The Three Lines Model

The Three Lines Model is a framework used in organizations to clarify roles and responsibilities for managing risk and ensuring effective governance. 1. **First Line**: Operational managers and staff who own and manage risks day-to-day. 2. **Second Line**: Risk management and compliance functions that support and monitor the first line, developing policies and providing guidance. 3. **Third Line**: Internal auditors who provide independent assurance that the organization’s risk management and governance processes are effective. This model helps create a cohesive system for identifying and addressing risks, promoting accountability and transparency within the organization.