Enterprise risk management (ERM) is the process of planning, organizing, leading, and controlling the activities of an organization in order to minimize the effects of risk on an organization's capital and earnings. Enterprise risk management expands the process to include not just risks associated with accidental losses, but also financial, strategic, operational, and other risks.
The crisis was due to a unique failure of regulators and politicians to foresee the systemic risk issues that struck so quickly, and a failure by both senior bankers and risk managers to prepare for those risks.
John Wisbey, chairman and CEO of Lombard Risk, commenting on the 2008 financial crisis: From Raconteur on Enterprise Risk & Continuity Planning, 10 March 2009
The Enterprise Risk management (ERM) is the core of the Risk management of each organization. It is the process whereby organizations methodically approaching the risks associated with their activities, in order to achieve sustainable benefits to each activity and for the portfolio of all activities.
- is recognized, more and more, that is related to both the positive and negative aspects of risk.
There are many and varied views and descriptions of what risk management involves, how it should be conducted and for what purpose. Some form of standard is needed to ensure that there are agreed as follows.
- Mitigate risks
- Reduce premiums
- Increase opportunities
- Improve performance
The risk management is mainly applied to companies with multiple and complex risks, eg shipping. If you are interested in identifying, analyzing, calculating, risk financing, please call tel. 210 4122975 or fill out the contact form.