Framework Principles for Risk Management

Presented to the Risk and Audit Committee June, 2013, and to the Executive Committee April, 2014.

The mission of MIT is to advance knowledge and educate students in science, technology, and other areas of scholarship that will best serve the nation and the world in the twenty-first century.

The Institute is committed to generating, disseminating, and preserving knowledge, and to working with others to bring this knowledge to bear on the world's great challenges. MIT is dedicated to providing its students with an education that combines rigorous academic study and the excitement of discovery with the support and intellectual stimulation of a diverse campus community. We seek to develop in each member of the MIT community the ability and passion to work wisely, creatively, and effectively for the betterment of humankind.

MIT seeks to push beyond existing boundaries and to seize opportunities in support of its mission.  We strive to create an exemplary risk-oversight framework that assists Institute personnel in taking informed risks, built on law, regulations, policy, and best practices, while respecting MIT’s decentralized, collaborative, and entrepreneurial culture. 

We adhere to the following guiding principles:

  • Preserving and advancing MIT’s irreplaceable asset – its reputation – by creating a culture of risk consciousness, not risk avoidance
  • Upholding our shared values of integrity, innovation, creativity, excellence, and openness
  • Promoting thoughtfulness and deliberation on important choices through enhanced understanding of impacts and possibilities
  • Valuing fully-informed decision making, including internal and external input from a broad representation of stakeholder interests
  • Encouraging a transparent discussion of the environment, risks, uncertainties, opportunities, and actions in support of Institute objectives