responsibility cannot be delegated. As a core responsibility of any Government is the defence of the realm then so the responsibility of an Enterprise Board is also defence. Management of Risk sits at the heart of a Board’s remit.

At RMHL we bring skills in the recognition and analysis of Risk, the determination and application of mitigation, monitoring and reporting. We recognize that Risk manifests in tangible and intangible forms over the business life cycle and in the normal course of corporate operations. Other risks are “Black Swan” events and more difficult to forecast. Even with these events a structured response can be determined.

There are a number of strategies which can be deployed including:

  • Avoidance when a business refuses to engage in activities known or perceived to carry a risk of any kind but this is not always pragmatic as it may result in acceptable risk.
  • Mitigation When a course of action can be determined which reduces impact to an acceptable level
  • Risk Transfer where the rsik can be transferred, for instance, by taking an insurance policy or a hedged position
  • Risk Acceptance where the level of risk is acceptable because it can be absorbed

RMHL can assist in steering Enterprises or Enterprise Divisions through the Risk Management process

Business Continuity In certain circumstances Black Swan events do happen despite the best of planning. This is when Business Continuity Planning and Disaster Management comes to the fore. Our managers have helped major Enterprises through this planning and testing in multiple sectors such as Investment Banking and international Telecoms.

Financial and Operational Due Diligence

Due Diligence is an investigation, audit or review performed to confirm the facts of a matter under consideration. That might include the review of financial or operational performance and records. Due diligence refers to the research done before entering into an agreement or a financial transaction with another party.

RMHL has the skills, experience and acumen to perform complex DD; its management team has a wealth of International executive experience in Finance, Operations, Development and Programme Management in diverse sectors such as Telecoms, Banking (Investment and Retail), Exploration, Mining, Health, Government, FMCG, ICT and Consultancy.

Cyber Security & Analytics

Ensuring Network Security, Application Security, Operational Security. Protection from Malwares and DDoS attacks.