Nonprofit
Risk Management in NGO
In profit making organizations, risk is the probability that an actual return on an investment will be lower than the expected return. On the other hand, in nonprofit organizations, risk […]
In profit making organizations, risk is the probability that an actual return on an investment will be lower than the expected return. On the other hand, in nonprofit organizations, risk is the events arising out of uncertainty that may have a significant impact on the objectives of the organization. A risk can have consequences beyond failure to deliver on results. Moreover, it may negatively impact on reputation, integrity, credibility and trust from donors and stakeholders. Nonprofit organizations should take all these possible impacts seriously as its viability depends upon donor’s trust.
Risk management process is the whole set of activities the organization needs to follow. The process includes the following:
- identification of risk,
- measurement of risk,
- management of risk,
- monitoring of risk, and
- reporting of risks to appropriate level.
According to research report entitled “2020 Global Study on Occupational Fraud and Abuse” published by Association of Certified fraud Examiners 41% of fraud in not for profit sector takes in the form of corruption.
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ldmahat
LD Mahat is a Chartered Accountant, Financial Adviser and Risk Management Specialist possessing over 29 years of diverse experience across several sectors covering a wide spectrum of assurance, business advisory and taxation disciplines. LD is a committed, highly motivated and result-oriented professional, consistently developing and nurturing client relationship and building long-lasting relationships with diverse clients. He has the ability to define issues, propose customized solutions that significantly add value and contribute to client’s success.
LD has got master’s in risk management form New York University, Stern Business School. He has undergone executive education at Harvard Business School and Insead Business School. He was risk management specialist in several Asian Development Bank Funded projects. He has provided risk management advisory services in various Nepalese corporate sectors.
LD has worked on large projects jointly with big 4 international accounting firms ~ PwC, Deloittee, Ernst & Young and KPMG in the field of Assurance, Diagnostic Review, Capacity Building, e-Government Procurement, e-Governance, Special Review, Investment Climate, and IFRS Implementation.