What is the primary objective of **ISO 31000**?

**ISO 31000 provides principles, a framework, and process for managing risk to create and protect value.** It defines risk as the effect of uncertainty on objectives and emphasizes systematic identification, analysis, evaluation, treatment, monitoring, and review. The 2018 edition focuses on leadership integration, customization to organizational context, and continual improvement through an iterative cycle.

Who is legally or professionally required to comply with **ISO 31000**?

**No organization is legally required to comply with ISO 31000, as it is a voluntary, non-certifiable guideline.** It applies universally to any size, type, or sector—private, public, or non-profit—where decision-makers affect objectives. Professionals in financial services, energy, healthcare, and regulated industries use it to meet regulatory expectations for robust risk governance, contractual clauses, and insurance requirements.

Does **ISO 31000** require an external audit or third-party certification?

**ISO 31000 does not require external audit or third-party certification.** As guidelines rather than requirements, alignment is demonstrated through internal governance, such as leadership-endorsed policies, risk registers, and management reviews. Optional external certification may be pursued for market differentiation via accredited bodies.

How often should an assessment for **ISO 31000** be performed?

**ISO 31000 assessments should be performed iteratively and dynamically, not on a fixed schedule.** The process mandates continual monitoring via Key Risk Indicators (KRIs), with formal reviews triggered by changes in context, incidents, or performance metrics—typically quarterly for operational risks and annually for strategic reviews, per the monitoring and review clause.

What are the consequences of non-compliance with **ISO 31000**?

**Non-compliance with ISO 31000 carries no direct penalties, as it is voluntary.** Indirect consequences include regulatory enforcement actions, fines, or license revocations if risk governance falls short of benchmarks; higher insurance premiums; liquidated damages in contracts; amplified litigation for negligence; and reputational damage from unmanaged incidents.

Can **ISO 31000** be mapped to other international frameworks?

**Yes, ISO 31000 can be mapped to other international frameworks for integrated risk management.** Its principles, framework (leadership, integration, design), and process (context, assessment, treatment) align with standards like quality, information security, and occupational health systems, reducing duplication via shared governance, taxonomies, and PDCA cycles.

What is the first step to begin implementing **ISO 31000**?

**The first step to implement ISO 31000 is securing executive sponsorship and conducting a gap analysis.** Obtain C-suite commitment via a risk governance charter, then baseline current practices against the standard’s principles, framework, and process using maturity assessments, interviews, and document reviews to produce a prioritized roadmap.

What is the primary objective of **EU AI Act**?

**The primary objective of the EU AI Act is to establish a risk-based regulatory framework that prohibits unacceptable-risk AI practices, imposes strict obligations on high-risk AI systems, mandates transparency for limited-risk systems, and fosters trustworthy AI while protecting health, safety, and fundamental rights.** Regulation (EU) 2024/1689, effective 1 August 2024, classifies AI into four tiers via Articles 5–6 and Annexes I/III, enforcing lifecycle controls like risk management (Article 9) and conformity assessments (Article 43).

Who is legally or professionally required to comply with **EU AI Act**?

**Providers, deployers, importers, distributors, and authorized representatives of AI systems used in the EU must comply with the EU AI Act, including third-country entities if outputs are used in the EU.** Providers (Article 3(3)) develop or place high-risk systems on the market; deployers (Article 3(4)) are professional users ensuring oversight and monitoring. GPAI providers face Chapter V duties (Articles 51–56).

Does **EU AI Act** require an external audit or third-party certification?

**High-risk AI systems require conformity assessment, which may involve third-party notified bodies (Articles 28–39, Annex VII), but internal assessment (Annex VI) is permitted where harmonized standards apply.** CE marking (Article 48) and EU database registration (Article 49) follow successful assessment; GPAI systemic-risk models undergo AI Office evaluations.

How often should an assessment for **EU AI Act** be performed?

