43 / 136
AfroCentric INTEGRATED ANNUAL REPORT 2016
41
Strategy
AUDIT AND RISK COMMITTEE
The Audit and Risk Committee is appointed by the Board, and is responsible for providing direction and oversight in respect of
Enterprise Risk Management.
THE THREE LINES OF DEFENCE
The Three Lines of Defence governance model is implemented as a key principle of risk management. It is designed to
promote risk ownership, transparency, accountability and consistency across the Group, through the clear identification and
segregation of duties as described below:
First line of
defence
Second line
of defence
Third line of
defence
• Provided by line management
• Decision makers and risk owners
• Managing, monitoring and assessing risk
• Provided by risk and compliance function
• Develops an appropriate risk management framework, facilitates
and monitors the implementation of effective risk management
practices
• Assists risk owners in defining the target risk exposure and reporting
adequate risk-related information in the Group
• Provided by internal and external audit
• Independent assurance on the risk managment and business process
• Assess the effectiveness of risk management practices, governance practices
and systems of control
For more
information on the
responsibilities of
the Audit and Risk
Committee, refer to the
Corporate governance
report on page 85.