In a traditional risk management service structure, the effort is departmentalized and focused primarily on hazard risks. Using this approach, an organization rarely makes relative comparisons among its risks to determine how they interact with one another or to evaluate their cumulative effect on the organization. Conversely, in an Enterprise Risk Management environment, all risks (including strategic, operational, hazard, and financial) are compared and evaluated to illuminate a more holistic strategy.
As we transition from a traditional to enterprise risk management program structure, ERM will be spearheading several initiatives on campus. Use the links in the menu to find out more.