Enterprise Risk Management ( Erm )

Enterprise Risk Management (ERM) is a series of processes used to identify risk, implement strategies to address risk, and monitor impact on the organization. Indeed, an effective ERM will consist of a corporate profile, which is a record of key risks that would hinder the organization in achieving their key objectives (Fraser & Simkins, 2010). Ideally, the risk profile is created as a tool to communicate with the Board of Directors, but may be used as a means of communication with all levels of management (Bethel, 2016). Typically, there are variations of the risk profile based upon the level of management, such as duration, types of risk, and purpose (Fraser & Simkins, 2010).

Enterprise risk management is a technique used by organizations to manage risks that have the potential to affect the company, both positively and negatively, altering

Risk management is a process for identifying, assessing and prioritizing risks of different kinds. Once the risks are identified, the risk manager will create a plan to minimize or eliminate the impact of negative events. A variety of strategies is available, depending on the type of risk and the type of business. There are a number of risk management standards including those developed by the Project Management Institute the International Organization for Standardization the National Institute of Science and Technology and actuarial societies. Organizations uses different strategies in proper management of future events such as risk assumption, risk avoidance,

The ERM process applies to hazard, operational, financial and strategic risks throughout the community bank. The model involves five steps: scan environment, identify risks, analyze risks, treat risks, and monitor and assure. As CRO, he/she communicates and coordinates the risk management program to all thirty employees, establishing a holistic approach. Using the ERM process, five

Align strategy and corporate culture: The WP management team will create better risk awareness by using ERM. Also, a positive and open culture with respect to risk and risk management will be created as well. This will make every people at every level in WP to participate into the risk management activity which will be a huge benefit to WP and its employees.

The EWF (n.d, p. 4) noted that each organization has a mission that it has to follow. That necessitates the need for protection from problems that can hinder the achievements of the mission. The risks that firms face differ depending on their activities. Risk management requires proper scope, assessment, resource mobilization, and prioritization of the implementation.

Risk Management issues are often handled at the facility where the problem(s) exist. One of the duties of Risk Manager’s is to communication and collaboration between departments within an organization in question. In addition, to sinking risks, and cutting costs in order to promote process efficiency .By analyzing incident reports is one way to correct current problems, and future problem areas. Risk managers are also responsible for certain criteria that must be met in order for full participation in certain government and state reimbursement programs ("World Health Organization," “n.d.”). Risk Management is a structured approach to managing improbability, related to a risk, through a structure of human interaction.

“Enterprise risk management (ERM) is the process of planning, organizing, leading, and controlling the activities of an organization in order to minimize the effects of an organizations capital and earnings.” (ERM2007-2018) There are differences in the way a healthcare organization might use Enterprise risk management compared to a non-healthcare organization. For instance in healthcare a ERM program could help the healthcare leaders focus on better management of patients safety risks as well as business risks and, in turn, it could increase value of the organization. It could help prevent financial loss or could aide that organization in the investment to expand the services offered by the health-care organization.

Enterprise risk management is an approach to assist management to identify and manage uncertainties to obtain positive risk objectives. The ERM framework focuses on the development of a strategy that contains the importance of a risk and internal control

Today’s risk management environment is more dynamic than ever. More often, companies are embracing risk management’s undeniable opportunity to improve business results. The emergence of this “true business partner” relationship requires that risk management decisions and processes rely more on strategic planning, rigorous analytical processes, and collaborative internal and external partnerships. Knowing which actions and relationships will drive down your costs of risk demands a deep and comprehensive understanding of the factors that influence it.

Risk management is the term applied to a logical and systematic method of establishing the context, identifying, analyzing, evaluating, treating, monitoring and communicating risks associated with any activity, function or process in a way that will enable organizations to minimize losses and maximize opportunities. (Lecture notes)Risk Management is also described as 'all the things you need to do to make the future sufficiently certain'. (The NZ Society for Risk Management, 2001)

This essay would start by defining risk management capability and how risk maturity model can be used to assess and enhanced an organisation risk management capability. Then it will go on and discuss the importance of enterprise risk management and discuss the role of chief executive risk officer.

Enterprise Risk Management (ERM) has great potential to provide organizations with new competitive advantages. Enterprise Risk Management (ERM) is designed and disciplined approach to deal with strategy, processes, people, technology and knowledge by the motive of evaluation of management of uncertainties which are faced by the enterprises and generates value. The early models of Enterprise

Risk management has become an integral part of an organization. Expectation from the risk managers are increasing in order to meet up with the increasing competition and changes in the market. Currently the risk management techniques are having broader spectrum which covers operational, strategic and the entire enterprise besides being focused only into the financial risks. ERM (Enterprise Risk Management) is the need of hour and market is expecting the risk managers to possess more skill sets in managing the ERM. But this change is not being accepted by all due to various professional requirements (Bugalla & Kallman, 2012).

One well accepted description of risk management is the following: risk management is a systematic approach to setting the best course of action under uncertainty by identifying, assessing, understanding, acting on and communicating risk issues. In order to apply risk management effectively, it is vital that a risk management culture be developed. The risk management culture supports the overall vision, mission and objectives of an organization. Limits and boundaries are established and communicated concerning what are acceptable risk practices and outcomes. Since risk management is directed at uncertainty related to future events and outcomes, it is