A significant part of my role is helping my client ERM teams build strong working relationships with other stakeholders in their company. This can involve reversing previous perceptions about the role of ERM, which has often been positioned as more of an audit or compliance activity. While audit and compliance are essential processes, there is no need to duplicate these with the ERM process. Alternatively, ERM can focus on assisting Management, and each department, to achieve their objectives. The process provides value by routinely helping objective owners prioritize the key challenges (risks) they face, and then identifying the resources necessary to address them.
In my experience I have found that when the Management team and other departmental leaders recognize the valuable process that the ERM team offers, they are much more interested in embracing the process. This situation is further supported if the ERM team can guide the Board and Management to build a risk culture where identifying risks is rewarded, rather than rebuked.
As key stakeholders recognize the way a performance focused ERM program supports their goals, they will increase their trust in both the process and the ERM team.
Subscribe to:
Post Comments (Atom)
About The Author
- Richard Wilson
- Richard is a Director in PwC's Risk Advisory practice with clients in both Canada and the United States.
He is an experienced senior executive with 15 years in a CEO or COO role (publically traded and private firms). Richard has been leading risk management implementations for more than a decade incl. 60 C-level risk assessments, and has led online risk assessments for 30,000 people in 25 countries.
He has advised the largest company in the US on risk management, and he has facilitated a risk assessment for the United Nations. Richard has been published in Compliance Week, Canadian Business, and the Globe & Mail and has been a keynote speaker on the topic of risk at many conferences in both Canada and the US since 2004.
No comments:
Post a Comment