Definitions: ERM and Risk Assessment – Part 2/2

2012-11-27 / Uncategorized / 0 Comments

definition enterprise risk management risk assessmentIn this second post, I give my proposed definition of both Enterprise Risk Management and Risk Assessment.  They are not a reflection of the actual usage of the terms; instead, they are recommendations for what the terms should denote:

Definition of Enterprise Risk Management

Enterprise Risk Management: A distributed process of risk assessment applied to strategy and operations, in all domains, in support of corporate goals and values.
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ERM Case Study – Part 5/5

2012-11-20 / Uncategorized / 0 Comments

Entrepreneurial universityHere are links (some not appearing in previous posts) germane to the case study of Enterprise Risk Management implementation at Camosun College.

New Employee Manual

President’s Welcome Message

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ERM Case Sudy – Part 4/5

Entrepreneurial universitySo far in this series of posts, we have seen the genesis of the ERM program in the decision by the Board of Governors; the project team’s review of background materials; and the decision to begin with a trial risk assessment applied to the strategic plan. Now we consider how ERM was developed and rolled out to the rest of the organization.

Conclusions Drawn from Initial Risk Review
The trial risk assessment of the strategic plan yielded a risk register addressing all the main strategic objectives. The plans for mitigation developed by the executive were, for example, to adjust program…

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ERM Case Study – Part 3/5

Entrepreneurial universityThis is the next post in the Enterprise Risk Management implementation case study of Camosun College, B.C., Canada.

Project Approach – Key Players

As mentioned previously, the idea for enterprise risk management came from the Board of Governors, who were keen to participate in the provincial government’s foray into the new practice. While many public sector executive seemed at least intellectually to accept the idea of applying risk methods to strategy, the Board wanted to see it done and effect some real changes.
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Risk Tolerance in Non-Financial Contexts

2011-11-13 / Uncategorized / 3 Comments

risk-toleranceDefinitions of risk tolerance can border on the absurd, showing a slavish adoption of financial terminology where it makes no sense.

The degree of risk tolerance, whether at the individual or organizational level, describes whether you are relatively:
1) risk-averse (risk avoiding) in exchange for a degree of certainty regarding the reward in question; or
2) risk-seeking, (accepting of risk) in exchange for the chance of higher gains.
These orientations towards uncertainty can be expressed quantitatively and qualitatively.
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Blog launch: risk management professional

2010-05-04 / Uncategorized / 0 Comments

This is blog about enterprise risk management – both ERM implementation in the organization, and how to do risk assessment in individual cases. I was Senior Manager, Enterprise Risk Management, in the provincial government (British Columbia, Canada) until the fall of 2008. I left to set up my own ERM consulting, and developed online risk management courses for RIMS – the Risk and Insurance Management Society, New York. There is still a lot left to say.

Risk assessment for business or public sector organizations needs to be a comprehensive and rigorous process, within a well-defined context. What we see (and studies show) is that people often don’t have great confidence in their risk identification process. Effective risk identification within a properly defined context quickly proves its value as a method to solve business problems.

Later there will be lots of opportunity to give views on related business topics, such as international business practices and innovation.

Thanks for taking the time out – comments welcome!

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