Document background
The Contract Risk Management Policy serves as a critical governance document for organizations operating in Saudi Arabia, establishing systematic approaches to managing contractual risks while ensuring compliance with both Sharia law and modern commercial regulations. This policy becomes essential when organizations need to standardize their approach to contract risk management, establish clear responsibilities and procedures, and demonstrate compliance with Saudi regulatory requirements. The document typically includes comprehensive risk assessment methodologies, control measures, monitoring procedures, and reporting requirements, all tailored to the Saudi business environment. It addresses various aspects of contract management, from initial risk assessment to ongoing monitoring, while incorporating specific considerations for different types of contracts and business relationships within the Saudi market.
