MANAGEMENT

Detailed explanation-1: -The second line supports management to help ensure risk and controls are effectively managed. Management establishes various risk management and compliance functions to help build and/or monitor the first line-of-defense controls.

Detailed explanation-2: -The second line of defence consists of our compliance and risk functions. These functions ensure we conduct business in accordance with applicable laws, rules and standards by overseeing and monitoring the daily operations and providing advice to the first line of defence.

Detailed explanation-3: -In the previous model, the three lines of defense were represented by management control as the first line, risk and control monitoring as the second, and independent assurance through the internal audit function as the third.

Detailed explanation-4: -2nd Line of Defense – The Superintendents The second line of defense is managerial and is responsible for oversight of the doers. They also develop and implement risk management processes, policies and procedures.