Regulators have embraced senior manager accountability, to ensure clear consequences when executives neglect risk governance. At the same time, they encourage psychological safety to promote ‘speak-up’ behavior within firms. So long as these are in balance, they mutually reinforce each other. However, when accountability regimes become more about public shaming, the dampening effect that it has on speak-up culture may well exceed any potential benefit.
Observations
Oct 10, 2024In a speech delivered late last month, Nicole Argentieri, head of the Criminal Division of the US Department of Justice (DOJ), announced that the DOJ had updated its corporate compliance guidance to address the risks associated with AI, as reported by the Wall Street Journal.
Compendium
Jun 11, 2024by Carine Smith Ihenacho, Nicolai Tangen
Compendium
Jun 11, 2024Nicolai Tangen emphasizes the impact of lifelong learning, specifically his studies in social psychology, on his leadership at Norges Bank Investment Management (NBIM). This informed is approach to risk governance, emphasizing psychological safety, transparency, and a no-blame culture to foster open communication and improve organizational performance.
by Anna Bligh
Compendium
Jun 11, 2024by Amy Edmondson, Stephen Scott, Paul Seabright
Compendium
Jun 11, 2024
