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Enterprise Risk Management
Better decision-making through fact-based management
The need for an enterprise view of risk has never been greater.
Today’s organizations are more complex than ever before. Thanks to advances in information technology, risks travel and multiply faster than ever, reverberating in the echo chamber known as social media. In addition, the business landscape is more complex with disruptive technologies and competition.
As a result, organizations have less time to respond to threats and seize emerging opportunities, and must become more proactive in identifying, assessing and managing risk. At the same time, regulatory agencies have become more aggressive in their oversight, rolling out requirements that cross international boundaries and impact organizations around the world.
Too often, senior leaders look at risk only as an event or issue to either avoid or reduce. A more powerful way of looking at risk is to make sure your organization is taking the appropriate level of risk to differentiate yourself in reaching your strategic and organizational goals. In some cases, this can even mean taking on more risk, which needs to be managed accordingly.
When tailored to your organization’s unique DNA, effective enterprise risk management (ERM) practices allow you to have more productive conversations about what is really important. When ERM is done right, you are able to overcome individual and functional bias, establish an understanding of the degree of risk the organization is willing to take based on vision and strategy, and allow members of the organization to manage towards common goals and a desired risk culture.
Our ERM approach fits your unique needs
We view ERM not simply as means to compliance, but more as a value-added discipline and asset to the organization.
Certainly, insurers, banks, credit unions, and other companies must establish and maintain ERM programs to comply with regulatory mandates. But these organizations, and others that do not face such requirements, can also gain a lot of practical intelligence from effective ERM programs.
Our approach is tailored to your industry needs, which means having a deep understanding of the issues, trends, and unique opportunities and challenges you face. We include practical ERM elements from leading frameworks, including COSO ERM and ISO 31000, considering aspects of governance, culture, and risk processes that effectively enhance the taxonomy of risk to take advantage of the many things your organization is likely already doing. Through the use of data analytics, we can provide management and board with the information necessary to make timely, informed decisions towards enhancing organizational performance.
How we can help
Because ERM looks different at every organization, our ability to help you is designed to fit your unique needs. Our ultimate goal is to help your organization enhance your ability to discuss opportunities and threats in a way that will sharpen your insights into strategy-setting and operational execution.
If you don’t have ERM: We can help you with the fundamentals, which include communication and training with leadership, board and oversight committees, and teams. Our defined capabilities model applied against ERM frameworks helps us work with you to determine the most effective level of ERM for your organization. Services include:
- ERM implementation and support
- Enterprise risk assessment and facilitated sessions
If you already have ERM: We can help you optimize your program and get past common hurdles that organizations face, including management buy-in, enhancement of risk identification and assessment processes, and quantification capabilities. Services include:
- Gap assessment of your existing ERM program and a detailed project plan and roadmap that can take you to your desired stat
- Refinement of key ERM approaches, e.g., risk appetite and key risk indicators, more effective reporting and monitoring, and culture alignment
- Development of more quantitative capabilities and reporting using data you are producing from your program to enhance decision-making (e.g., stress-testing, stochastic modeling, actuarial support, etc.), including the use of our proprietary DIVA software
- Software needs analysis and selection for governance, risk and compliance (GRC)
At RSM, we can design and help you optimize an ERM strategy that unlocks your organization's individual deep knowledge and understanding of risks and opportunities in a dynamic manner that enhances your ability for better strategic decision-making. We are a national firm with international capabilities. In today’s world, risks know no borders.
Our ERM professionals have held positions in industry before coming to RSM, and many have attained professional certifications in risk management. We know what you are up against.
Finally, we understand your industry, and make it a priority to learn what is unique and different about your organization. We are not “checklist auditors.” We approach each assignment with the care and respect that it deserves.
We would welcome the opportunity to learn about your specific needs and demonstrate our ability to serve them. Please contact us today so that we might begin a conversation.