A strong risk management framework starts with clear roles, responsibilities, and accountability. KPMG specialises in designing and implementing the Three Lines of Defence (3LoD) model, an internationally recognised approach that empowers organisations to manage risk effectively across all levels.

Our approach strengthens governance, enhances compliance and leverages technology for a more agile and cohesive risk framework. Our tailored methodology reflects the unique risk profiles, regulatory environment and operational complexities of different sectors and types of business.

Key services:

• Defining roles and responsibilities across the three lines of defence.
• Supporting operational business units through the first line of defence.
• Providing independent oversight via Risk and Compliance functions in the second line.
• Developing Internal Audit strategies for the third line.
• Creating governance frameworks and implementing new controls.
• Cultivating a strong compliance culture across the organisation.
• Using technology to improve risk management and compliance processes.

A future-ready risk function connects strategy with execution, enabling organisations to anticipate threats, seize opportunities, and deliver on business objectives. KPMG’s risk Target Operating Model provides a clear, practical six‑layer framework to evolve the risk function, align risk with business objectives and strengthen governance and performance management.

Key servcies:

• Aligning the risk strategy with enterprise goals and risk appetite.
• Redesigning processes, roles and ways of working for clarity and efficiency, supported by enabling technology and data.
• Establishing governance and decision rights with meaningful metrics and insights to manage performance.

This model is underpinned by six layers that work together as one system: Process, People, Service delivery model, Technology, Performance insights and data, and Governance. By combining leading practices, pre‑built assets and a flexible implementation methodology, KPMG helps organisations embed risk into core workflows, improve control consistency and accelerate value realisation.

Building a resilient organisation starts with a robust risk management framework. KPMG helps organisations establish or uplift their Enterprise Risk Management (ERM) framework and translate it into a practical improvement plan that’s fit for purpose and delivers real value. We combine a structured maturity assessment with insights from recognised standards and comparable organisations to strengthen governance, clarity and execution.

Key services:

• Assessing maturity across risk appetite, governance, culture, identification, assessment, monitoring, reporting and technology using the KPMG ERM Maturity Assessment Tool.
• Comparing practices against COSO and ISO 31000 and incorporating regulatory expectations and insights from organisations of similar size and complexity.
• Co‑developing a pragmatic improvement roadmap with quick wins and multi‑quarter initiatives, accountable owners, milestones and measures.
• Recommending enabling technology, data and reporting that embed risk management into core business processes.

The outcome is a framework that clarifies roles and responsibilities, standardises processes and provides meaningful metrics for Boards, executive teams and risk committees. It improves transparency, supports better decision making and lifts overall capability across the organisation.

KPMG’s Dynamic Risk Assessment investigates the structure of an entire risk system to understand the connections between risks and the speed at which risks impacts could occur.

Key services:

• Provides clients with an enhanced understanding of current and emerging risks and their own risk profiles.
• Enriched organisation decision-making and risk strategy.

Modern risk management requires powerful systems and smart technology. KPMG supports organisations strengthen their risk management by implementing and enhancing Governance, Risk and Compliance (GRC) platforms, improving risk reporting and applying Artificial Intelligence (AI) to deliver faster, more accurate insights.

Key services:

• GRC implementation and uplift – Streamlining processes and workflows to improve efficiency and control effectiveness.
• Risk reporting modernisation – Delivering accurate, timely and insightful reporting to support informed decision-making.
• AI-enabled risk management – Using AI to identify, assess and manage risks with greater precision and agility.

Our approach helps organisations reduce manual effort, improve visibility for leadership, and build a scalable foundation for future risk capabilities.

A strong risk culture is the foundation of effective risk management and organisational success. KPMG helps businesses embed risk awareness into everyday decision-making and build the skills needed to manage emerging challenges effectively.

Key services:

• Cultivating a risk-aware culture – Integrating risk thinking into behaviours, processes and decision-making.
• Building talent and capability – Identifying and developing the skills required for effective risk management.
• Tailored training and development – Delivering programmes that empower teams to anticipate, identify and mitigate risks.

Through these initiatives, we enable organisations to strengthen resilience, improve accountability and create a culture where proactive risk management is part of business as usual.