The report, authored by Bill Coffin discusses the future of Enterprise risk management (ERM). Firstly, ERM brings together everything from single departments to assets and integrates risk management in the everyday activities of the business. Sole departments cannot fully manage risks that need to be viewed from a holistic approach like the one used in ERM programs.
The planning and effective tools associated with ERM processes make it vital for the effective management of risks now and in the future. Companies that have not fully implemented ERM will gain momentum as their program matures. Once risks are aggregated, companies can more efficiently allocate resources based on findings from their ERM program.
To measure the success of an ERM program, an organization will use its own perceptions and experience as a base. The RIMS Risk Maturity Model is sometimes incorrectly considered a framework; the model actually creates a way for businesses to measure their risk management success regardless of what standard they use. This can be very beneficial when businesses need to measure what maturity level they have obtained since ERM implementation.
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