Libraries are in challenging times Challenges faced in Singapore Threats or Opportunities: What do we do now?

Enterprise Risk Management Framework to monitor, assess and mitigate the risks that NLB is exposed to Facilitate effective risk-based decision-making to fulfill NLB’s Vision and Mission Protect the interests of NLBians, customers and partners E R M On-going and consistent process for identifying, evaluating, escalating, monitoring and reporting significant risks faced by NLB Provide a unified picture of risks Incorporate risk management considerations into strategic decision-making Protect the interests of NLB’s customers, partners and employees

Enterprise Risk Management How does it works ? What is our risk management process?

What are our identified risks?

What are our identified risks?

NLB Risk Impact Criteria

NLB Likelihood & Control Criteria Management Control Level Rating Criteria NLB Likelihood & Control Criteria Score Rating Description Remarks 1 Very Low Controls and/or Management Activities are non-existent or have major deficiencies and do not operate as intended Critical Improvement Opportunity 2 Low Limited Controls and/or Management Activities in place, high level of risk remains Significant Improvement Opportunity 3 Moderate Key Controls and/or Management Activities in place, with moderate opportunities for improvement identified Moderate Improvement Opportunity 4 High Controls and/or Management Activities properly designed and operating, with opportunities for improvement identified Limited Improvement Opportunity 5 Very High Controls and/or Management Activities properly designed and operating as intended Effective Likelihood Rating Criteria Rating Probability of occurrence Chances of risk happening 5 Almost certain > 75% Extremely high chance of occurring Is expected to occur in most circumstances 4 Likely > 50% - 75% Very likely to occur Likely to occur in most circumstances 3 Possible > 25% - 50% Possible to occur Could occur at some time 2 Unlikely > 5% - 25% Unlikely to occur Not likely to occur in normal circumstances 1 Rare < 5% Very unlikely to occur May occur only in exceptional circumstances

Likelihood of occurrence X Impact of the event Risk Quantification The two separate risk measures (Likelihood and Impact) are “quantified” to arrive at an overall rating to enable a balanced comparison between different risks identified. NLB has utilised the following formula for risk quantification: Overall risk rating = Likelihood of occurrence X Impact of the event

Our Mitigating Measures

Risk Management: Roles & Responsibilities, and Benefits

Thank you Dr. Adeline Lee Deputy Director Business Analytics, Knowledge & Risk Management Adeline_Lee@nlb.gov.sg