**Conformity assessments for high-risk AI must occur before market placement or service, with post-market monitoring (Article 72) and re-assessment for substantial modifications (Article 3(23)) continuously throughout the lifecycle.** Logs must be retained at least six months (Article 19); serious incidents reported without delay (Article 73).

What are the consequences of non-compliance with **EU AI Act**?

**Non-compliance with the EU AI Act incurs tiered administrative fines up to 7% of worldwide annual turnover or €40 million for prohibited practices (Article 5), 4% or €20 million for high-risk failures, and 2% or €10 million for others.** Enforcement involves market surveillance (Article 74), product recalls, and AI Office supervision for GPAI.

Can **EU AI Act** be mapped to other international frameworks?

**No, the EU AI Act must stand alone and cannot be directly mapped to other frameworks in compliance demonstrations.** It provides presumption of conformity via its own harmonized standards (Article 40) and codes of practice, such as the GPAI Code (Article 56), without referencing external regimes.

What is the first step to begin implementing **EU AI Act**?

**The first step to implement the EU AI Act is to conduct an inventory of all AI systems and classify them by risk tier (prohibited, high-risk via Annexes I/III, limited-risk, minimal-risk).** Document assessments per Article 6(4), eliminate Article 5 prohibitions, and prioritize high-risk conformity preparation.

ISO 31000 vs EU AI Act

Standards Comparison

ISO 31000

Voluntary

2018

International guidelines for enterprise risk management frameworks

EU AI Act

Mandatory

2024

EU regulation for risk-based AI safety and governance

Quick Verdict

ISO 31000 offers voluntary risk management guidelines for all organizations globally, while EU AI Act mandates strict compliance for high-risk AI systems in EU. Companies adopt ISO 31000 for resilience, AI Act to avoid fines and access markets.

Risk Management

ISO 31000

ISO 31000:2018 Risk management — Guidelines

Cost

€€€

Complexity

Medium

Implementation Time

12-18 months

Key Features

Principles-based framework integrating risk into governance
Non-certifiable guidelines for all organization sizes
Iterative process: identify, analyze, evaluate, treat, monitor
Emphasizes leadership commitment and cultural factors
Customizable to context with continual improvement

Artificial Intelligence

EU AI Act

Regulation (EU) 2024/1689 Artificial Intelligence Act

Cost

€€€

Complexity

Medium

Implementation Time

18-24 months

Key Features

Risk-based four-tier AI classification framework
Prohibitions on unacceptable-risk AI practices
High-risk lifecycle conformity assessments and CE marking
GPAI model transparency and systemic risk obligations
Tiered fines up to 7% global turnover

Detailed Analysis

A comprehensive look at the specific requirements, scope, and impact of each standard.

ISO 31000 Details

What It Is

ISO 31000:2018 Risk management — Guidelines is a principles-based international framework providing guidance on managing risk systematically. Its primary purpose is to help organizations identify, analyze, evaluate, treat, monitor, and review risks to create and protect value. The approach is flexible, iterative, and sector-agnostic, emphasizing integration into governance and strategy.

Key Components

Eight core **principlesintegrated, structured, customized, inclusive, dynamic, best information, human factors, continual improvement.
Framework (Clause 5): leadership, integration, design, implementation, evaluation, improvement.
Process (Clause 6): communication, scope/context/criteria, assessment, treatment, monitoring/review, recording/reporting. Non-certifiable; no fixed controls, focuses on tailored practices.

Why Organizations Use It

Enhances decision-making, resilience, and stakeholder trust. Drives strategic benefits like better capital allocation and opportunity capture. Voluntary but aligns with regulations; reduces losses, boosts reputation.

Implementation Overview

Phased: diagnose/design, build/deploy, operate/optimize, institutionalize. Applicable to all sizes/industries; involves policy, training, tools like risk registers. No certification; internal audits ensure effectiveness. (178 words)

EU AI Act Details

What It Is

The EU Artificial Intelligence Act (Regulation (EU) 2024/1689) is a comprehensive EU regulation establishing the world's first horizontal framework for AI governance. It applies directly across Member States with a risk-based approach, prohibiting unacceptable-risk practices, regulating high-risk systems, imposing transparency on limited-risk AI, and minimally regulating others. Scope covers providers, deployers, and value-chain actors for AI systems used in the EU.

