One indisputable consequence of the recent financial crisis and global natural disasters has been a sharp increase in the attention paid to risk and risk management by regulators, credit agencies, boards, and other key stakeholders.
Ken Coy discusses the factors that require businesses to focus more strategically on managing risks within their organizations.
Companies are looking hard at what is needed to better identify and manage significant risks, including strategic risks, operational risks, financial risks, compliance risks and/or reporting risks. As a result, robust risk management processes have become a critically important tool to assist companies in this regard, and accordingly, gain a competitive advantage over their peers.
If your company has identified a need to become more nimble and proactive in the management of your strategic risks, PwC can help you with:
Compliance and regulatory risk management: This is the process to identify, monitor and manage an organization's ethics and regulatory compliance responsibilities. The goal is to anticipate and react to compliance and regulatory requirements to avoid or recover from compliance failures, support growth objectives, protect shareholder value and avoid reputational/brand risks.
Enterprise Risk Management (ERM): ERM is an ongoing risk management process embedded throughout the organization to identify existing and emerging risks that can prevent your company from achieving your strategic goals, assess the potential impact of those risks and manage risks and opportunities within a predetermined risk appetite.