Risk Maturity Model (RMM)
Risk Maturity Models provide a generally accepted framework of benchmarks useful in assessing the stage of risk management implementation. In an academic (theoretical) dimension, Risk Maturity Models are useful in understanding the degree of sophistication of the risk management process and practices, its reliability and effectiveness at each stage. M
Risk Maturity Models are useful for organizations that wish to develop or improve their current approach to risk management (Chapman 2006:115). Risk Maturity Models are also applicable for rating companies against key competitors or best practice.
Typically, the Risk Maturity Model is structured as a matrix in which the levels of maturity are cross-referenced with the attributes reflecting the primary risk management practices. Each of the matrix’s field outlines the competences that indicate the attained or desired practices.