Key Components

**Four risk tiersprohibited, high-risk (Annex I/III), limited-risk, minimal-risk.
Core high-risk obligations: risk management (Article 9), data governance (Article 10), documentation, human oversight, cybersecurity (Article 15).
GPAI model rules (Chapter V), conformity assessments, CE marking, EU database registration.
Compliance via self-assessment or notified bodies; harmonized standards for presumption of conformity.

Why Organizations Use It

Mandatory compliance for EU market access, avoiding fines up to 7% global turnover.
Enhances safety, trust, fundamental rights protection; reduces litigation risks.
Builds competitive edge through certified resilience, transparency; aligns with GDPR/NIS2.

Implementation Overview

Phased rollout (6-36 months); inventory AI assets, classify risks, build QMS/RMS, conduct assessments. Applies to all sizes/industries with AI in EU; audits by national authorities/AI Office. (178 words)

Key Differences

Aspect	ISO 31000	EU AI Act
Scope	Enterprise-wide risk management principles and processes	AI systems by risk tiers, high-risk lifecycle controls
Industry	All sectors globally, any organization size	AI providers/deployers, EU market focus
Nature	Voluntary guidelines, non-certifiable framework	Mandatory EU regulation with fines
Testing	Internal audits, continual improvement reviews	Conformity assessments, notified body audits
Penalties	No legal penalties, reputational/insurance risks	Up to 7% global turnover fines

Scope

ISO 31000

Enterprise-wide risk management principles and processes

EU AI Act

AI systems by risk tiers, high-risk lifecycle controls

Industry

ISO 31000

All sectors globally, any organization size

EU AI Act

AI providers/deployers, EU market focus

Nature

ISO 31000

Voluntary guidelines, non-certifiable framework

EU AI Act

Mandatory EU regulation with fines

Testing

ISO 31000

Internal audits, continual improvement reviews

EU AI Act

Conformity assessments, notified body audits

Penalties

ISO 31000

No legal penalties, reputational/insurance risks

EU AI Act

Up to 7% global turnover fines

Frequently Asked Questions

Common questions about ISO 31000 and EU AI Act

ISO 31000 FAQ

EU AI Act FAQ

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ISO 31000

EU AI Act

Quick Verdict

ISO 31000

Key Features

EU AI Act

Key Features

Detailed Analysis

ISO 31000 Details

What It Is

Key Components

Why Organizations Use It

Implementation Overview

EU AI Act Details

What It Is

Key Components

Why Organizations Use It

Implementation Overview

Key Differences

Scope

Industry

Nature

Testing

Penalties

Frequently Asked Questions

ISO 31000 FAQ

What is the primary objective of ISO 31000?

Who is legally or professionally required to comply with ISO 31000?

Does ISO 31000 require an external audit or third-party certification?

How often should an assessment for ISO 31000 be performed?

What are the consequences of non-compliance with ISO 31000?

Can ISO 31000 be mapped to other international frameworks?

What is the first step to begin implementing ISO 31000?

EU AI Act FAQ

What is the primary objective of EU AI Act?

Who is legally or professionally required to comply with EU AI Act?

Does EU AI Act require an external audit or third-party certification?

How often should an assessment for EU AI Act be performed?

What are the consequences of non-compliance with EU AI Act?

Can EU AI Act be mapped to other international frameworks?

What is the first step to begin implementing EU AI Act?

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From Reactive Gatekeeper to Proactive Strategist: How Compliance Software Reshapes the Compliance Professional's Day

You Guide on how to Start Implementing NIST CSF in Your Organization

Run Maturity Assessments with GRADUM

Check out these other Gradum.io Standards Comparison Pages

DORA vs EPA

SOX vs NERC CIP

ENERGY STAR vs AS9110C