What is ISO 31000
ISO 31000:2018 is an international standard that provides principles, a framework, and guidelines for effective risk management applicable to all types of organizations—public and private—regardless of size, activities, or sector.
The standard supports organizations in understanding and managing uncertainty, making informed decisions, reducing the likelihood and impact of adverse events, and strengthening organizational resilience in a dynamic and complex environment.
ISO 31000 provides a common and consistent approach to risk management and supports alignment with other international and sector-specific standards, without replacing them. It is a guidance standard and does not include requirements for certification.
 
Risk Management in Accordance with ISO 31000
Risk management in accordance with ISO 31000 is not a standalone activity but an integral part of management, governance, strategic planning, and decision-making at all levels of the organization. It supports:

• the achievement of strategic objectives;
• improved effectiveness and efficiency of processes;
• enhanced preparedness for uncertainty and change;
• protection of organizational value, assets, and reputation.

 
Principles of ISO 31000
ISO 31000:2018 is based on eight principles that ensure risk management is:

• integrated into organizational governance and processes;
• structured and comprehensive;
• customized to the organization’s external and internal context and objectives;
• inclusive and taking into account stakeholder perspectives;
• dynamic, iterative, and responsive to change;
• based on the best available information;
• considerate of human and cultural factors;
• subject to continual improvement.

 
Risk Management Framework
The ISO 31000 risk management framework provides the foundations for effective risk management across the organization. It supports the integration of risk management into overall governance and management systems and covers the design, implementation, evaluation, and continual improvement of risk management.
The framework includes:

• leadership and commitment from top management;
• clear allocation of roles, responsibilities, and authorities;
• integration of risk management into strategic and operational decision-making;
• monitoring, review, and continual improvement.

A well-designed framework ensures that risk management becomes a sustainable and value-adding management practice rather than a purely formal requirement.
 
Risk Management Process
ISO 31000 defines a systematic, structured, and iterative risk management process, which includes:

• communication and consultation;
• establishing the scope, context, and risk criteria;
• risk assessment (risk identification, analysis, and evaluation);
• risk treatment;
• monitoring and review;
• recording and reporting.

The process is dynamic and adaptable to the organization’s objectives, activities, and operating environment.
 
Applicability of ISO 31000
ISO 31000 is applicable to the management of:

• strategic and operational risks;
• financial, legal, and regulatory risks;
• reputational and organizational risks;
• uncertainty related to planning, change, and development.

The standard can be applied by organizations of all sizes and across all sectors.
 
Benefits of Implementing ISO 31000
Implementing ISO 31000 enables organizations to:

• make informed and consistent decisions;
• reduce the likelihood and impact of adverse events;
• enhance resilience, stability, and predictability;
• promote a culture of proactive and systematic risk management.

ISO 31000:2018 Risk management — Guidelines