Effective risk management is a critical component of any winning management strategy. Properly designed, a risk management program allows an organization to actually take on additional risk while growing more securely. Options for treatment of exposure to loss include avoidance, reduction, contractual transfer, insurance transfer, and retention. The most effective treatment of risk usually involves the application of more than one of these methods. Experienced coordination of the selected methods of treatment is essential to effect real change and to accurately monitor results.
Enterprise Risk Management (ERM) represents a fundamental shift in the way businesses must approach risk. As the economy becomes more service driven and globally oriented, businesses cannot afford to let new, unforeseen areas of risk remain unidentified. Currency fluctuations, human resources in foreign countries, evaporating distribution channels, corporate governance, and unprecedented dependence on technology are just a few of the new risks businesses must assess. Many organizations are choosing to implement an Enterprise Risk Management process to ensure that a uniform approach to risk identification, measurement and treatment is utilized across the organization. By adopting this proactive approach to managing risk, companies can move from a “silo” management approach to a deeper integration of its various businesses.
The Enterprise Risk Management Software system is fully web-architected that helps clients to identify, quantify and prioritize material risks across the geographically spread organization.
ERM is divided in the following major modules:
1. Risk Framework
The Risk Policy
Implementation Guide
Effective Oversight
Risk Appetite
Risk Library
Risk Materialization Tracker
Risk Card
2. Process Framework
The objective of Process Framework is to understand the key business processes and sub-processes that support the business in quest to achieve its strategic objectives.
The process framework consists of defining the Business Objectives and the operating cycles. Mapping of the sub-processes to identify potential events. Assessing the inherent and residual risk to analyze how best they can be managed. Categorization of risk based on the responses to risk assessment. Control identification ascertaining the risk score.
3. Risk Assessment System
Risk Identification
Risk Assessment
Risk Register Creation
Risk Monitoring
Risk Reporting
4. Key Performance Indicators Assessment
Key Performance Indicators (KPI) or Key Success Indicators (KSI) Assessment to give your business a quantifiable measurement of things it has determined is important to its long terms success.
KPI Compliance Report
KPI Assessment Tool
KPI Compliance Pie Chart
