Enterprise Risk Management

Ask yourself . . .

• Where are our vulnerabilities?
• How are we managing risks?
• What is the return from our ability to manage risks?

Organizations take risks in order to achieve their goals. By reviewing risks in a systematic and disciplined manner they can detect potential vulnerabilities to control, and find new opportunities through a superior understanding and management of risk.

Such a process improves performance by:

• Discovering new business opportunities by control and reduction of risk,
• Applying suitable amounts of risk control thus reducing waste of over-application, or ineffectiveness of under-application of resources,
• Continuity of operations since few high performance organizations will tolerate disruptions that a risk event could cause,

Preservation of assets required either by externals stakeholders, such as financiers or internal groups, such as senior management.

The first steps are to identify these vulnerabilities and determine their potential to damage the organization. Management then selects the optimal combination of responses. As risk management is a dynamic process, feedback on changes in the risk environment or risk responses must integrated on a regular basis. Ideally organizations institute a permanent process of anticipatory risk prediction and detection.

The Greenhill Group supports this process by:

• Collecting information on risk issues and how they are managed,
• Running facilitated sessions to work with participants in reviewing the information, prioritizing risks, and building optimal responses,
• Discussing with management on how to integrate the results into their strategic planning and operational processes