How to Build a Risk Management Framework for Higher Education (Step-by-Step)

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Building a strong risk management framework for your higher education institution is essential for protecting students and faculty.

A well-designed framework identifies potential risks, mitigates threats, and creates a safer campus environment. Understanding the key steps in the risk management process allows your board to take a proactive approach.

Here’s what you need to know about developing an effective risk management strategy that promotes long-term institutional resilience. You’ll also discover how board management software helps higher education leaders manage risk in the digital age.

What is a Risk Management Framework?

In higher education, a risk management framework is a structured approach institutions use to identify, assess, and mitigate risks that could impact students, faculty, and operations. This framework helps colleges and universities proactively manage potential threats, from campus safety concerns and financial risks to legal compliance and cybersecurity threats.

Failing to establish an enterprise risk management strategy often results in preventable incidents, such as data breaches and academic misconduct

Understanding the board of directors’ role in compliance is key to helping your institution’s leaders take proactive steps to safeguard against risk.

A risk management framework includes 5 key components, including:

Risk identification
Risk assessment and analysis
Risk mitigation and control measures
Risk monitoring and reporting
Risk communication and training

A board typically works with a compliance manager and compliance committee to develop a sound risk management framework. The Association of Governing Boards of Universities and Colleges (AGB) and other higher education leaders have published several templates that your board can use to develop a risk management framework. Some common risk management frameworks include:

COSO ERM Framework
ISO 31000
NIST Risk Management Framework

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How to Build a Risk Management Framework

Creating a strong risk management framework empowers universities to proactively address potential threats and ensure campus safety. Follow these 5 key steps to build an effective approach:

Identify Risks: Assess potential risks across all areas, including campus safety, cybersecurity, financial stability, compliance, and reputation. Gather input from faculty, staff, and students to inform a comprehensive risk assessment.
Prioritize Risks: Evaluate each risk based on its likelihood and potential impact. Focus on the most critical threats first to ensure your institution addresses high-priority issues before they escalate.
Develop Risk Mitigation Strategies: Create clear action plans to minimize or eliminate risks. This may include updating policies, improving cybersecurity measures, strengthening financial oversight, and implementing new technologies to safeguard data.
Monitor Risks: Continuously track risks and assess the effectiveness of your mitigation plan. Regularly review your processes to adapt strategies as new threats emerge. Use a compliance committee agenda template to ensure review meetings run smoothly.
Train Stakeholders: Educate faculty, staff, and students on risk management policies and procedures. Provide training sessions and resources to ensure everyone understands their role in maintaining a safe and secure campus.

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AGB OnBoard features help higher ed boards stay organized, manage documents efficiently, and safeguard confidential information. With built-in security and collaboration tools, OnBoard ensures board members can quickly access critical resources and make informed decisions.

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About The Author

Adam Wire: Adam Wire is a Content Marketing Manager at OnBoard who joined the company in 2021. A Ball State University graduate, Adam worked in various content marketing roles at Angi, USA Football, and Adult & Child Health following a 12-year career in newspapers. His favorite part of the job is problem-solving and helping teammates achieve their goals. He lives in Indianapolis with his wife and two dogs. He’s an avid sports fan and foodie who also enjoys lawn and yard work and running.