How Can I Control Risk in My Company?
Until now, companies had three choices for controlling enterprise risk:
- Expend your own internal resources to train an existing employee to function as a Chief Risk Officer.
- Hire a new full time employee who is well experienced in Enterprise Risk Management (ERM), at a significant cost to your company.
- Ignore some risk exposures altogether
Now you have another option:
ERM: The Process that Never Sleeps
Enterprise Risk Management is not truly a new form of risk management; it is simply recognition that risk management means total risk management, not some subset of risks, and that the process of addressing risks is not stagnant. History of ERM
Business risks increase and change as the operational environment changes. New technologies, fierce competition, decentralized accountability, external scrutiny, and cost reductions all present new risks and continually challenge solutions already implemented. The rise of ERM is an opportunity for traditional risk managers to apply well established approaches to risk on a broader and more vital scale than ever before.
Like anything, the less you know about something the more complex it appears. This holds true for ERM as well. The language of ERM itself may seem foreign to some yet the internal workings of the process are quite simple. About ERM
More important, the dramatic positive impact to profitability combined with a terrific ROI makes adoption of this business process a sound management decision. No wonder why over 60% of the public US firms have adopted ERM or are in the process of doing so. Isn’t time for you to do so as well?